Analysis of the characteristics of public financial management; comparison and application of public financial management in the state management of thuy nguyen district, hai phong city luận văn ths quản lý công

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Iwouldliket o sincerelythankDistrictpartycommitteeo f T h u y N g u y e nDistrictPeop le’s Committeeforg r a n t i n g meagreatopportunitytop a r t i c i p a t e i nMasterP r o g r a m o f P u b l i c M a n a g e m e n t w h i c h jointlytrainedb y U p p s a l a U

n i v e r s i t yofS w e d e n a n d U n i v e r s i t y ofE c o n o m i c s andB u s i n e s s

-V i e t n a m NationalUniversity;I a m alsodeeplyi n d e b t e d t o Dr Hans B l o m k v i s

Respectliilly,

BiiiAnltl "i i é n

ABSTRACTTitle:ANALYSISO F THECHARACTERISTICSOFPUBLICF I N A N C I A L MANAGEMENT,COMP7\RISONANDA P P L I C A T I O N €1F

c e d t r a n s p a r e n c y , accountability,p r e d i c t a b i l i t y andp a r t i c i p a t i o n inp u

b l i c financialm a n a g e m e n t ofFhuyNguyendistrict,HatPhong City

Methodology:

Basedo n t h e t h e o r e t i c a l f r a m e w o r k forg o o d g o v e r n a n c e a s s o c i a t e dwitht h eohjectiveso 1’publicf i n a n c i a l m a n a g e m e n t , t h e t h e s i s m a i n l y u s

e d s e c o n d a r y d a t a obtainedf r o m t h e d o c u m e n t s r e f l e c t i n g t h e r e s u l t s o t

" thestate budgete x p e n d i t u r einT h u y N g u y e n districtin3 y e a r s from20II

t o 2 0 13,c o m p a r e d with

planassignedtos e e t h e s t r e n g t h s a n d weaknessesint h e s t a t e b u d g e t expenditu

remanagementi n ’lhuyN g u y e n d i s t r i c t Thethesisalsoappliedthetheconceptof’the“ladderofc i t i z e n participation”with

eightlevelsd e v e l o p e d bySherryA r n s t e i n (1969)toe v a l u a t e t h e l e v e l s o

f p a r t i c i p a t i o n Thism o d e l isc o n s i d e r e d at o o l t o identifylevelso f ’ participationofo r g a n i z a t i o n s asw e l l a s c i t i z e n s i n t h r e e m a i n categories:Non-

participation, Degreesoftokcnisma n d Degrees ofcitizenp o w e r

Ina d d i t i o n , s o thatt h e c a u s e s o f thew e a k n e s s e s i n t h e s t a t e b u d g e texpenditurem a n a g e m e n t c o u l d b e d e e p l y a n a l y z e d t h e a u t h o r c o n d u c t e

d i n - d e p t hinterviewswithanumberof

leadersofdistrictPeople’sCommittee,andofticialsofdivisionofplanninga n d I mance,div

isionot’education, divisionofhealthatdistrictlevela s w e l l

a s s o m e c h a i r m e n a n d a c c o u n t a n t s a t c o m m u n e l e v e l

districtconstructiondebtsincreasedbynearly2t i m e s inc o m p a r i s o n withtheatlocatedbudgetafterthreeyears.

DistrictS t a t e Treasuryh a s d o n e wel l b o t h i n r e v e n u e c o n t r o l a n d c a s h

socio-Int e r m s o f respectf o r peo pl e’ s o p i n i o n s , t h e r e w a s d i f f e r e n c e i nsituation betweent h e districtl e v e l a n d communele vel Comparisonb e t w e e n

t h e twol e v e l s showedt h a t t h e degreeof citizenp a r t i c i p a t i o n int h e activities o f communel e v e lwasb e t w e e n t h e “Df?

bºCeS€tft o k i : n i s m ” a n d Deg r ees o f p o w e r ” i n t h e 8 -l e v e l

ladderdescribedb y S h e r r y A rnstein( 1969)whiledis tr ic t l e v e l on ly r e a c h e d “ No

power”.I t provedt h a t c o m m u n e P e o p l e ' s C o u n c i l h a s efficiently i m p l e m

e n t e d i t s ftinctionandpower.representingthewillandaspirationsot’localpeople.Thereby,thel e v e l o f responsibility o f authoritiesf o r thes e t t l e m e n t o f citizens’c l a i m s washighera t communel e v e l t h a n d i s t r i c t l e v e l

Somerecommendationsw e r e ma de f o r theeffectivem a n a g e m e n t o f publicexpendituremanagement.namely:

-Strengtheningt h e m o n i t o r i n g a n d s u p e r v i s i o n o f t h e i m p l e m e n t a t i o

n offinanciallytransparentprocessesata l l l e v e l s , e s p e c i a l l y c o m m u n e level.P u b l i c disclosureoft i n a n c i a l performanceshould

bec l e a r , s i m p l e , u n d e r s t a n d a b l e andtimely

-S t r e n g t h e n i n g t h e c o o r d i n a t i o n a n d p a r t i c i p a t i o n o f stakeholdersa n dcitizenstoidentifyk e y tasks andkey i n v e s t m e n t p r o j e c t s i n ordertoavoidspreading—outbudgetandlimitpowerabuse,corruptionandwaste

theresponsibilitiesofe a c h individuali n theorganizationand responsibilitywillcontributetoimprovingtheefficiencyofstatebudgets p e n d i n g Suggestionsf o r futurer e s e a r c h :

ACKNOWLEDGEMENT

ABSTRACT

TABLEOFCONTENTSLIST

OFTABLES

LISTOFFIGURESL

ISTOFCHARTSAB

BREVIATIONS

l.I N T R O D U C T I O N 1

l.l Background l l.2 Researcho b j e c t i v e s 2

I.3 Researchquestions 2

2 TH EORY.TICALFRAMEWORK 3

2 l Fourpillarsofgoodgovernance 3

2.2 MainObjectivesof’Public FinanceM a n a g e m e n t 3

2.3 Publicex p e n d i t u r e m a n a g e m e n t a n d goodgovernance 4

3 RESEARCHM E T H O D O L O G Y 9

3.I Outlineo f t h e r e s e a r c h iiicthodology 9

3.2 flatacollectionmethods 9

3.3 Methodsofdataprocessing 10

4 DATAANALYSIS 11

4.1 Overviewofbudgetm a n a g e m e n t o f ThuyNguyend i s t r i c t 1I 4.2 Assessmentofaccountabilityinthemanagementofthedistrictbudget 13

4.3 Assessmentofthebudgettransparency 20

4.4 7tssessmentofthebudgetpredictability 28

4.5 Assessmentofparticipationinbudgetingprocess 32

5. CONCLUSIONS 39

6 RECOMMENDATIONS 41

6.l Recommendations 41

6.2 Suggestionforfutureresearch: 41

7 CON4III BUTIONO F T H E THESIS 42

REFERENCES 43

APPENDICES 45

Fablel.ObjectivesofPublicFinanceManagement 3Fable2.Publicexpendituremanagementandgoodgovernance 4Fable3.Publicexpendituremanagementandgoodgovernance 5Table4.Actualbudget expendituresvs.estimates ll4able5 Investmenti n c a p i t a l c o n s t r u c t i o n i n 2 0 II-2913anddebtsby3 0 / I2/2013

.14Table6.Aggregationo f capitalexpenditurein2013 15Table7.Totalexpenditureforlandclearancein2011 16Table8 A c t u a l e x p e n s e s v s e s t i m a t e s o f t h e D i v i s i o n ofN a t u r a l Resources andEnvironment 19Table9 Assessment

ofp e r f o r m a n c e o f p l a n s a s s i g n e d o f thcD i v i s i o n o f N a t u r a l ResourcesandEnvironment 19Table1 0 Generalt r a n s f e r s , t a r g e t e d t r a n s f e r s f o r districta n d c o m m u n e governments 23TableII.lludgetsettlementin2011-2013 25

"l’ablc12.Actualrevenuesvs.estimatedrevenues2011-2013 2bTable1 3 Listofconstructionworkswithfu nd in g withdrawalw as notinaccordancewiththerecommendationsof’thcauditors 30

1 INTRODUCTION

1.1 Background

FhuyN g u y e n i s a northern d i s t r i c t o f HatP h o n g c it y, l o c a t e d o n i m

p o r t a n t trafficroutesconnectingtoQuangNinha n d HatD u o n g I n HatP h o n g developments t r a t e g y to2020,ThuyN g u y e n w a s i d e n t i f i e d a s adynamice c o n o

m i cregionattractingforeigninvestmentprojectssuchasVietnamSingaporeIndustrialPark(VSIP)o f Singapore,keyp r o j ec t s o f theGovernment a n d o f thecity

Inr e c e n t y e a r s , T h u y N g u y e n h a s a p p l i e d t h e r e g u l a t i o n s o f f i n a n

c i a l managementtowardssavinga n d efficiency.Especiallytheperiod20

1I-2015i s consideredass t a b l e budgetcycle,ThuyNguyeni s applyingtheregulationsi

n accordancewiththeresolutiono f Haiphongc i t y People’sCouncil,i.et h e cityprovidesbalancingsubsidyford i s t r i c t level;thedistrictsetss p e n d i n g limitf o rcommunelevel

"FhuyN g u y e n hasn i n e d e p a r t m e n t s int h e p o l i t i c a l systemo f d i s t r i

c t s , 3 7 communesandtownsareunitsof“thestateapparatus;Thereare76schoolsandonehospitalw h i c h b e l o n g t o publica g e n c i e s Annualb u d g e t e x p e n d i t u

r e i s fromV N B700to9110billion

Thus,i n o r d e r t o e n s u r e e c o n o m i c a l l y a n d effectivelybudgetspending,itisnecessaryt o ensuret r a n s p a r e n c y i n t h e b u d g e t e x e c u t i o n T h e u n i t w h i

c h u s e s t h e stateb u d g e t musti m p r o v c i t s a c c o u n t a b i l ity.T h e l e v e l o f p a r t

i c i p a t i o n ofp e o p l e underthemotto" p e o p l e know,p e o p l e d i s c u s s , p e o p l e d

o andp e o p l e c h e c k " shouldalsob e p r o m o t e d Predictabilityi n budgetplanning

s h o u l d beimprovedtoa c h i e v escientitlcnessandeffectiveness

"Fhegovernmento f Vietnamh a s four levels:national,provincial.district andcommunelevels

Eachlevelofg o v e r n m e n t hasane l e c t e d bodytoa p p r o v e t h e budgeta n d m

o n i t o r b u d g e t e x e c u t i o n S i n c e 201I,attherequesto f theMinistryo f homeA1’

tairs,ThuyNguyend i s t r i c t piloted t h e "ab ol is hme nt

of People’sCouncil” model.Howitaffectstheobjectivesofa g g r e g a t e fiscaldiscipl

ine,allocativeefficiencyando p e r a t i o n a l efficiencyinb u d g e t managementneedstob e s t u d i e d withaviewtoidentifyinglessonslearned

1.2 Researcho b j e c t i v e s

- Toreviewtheimplementationof followingobjectives:aggregatefiscaldiscipline,a l l o c a t i v e e f f i c i e n c y a n d effectivep e r f o r m a n c e o f publicf i n a n

c i a l managementofThuyNguyenin20ll-2013

-Toexaminet h e d e g r e e o f transparency,accountabilityandp a r t i c i p a t i o n in

- Whattypesofparticipationin whichcitizensengage at the district and

communebudgetingprocess?

2.THEORETICAL FRAMEWORK

Thea s s e s s m e n t o f p u b l i c f i n a n c i a l m a n a g e m e n t , w h i c h w a s d o n

e u s i n g n e w conceptofpublicmanagementacquiredfromtheMasterprogramheldbyUppsalaUniversity(Sweden),issummarizedasfollows:

Partiripetion Citizenss h o u Idhavea d i r e c

t seyinwhatthCir governmCntsdo whrni t

2.A l l o c a t i v e efficie ncy Toallocateresourcestousesthatreflectthe

government’spolicypriorities

3.O p e r a t i o n a l efficie

ncy

Todeliverpublicservicesefficientlyandeffectively

Table2 P u b l i c e x p e n d i t u r e managementandg o o dgovernance

Fiscald i s c i p l i n e Allocativeefficiency Operational

efficiency

Accountability

Staywithinoverallbudgetau th or ity

Achieverequiredresultsfromprograms

Appropriatebal anc eofdelegationandcontrol

Transparency

termeconomicti›rec

Publishmedium-astsandriscaltargets

Publishprogrambudgets,targetsand results

Auditandlegislativereviewofefficiencyandcompliance

Predictability

Detailedplansandbudgetswithintargets

Identifyandmanagefiscalriskstoperformance

Maintaincostandcashdisciplineatinputlevel

Participation

Consults t a k e h o l d e

r sontiscaltargets

Consultonnationalstrategies;enablelocaldecisionsonlocalprograms

Enablecitizenstocomplainandobtainredress

Applyingt h e theoretical framework toa n a l y z e Ihuy Nguyen

districtbudgetmanagement,theauthorsbuildspecificcontent,asshowninthefollowingtable:

Actualexpendituresdonotexceedestimates

Budgetexpendituresm e e tthetargets

-Notspreadingoutinvestments

-Autonomydecentralizeda n dauthorized

inassociationwithguidances,M& E-Savingofresources

Transparency -Publicityof

expenditurenorms-

Forecastofresourceswillbeallocatedinorderofpriority

-Publicityoftargetsinexpenditureestimatesi n c l u d i n g recurrentexpendituresandcapitalexpenditures

-Results o f a c t u a lspending vs.estimates

Publicityo f inspectionandauditc o

n c l u s i o n saswe l

l a s theupa c t i v i t i e satler

follow-theirrecommendationsPredictability -Forecastingof

revenuesclosetoactualrevenuesandmustbeclearlydefineda t thebeginningofthebudgetyear

-A l l o c a t i o n

normsconsistent

withspendingp r i o r i

t i e s Postponeo fconstructionw o r k stop

r e v e n t frombudg

-RevenuesareconcentratedintheStateTreasury

- Statetreasurytoensurefundsforexpendituren e e d s

- Havinginspection

Expenditureestimatesare

-inaccordancewithth

eactualrevenues

andauditplanstoreducelossandwaste

Participation - Stakeholders

participateintheannualbudgetingprocess

- Peopleknowaboutprioritiesincapitalconstructionworks

- CommunePeople’sCouncildeterminesitssocio-

economictargets

andconductthemonitoringofimplementationprocess

- Districtroleindeterminingi t ssocio-economictargetsand

monitoringt i i n c t i

o npoliticalorganizations

ofsocio Opinionsofcitizcnsandlcvelofrespectofgovernmentauthorities

Settlementofthego vernmentauthoritiesonthepetitionsofcitizens

-(Sentcc.Authorj

Transparencyi s g e n e r a l l y definedast h e p r i n c i p l e o f e n a b l i n g t h e p u b l i ctog a i n intormationa b o u t t h e o p e r a t i o n s a n d s t r u c t u r e s o f a g i v e n e n t i t y

T r a n s p a r e n c y isotlenconsidereds y n o n y m o u s withopennessanddisclosure,althoughone canfindsomesubtledifferencesamongtheseterms(Etzioni2010)

Itisessentialno tonlythatintormationbeprovided,butthati tberelevantandinunderstandablef o r m D u m p i n g o n t h e p u b l i c i m m e n s e a m o u n t s of rawf i n a n c i a

tcniisofparticipation,SherryAmstein(1969)describedcitizenparticipationasaladderwitheightlevels:

Degreesofcitizen

p o w e r

Degreesoftokeni sm

Nop o w e r

GeorgeJulian

Figure2.madderofcitizenparticipation

3 RESEARCHMETHODOLOGY

3.1 Outlineoftheresearchmethodology

Thethesismainlyuse dthecomparativem e t h o d Thefirstpartofthethesisistheanalysisofmodemp u b l i c f i n a n c i a l m a n a g e m e n t w i t h theapplicationofmodernpublicfinancialprinciplestoassessbudgetingoperation

Thel a t t e r p a r t oft h e t h e s i s ,

T h u y N g u y e n d i s t r i c t ’ s managementofb u d g e t expenditureswasassessedf r o mtheperspectiveo f thenewpublicmanagement.Theoverallassessmentconsideredthelevelo f c o m p l i a n c e w i t h thea g g r e g a t e fiscaldiscipline,b y c o m p a r i n

g t h e a c h i e v e m e n t s w i t h t h e i n i t i a l g o a l s t o s e e t h e difference.4 ’ h e s t

u d y o f b u d g e t executionprocessw a s d o n e i n d i f f e r e n t stages:Hudgetestimation,budgetexecution,budgetsettlementandbudgetrevenues

J.2.D a t a coffeC'tfOftM et h od s

Datawerea v a i l a b l e fromthea n n u a l

report201l-2 0 1 3 : E s t i m a t e s ofrevenueandexpenditure,performancereportsandbudgetsettlementrcports.Rased

i0ont h e k e y c o n c e r n e d

d t o

2013.Thedataprocessingwasalsocombinedwithasummaryofin-depthi n t e r v i e wresultst o a s s e s s t h e l e v e l o f p a r t i c i p a t i o n ofc i t i z e n s a n d c i

v i l s o c i e t y o r g a n i z a t i o n s int h e b u d g et i n g p r o c e s s

Ino r d e r t o s t r e n g t h e n controlofp u b l i c expenditurestowardspublicityandtransparency,e a c h unitu s i n g state budgeti s s u e d i n t e r n a l s p e n d i n g ruleswhichw e r

e developedinanopendiscussionwiththeinvolvement ofitsofficials

ManagementbasedonestimatesapprovedbythedistrictPeople'sCouncilisoneoftheregulatio

2013ofThuyNguyendistrictmuchexceededtheestimates,seeTableIbelow:

12Intermso ftotalexpenditures,i n 2 0 1 1 and2013theactualexpendituresexceededtheestimatesbyover30%,vvhichvvasmainlyduetotheloosemanagementofC a p i t a l expendituresThoughCapitalexpenditureincreasedto113.80%in2011and94.80%in2013,thereremaineddebtsbecauseofspreadinginvestments.Chart4.1and4.2providecomparisonso ftheactualvs.estimatei n recurrentexpenditureandi nCapitalexpendituretoshowa clearerpictureofthedistricthudgetmanagement

Sothatt h e p i c t u r e o f ThuyN g u y e n d i s t r i c t b u d g e t m a n a g e m e n t c a n b e seenm o r e clearly,t h e n e x t p a r t o f t h e t h e s i s w i l l a n a l y z e i n d e p t h t h e f o u r

p i l l a r s o f " g o o d governance",namely:accountability,transparency.predictabilitya n d participation

4.2.A s s e s s m e n t ofaccountabilityinthemanagementofthedistrictbudget

4.2.1.HaiP ho ng c i t y People’sC o m m i t t e e developedt h e allocationn o r m s ofr

ecurrente x p e n d i t u r e s f o r statea g e n c i e s a t district a n d co m m u n e le vels.However,duringtheimplementationp r o c e s s , t h e D P C adjustedtoin creasethenormsforthedistrictauthorities a n d reducedt h e normsfortheco mmunesunderitsmanagement.

Ino r d e r t o m a i n t a i n

f i s c a l d i s c i p l i n e a n d a v o i d d e f i c i t s , t h e n o r m f o r a d m i n i s t r a t i v ecxpcndilurewass p e c i tiedint h e D e c i s i o n No.2050ofH a t Phongc i t y People’sCommitteewithanamountofVNI322million/person/

timestaffwhoarcrcgulatedbytheCityI3epartrnentofhomeAtTairs.41lus.i n t e r m s o f a c c o u n t a b i l i t

2013(illustratedi n Iable4.2)wasthatthecitygovernment(h ig he rauthorities)pro

videdcapitalexpendituresindropsanduntimely.However,themaincauseo t ’ thissituationwasduet o t h e factthatthePeople'sCommitteeéeterminedtoomanysocio-

economicobjectivestobeachievedwithoutlinkingthemtofin an ci al r e s o u r c e s

TableS I n v e s t m e n t i n c a p i t a l c o n s t r u c t i o n in2 0 1 1

-2 0 1 3 a n d d e b t s b y

30/12/2013 I/nit:V/VDmillion

Contents

Debtfrompreviousyear

Workdoneby20ll-2013

Accumulatedfundsby30/

I2/2013

Debtsincapitalconstructionby30/12/20I

Fotaldebts/work

doneConstructions

h einvestmentsh a v e b e e n spreading.E v e n int h e R e s o l u t i o n oft h e P e o p l e '

s C o u n c i l therew e r e t o o m a n y goalsd e t e r m i n e d soitwasd i f f i c u l t

t o i d e n t i f y keyobjeclivesandkeyconstructions

l’ablc5 i lluslratesmorea b o u t t h e s p r e a d i n g o f i n v e s t m e n t a n d t h e D P C s t a r t e

d t ofindtheirresponsibilityf o r settlingthesedebts.Inthe2013estimates,spendingforschoolc o n s t r u c t i o n a c c o u n t e d for6 2 2 % o f t h e t o t a l c a p i t a l e x p e

n d i t u r e s o f thedistrict.b u t t h e y m a i n l y u s e d c a p i t a l e x p e n d i t u re s f o r p

ay ments o f construction

debtsa r i s i n g mommanyyearsa g o E x p c n d i t u r e mr rur al roadsw a s h i g h , w h i

c haccountedfor16.3%.W i t h regardstoc o n s t r u c t i o n itemst o b e c o n s t r u

’Fhe delay of many projects of Vinashin in Thuy Nguyen

of local households lose their families' livelihoods Hai Phong has made thousand

A project of Nam Trieu Shipbuilding Corporation left idle

16Table7.Totslexpendituref o r landclearancein201I

y e a rs H o w e v e r , bytheendof2013,hundredsofhectaresoflandhasbeenleftidleandthousandsofhouseholdsweresuffered

from“exceedingoffallowlandbutlackingofcultivationland”.Thedistrict didnotallocatefundsforlandclearanceasannouncedtohouseholdsbutwaitedf or theadvancementf r o m theenterpriseshavinginvestment p r o j e c t s Someenterprisesarereallyfacing difficultiesbutsomeintendedn ot tocarryouttheirproject.whichledtodelayedprojectscausinglosstomanypeople

Hundredsofhectaresoflandhasbeenl ef t idle

’FhuyNguyenn o t i f i e d L a m D o n g CPCabouta c q u i s i t i o n o f morethan7 5 h a ofland,m ainlyr i c e cultivationa n d a q u a c u l t u re pondst o bui ld L a m D o n g S h i p y a r d o f ThanhLo ngs h i p b u i l d i n g i n d u s t r y l i m i t e d c o m p a n y Then.thec o m m u n e r e c e i v e d a recall

o fmoret h a n 50h a o f l a n d o f m o r e t h a n 5 0 h o u s e h o l d s forb u i l d i n g SouthK i e

n Bridgeindustrialz o n e ofS h i n cc shipbuildingi n d u s t r y joints t o c k company ( ashareholdero f Vinashin)and1 2 haofagriculturall a n d f o r buildingfactory oftheCamRiver shipbuildingcompany

AsmuchasI 40haoutof200haofLamDo n g communewe re revokedf o r threeVinashinprojects,a f f e c t i n g atl e a s t 400households

I.ocalauthorities w a n t t o

re-leasetheplannedl a n d plotstohouseholdsf o r ashorttime,butf e w w a n t t o takethe

l a n d b e c a u s e i t w o u l d t ak e t he m a t l e a s t 3 - 5 yearstorecovertheiri n v e s t m e n t Meanwhile,anentertainmentandtourismcomplexplannedbyQuangMinh-

VinashinTourismandInvestmentCompanyalsooccupies15IhaoflandatThuySonCommune.4’heprojecthasnotprogressedb c c a u s e ofalackofcapital

Peopleareine x c e s s offallowl a n d b u t l a c k o f cultivationl a n d

LaiVan D u e , of

TannH u n g Commune,said,heandhisbrothersleased 2,580squaremetrest i › r a q u a c ulture.T

h e y i n v e s t e d m u c h o f theirs a v i n g s i n t h e a r e a , butb e c a u s e o ftheVinashinprojcctsthatareaisnotinuse

Source(LabourNewspaper)—No.281byHOANCiHOAN-9:38AM,04/12/2013

4.2.3.F i n a n c i a l autonomy though recurrent

expenditures were saved, theperformancew a s withunsoundresults

Int h e i m p l e m e n t a t i o n o f f i n an ci al a u t o n o m y , i n 3 yearsf r o m 2 0 11to2013 t h

e s t a t eagenciesfocusedondevelopinginternalspendingregulationsf o r operatinget’ticientlya l l o c a t e d f u n d s S t a t e regulationsa l l o w a g e n c i e s t o s p e n d l e s s tha

tlneoftheimportants p e c i a l i z e d d i v i s i o n s ot’theflivisiono f NaturalR e s o u r c

e s andEnvironmenth a s t h e f u n c t i o n o t ’ g r a n t i n g l a n d u s e r i g h t s f o r people.W h e n comparingt h e r e s u l t s

2011 2012 2013Total

expenses

%vs

estimates

Totalexpenses

%vs

estimates

Totalexpenses

0vs estimates

Table8.Actualexpensesvsestimateso ftheDivisiono f NaturalR e s o u r c e s a n d

Actual

VS.

planassigned

Actual

VS.planassigned

20Chsrt3.Assessmentofbudgete x e c u t i o n resultsoftheD i v i s i o n o f theNa tur a

lResourcesandEnvironmentin 201I -2013

(Source:D i s t r i c t f i n a n c i a l s t a t e m e n t )

Thec h a r t showedthatonlyin201It h e Divisionoft h e NaturalResources andEnvironment’sactualexpensesexceededplanassignedandthelineshowingtaskcompletionw a s closetothel i n e showingi n v e s t m e n t c o s t W h e n b e i n g askedaboutthecausesofincompleteta s k si n thetwoconsecutiveye ars of theD i v i s i o n o

fNaturall t e s o u r c e s andEn v i r on m e n t , th e Headofthedivisiononlygaveobjectivereasons” F u n d i n g allocatedtotheDivisionofNaturalResourcesandEnvironm entwasonlyenoughforspendingonsalaries.allowancesandsomeadministrati

onexpenses,itw a s e v e n n o t e n o u g h fortravelling a n d accommodationc o s t s

o f staff whengoingtocommunestoverifythedocumentsandconductrealisticappraisa l.“

munesdidnotpublicizethe settlementreportsafterbeingapprovedbytheCommunePeople’s

21Councils.S o m e o t h e r t o r m s o f p u b l i c i t y s u c h a s n o t i c e s t o thec o m m u n

Chert4.Assessmentoffinancialpublicityb e s e d onresponsesfrom20peoplewhoaredistrictandcommuneofficialsinthtin-dtpthin te rv ie ws