Formulation Of An Agency Annual Budget

Formulation of an Agency Annual Budget Budget Process P L A N N I N G* ➥PARTICIPATION OF ALL PNP UNITS AND ORCHESTRATED BY OPBC ➪National Thrust & Development Plan ➪Security Plan BUDGET REFERENCES ➪DBM Fiscal Guidelines ➪DILG-NAPOLCOM ➪Planning ➪Guidelines ➪PNP National Strategic Action Plan ➪Medium Term Plan ➪Other Development Plans ➪Actual Inputs From PNP Field Units PNP PRELIMINARY OPERATING PROGRAM AND BUDGET GUIDANCE Operations Program and Budget Committee OPBC Operations Program and Budget Committee • The planning and decision making on the over-all financial management of the PNP is to a large extent handled by the OPBC • The committee is established at command levels particularly down to the regional police offices • At the national level, it is composed of all the D-Staffs chaired by TCDS with DC acting as member and financial adviser OPBC Functions and Responsibilities • Responsible for the development of the annual expenditure program • Coordinates with the Program Directors the execution of the approved program • Supervises the distribution of funds to see to it that funds managed by Program Directors are not exceeded as provided by what is programmed under each Program/Project Jr OPBC • Composed of all the Budget Officers of the Directorial Staffs supervised by The Director, Comptrollership (TDC) • Acts as the secretariat of the OPBC • Just like the OPBC, it is established at all command levels from the national down to the regional offices levels Responsibilities of Program Directors • Handle planning, coordination, control and supervision of his assigned program, and prescribe procedures in the proper implementation and execution of activities under his area of responsibility • Responsible for the preparation and consolidation of the expenditure program under his responsibility • Request the release of funds to project administrators under his functional area of responsibility E S T I M A T I N G* ➥RESOURCES ARE REQUIRED TO CARRY OUT THE PROGRAMS, PROJECTS AND ACTIVITIES STARTS UPON RECEIPT OF THE BUDGET CALL ISSUED BY THE DEPARTMENT BUDGET OF MANAGEMENT (DBM) OPBC COORDINATES SUPERVISES AND CONSOLIDATES ALL ESTIMATES COST ESTIMATES ARE PREPARED BY PROGRAM/PROJECT/ACTIVITY AND EXPRESSSED IN PESO BY EXPENSE CLASS AND OBJECT OF EXPENDITURE PNP OPERATING PLAN & BUDGET GUIDANCE + COST OF ACTIVITIES (PESOS) = PNP OPERATING PLAN & BUDGET ESTIMATE PNP BUDGET PROGRAM & STRUCTURE GENERAL ADMINISTRATION General Management and Supervision ➲ ➲ ➲ Personnel & Records Management Fiscal Management Services Internal Affairs Services Human Resource and Doctrine Development Plans Services PNP BUDGET PROGRAM & STRUCTURE SUPPORT TO OPERATIONS Materiel Development Health Services Logistical Services PNP BUDGET PROGRAM & STRUCTURE OPERATIONS Operations Services Intelligence Services Police Relations Services Investigation Services R E V I E W I N G ➥MANAGEMENT SCRUTINIZES THE RESULTS IN PLANNING AND ESTIMATING PHASES A.REVIEW BY OPBC  MAKES DETAILED TECHNICAL ANALYSIS AND RECOMMENDATIONS  THROUGH THE Jr OPBC, APPROPRIATE CHANGES ARE MADE IN CONSULTATION WITH THE AFFECTED PROGRAM DIRECTOR  REVIEW THE RECOMMENDATIONS OF THE Jr OPBC AND RECONCILES ANY DIFFERENCES OR FLAWS  FINALIZED CONSOLIDATED PRELIMINARY OPERATING PROGRAM AND BUDGET ESTIMATES IS THEN SUBMITTED TO THE C,PNP FOR APPROVAL AND SHALL THEN BECOME THE PROPOSED BUDGET FOR THE ENSUING YEAR R E V I E W I N G B.REVIEW BY HIGHER AUTHORITIES WITHIN THE DILG  THE PRELIMINARY OPERATING PLAN AND BUDGET ESIMATE IS THEN SUBMITTED TO THE NAPOLCOM  THE NAPOLCOM MAY REQUIRE AN ORAL PRESENTATION/ JUSTIFICATION  IF APPROVED, IT WILL THEN BE TRANSCRIBED BY THE OPBC INTO THE FORMS REQUIRED BY DBM R E V I E W I N G C.REVIEW BY DBM  COMPLETED FORMS ARE THEN SUBMITTED TO THE DBM FOR INCORPORATION IN THE PRESIDENT’S BUDGET  DBM MAY CONDUCT TECHNICAL BUDGET HEARINGS TO FURTHER ENLIGHTEN THEM ON THE THRUSTS AND OBJECTIVES OF THE AGENCY  PNP’S PARTICIPATION IN THE BUDGET PREPARATION ENDS WHEN THE BUDGET ESTIMATE OF THE AGENCY IS PRESENTED TO THE EXECUTIVE REVIEW BOARD OF THE DBM R E V I E W I N G HOW A BILL BECOMES A LAW…? PNP Operating & Budget Estimate Final Review Approval PNP OPBC C, PNP SENATE COMMITTEE COMMITTEE ON ON FINANCE APPROP President’s Budget Consolidation DILG/ NAPOLCOM Approval Technical Budget Hearing DBM SONA Bicameral Conferences U P P E R L O W E R General Signing Appropriations Act Approved Appropriations E X E C U T I N G ➥COVERS THE OPERATIONAL PHASE OF BUDGETTING IN THE PNP APPROVED APPROPRIATIONS PNP OPBC FORMULATION OF FINAL OPERATING PROGRAM & BUDGET DBM ISSUANCE OF ALLOTMENT ORDERS Central Office PNP / DC SUB-ALLOTMENTS TO OPERATIONAL SUPPORT UNITS AND ADMINISTRATIVE SUPPORT UNITS SUB-ALLOTS TO POLICE REGIONAL OFFICES (PROs) SUB-ALLOTS TO PROV’L / CITY/ DISTRICT OFFICES SUB-ALLOTS TO POLICE STATIONS REPORTING AND ACCOUNTING ➥ENFORCEMENT OF FISCAL CONTROLS SET UP BY THE NATIONAL GOV’T AND THE PNP NHQ TO ENSURE THAT THE PNP’S FINANCIAL RESOURCES ARE UTILIZED EFFICIENTLY AND SOUNDLY ALLOTMENT ALLOTMENT ORDERS ORDERS SUBMISSION OF QUARTERLY FINANCIAL REPORTS TO CPNP SUBMISSION OF QUARTERLY REPORTS TO THE PRESIDENT (DBM), CONGRESS & COA TO CPNP CONDUCT OF QUARTERLY AND SEMIANNUAL PRA BY OPBC EFFICIENT EFFICIENTAND ANDSOUND SOUND UTILIZATION UTILIZATION FINANCIAL FINANCIALRESOURCES RESOURCES