Tournament Approaches to Policy Reform: Making Development Assistance More Effective

Appendix B: Technical Exhibits for the Detailed Case Study Assessments

318 Technical Exhibits for the Detailed Case Study Assessments B APPENDIX Appendix B1. Russian Fiscal Tournament Indicators Criteria for measuring Objective performance Expected outcomes Budget process Extend coverage of the budget and improve the clarity and methods of budget process. Conformity of regional budget to budget code. Consolidation of extrabudgetary funds into the regional budget. Separation of budget into current and capital components. Introduction of medium-term financial planning. Assessment of preferences, grants-in-aid, and subsidies. Move toward payment of benefits rather than granting of preferences. Introduction of satisfactory treasury execution of budgets. Regional budgets standardized along lines of legislation. No extrabudgetary funds at the regional level. Greater transparency over capital budgeting. Medium-term plan or forecasting for budget and macrovariables. Preferences, exemptions, or subsidies become transparent and are reduced, and over time are replaced by payment of benefits. Improved management, execution, and transparency of the budget. (continued) 11601-09_AppB-rev2.qxd 5/4/09 11:37 AM Page 318 appendix b 319 Criteria for measuring Objective performance Expected outcomes Tax policy Systematize tax policy in regions so that it is consistent with federal legislation, encourages transparency and mobilization of revenues, and discourages arrears. Expenditure management Improve overall use, allocation, and mechanics of expenditure. Intergovernmental system within region Improve clarity and predictability of resource flows between regions and local governments. Conformity of regional tax system to federal legislation. Reduction in regional tax arrears. Reduction in noncash payment of taxes. Process for granting tax exemptions legalized and limited. Establish basis for property tax by developing property rights registration. Development of spending priorities. Reduce wage arrears to budget employees. Methodology for evaluating efficiency and effectiveness of expenditures put in place. Implementation of clear procurement procedures, including competitive bidding and full information on bids, and results published in mass media. Legislation detailing expenditure authority between regional and local administrative levels. Reduction in regional unfunded mandates (to local governments). Standard rates of revenue assignment (sharing) across region. Regional tax policy consistent with federal legislation. Tax arrears approach zero (remaining related only to insolvency issues). 100 percent cash payment for taxes. Process transparent, helps promote “level playing field.” Property rights are registered and protected. Improved allocation of resources. Wages arrears for budgetary institutions do not exceed one month’s pay and are brought to zero over time. Improved effectiveness of resources over time. Over 70 percent of budget expenditures on goods and services are awarded through tenders; full information on competitive bidding and tenders available in mass media. Expenditure responsibilities are clear. Regional unfunded mandates approach zero over time. Increased predictability on revenue side. (continued) 11601-09_AppB-rev2.qxd 5/4/09 11:37 AM Page 319 320 appendix b Appendix B2. Nigerian Scorecard Assessment Calculation 1. For interviews with communities and LGAs: After all of the fieldwork is completed and reports are compiled for each LGA, each individual respondent’s answer to each distinct set of questions (focusing on a particular issue) will be assigned a score of 0, 1, or 2, where 0 indicates a negative situation, 1 indicates a marginal or indifferent situation, and 2 indicates a positive or promising situation. 2. The average of scores on all sets of questions will be the overall score from that community.1 The overall scores from all three communities will be averaged to yield a responsiveness to communities score, RC: RC = (sum of overall scores from each communit ty)/ number of sets of equations ( ) Criteria for measuring Objective performance Expected outcomes Debt management Improve information base and management of debt. Information and audit Ensure adequate auditing of use of public resources. Source: World Bank (2006b). Clear methodology for allocating transfers. Introduce consolidated accounting for all regional liabilities. Reduce overdue debt liabilities (and accounts payable). Draw up consolidated schedule for debt payments. Analysis of debt capacity based on anticipated revenue flows. Public dissemination of budget. Implementation of audits by independent auditors on a systematic basis; audits publicly available. Allocation of resources to local governments transparent and predictable. Quantification and transparency of all debt liabilities. Overdue debt liabilities and accounts payable reduced to less than 20 percent of budget revenues. Pay liabilities in cash on time and in full. Clear measure of borrowing capacity established. Budget published through mass media and Internet to encourage public accountability. Strengthen information base and accountability concerning use of funds. Source: This appendix is largely taken from Terfa (2005b). 1. Currently, this includes the...