Transparency mechanisms, oversight, policy management, budget formulation, budget comprehensiveness, budget execution, timeliness and international standards represent the eight dimensions of the FreeBalance “Budget 2.0” assessment framework. The framework is budget-centric because budgets represent the legal embodiment of government policies. Public Financial Management (PFM), e-government and Government 2.0 processes are evaluated in the framework. At this year’s ABFM 2011 conference, Doug Hadden, Vice-President Products at FreeBalance presented "Budget 2.0: The Impact of Open Government and Open Data on Participatory Budgeting and Transparency". This presentation is based on a white paper written by Mr. Hadden titled “Government Budget 2.0 Framework: a framework for evaluating technology for government transparency and Public Financial Management reform”. The white paper is available on Scribd or visit the FreeBalance website www.freebalance.com

1. Version 7 section
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“Budget 2.0”
ABFM, October 15, 2011

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just as you
thought..

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from “e”

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to Gov 2
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5. Version 7 section data
to open
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6. Version 7 section
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back-office

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budget
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“2.0” Roadmap

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where are you?

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Government Performance Management
Data from Government Operations
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Expenditures Revenue
Budget
formulation
Budget
execution
Human
Treasury Resources
Data from Government Operations
Government Performance Management

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evaluation methods
Budget
Evaluation Method Scope Back-Office Technology Front-Office Technology
Implication
Public Expenditure and Financial Comprehensive PFM No technology guidance although PEFA assessments
Yes
Accountability (PEFA) assessment attribute some achievements to the use of technology
Commonwealth Public Financial A3: Use of IFMIS
Comprehensive PFM
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Management Self-Assessment
Toolkit (CPFM-SAT)
The Chartered Institute of Public
assessment
Yes B2: Use of Debt
Management software
O7: Financial No technology guidance for
Comprehensive PFM
Finance & Accountancy (CIPFA) Yes management information publishing information
assessment
Whole Systems Approach systems
Extractive Industries
Revenue Watch Institute Index Yes
transparency
Paris Declaration and Accra Agenda Use of country systems for PFM and procurement does not
Aid effectiveness Yes
for Action specify use of technology
Internet publishing of budget
International Budget Partnership Budget preparation and
Yes documents gains higher rating
Open Budget Index (OBI) reporting transparency
for many categories
Gartner Group Open Government Provides open government
Open government No
Maturity Model technology insight
Institute for Electronic Government
E-Democracy No Use of e-mail systems
e-Democracy Model
Andersen & Henriksen E-
E-Government No
Government Maturity Use of web technology
Horizontal and vertical
Layne and Lee Framework of E-
E-Government No integration within
Government
government
World Bank World Governance Meta collection of 3rd
No
Indicators party indicators
No technology guidance
Governance and anti-
Global Integrity Report No
corruption

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open and open
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16. Transparency Mechanisms
Budget 1.0 Transitional Budget 2.0
Published Documents Web Publishing
Narrative Centric Visualization Centric Open Data
Citizen Centric
Interactive Data
Oversight
Budget 1.0 Transitional Budget 2.0
Parliamentary
Oversight
Audit Audio Visual
Performance Audit Citizen Oversight
Press & NGO
Access to Information
Cooperative Planning Expert Networks

17. Policy Management
Budget 1.0 Transitional Budget 2.0
Macro-Fiscal
Frameworks Performance
Policy-Budget Management Participatory Policy
Linkages
Policy Outreach
Budget Formulation
Budget 1.0 Transitional Budget 2.0
Budget
Budget as Ceremony Participatory Budgeting
Books
Performance
Budget & Commitment Controls Management
Program Budgeting Accrual Budgeting

18. Standards
Budget 1.0 Transitional Budget 2.0
IPSAS Cash IPSAS Accrual
National Standards
IMF GFS XML-based IATI,
MTEF EITI, XBRL
Timeliness
Budget 1.0 Transitional Budget 2.0
Annual Reports Unaudited
In-Year Execution Reports
Audit Reports Open Data
Pre-Budget Statement
Interactive Data

19. Budget Comprehensiveness
Budget 1.0 Transitional Budget 2.0
National
Sub-National
Government
Parastatal
Accrual Extensions
Information Completeness
Budget Execution & Accounting Methods
Budget 1.0 Transitional Budget 2.0
Modified Modified
Cash Full Accrual
Cash Accrual
Budget & Commitment
Controls
Performance Discipline
Cash & Liquidity
Management
Budget Forecasting

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fast
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arbitrary?
best practices?
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accrual skepticism?
confidentiality?
federal governments?
sovereignty?
legislation?
22

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measure
23

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context
24

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Who is FreeBalance?
FreeBalance is a global provider of government resource
planning software (GRP) for public financial management
(PFM)
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– Canadian software company ISO-9001/2008 certified
– Strong domain expertise in government financial management,
100% focus on government
– Integrated technology for budget formulation and public
expenditure management: entire budget cycle
– De facto standard for fast implementations
– Global presence, 18 countries, in every World Bank region