Toward a Regulatory Budget

A regulatory budget would require the federal government to treat compliance costs incurred by the private sector as if they were incurred by the government, without requiring the government to actually assume those costs. For example, EPA could be given a regulatory compliance budget of say $80 billion in FY98. A regulatory budget would provoke an annual debate in Congress on the size of EPA's or OSHA's budget. Such a debate would force the proponents to weigh the benefits and costs of various regulatory programs, something now lacking in the political process.
Interest in a regulatory budget reflects the slight gains in the quality of regulatory decision making resulting from mandatory regulatory review. It is now apparent that better information about the costs, benefits, and distributional consequences of regulation will not automatically improve regulatory decision making-although it would not hurt.     

Perennial Budget Reform Proposals: Budget Staff versus Elected Officials

This article defines budget reform perennials at the national level as those that reoccur multiple times, with little chance of passage and little change from one iteration to the next. The literature has seldom examined proposals that do not pass or the staff effort that goes into keeping flawed proposals from passing. The article describes the sources of such proposals and what can conceivably be done to lessen the tension they cause. The research is based primarily on qualitative interviews and legislative testimony. Examples of reform perennials include biennial and capital budgeting.     

Budget Reform Proposals in the NPR Report1

A new round of budget process changes began on September 7, 1993, when Vice President Al Gore released the National Performance Review (NPR) report. The report recommended major revisions in the structure and processes of the federal government. A number of these proposals would alter a broad range of budgetary procedures followed by the president and Congress, borrowing in some cases from the states. This article analyzes seven areas of budget proposals contained in the NPR report, analyzes their benefits and drawbacks, and makes general observations about their likely impact on executive-legislative relations.     

Searching for a Role for Citizens in the Budget Process

Citizen participation in the local budget process is not prevalent, despite encouragement from scholars and professional organizations. This case study of two Kansas cities that have used a variety of input mechanisms in the budget process analyzes the effectiveness of citizen budget participation. Limited effectiveness was found, which may largely be due to the timing of the input, unstated or unclear goals, implementation difficulties, and political and environmental constraints. Citizen input appears to have had little effect on budget decisions, and neither city has institutionalized participation in the process. However, the input mechanisms serve other purposes, such as education and support for specific proposals. Describing the benefits as well as the difficulty of involving citizens in a meaningful way is beneficial to other governments as they wrestle with the issue of defining the citizens' role in the budget process.     

Proposals for Improving GPRA Annual Performance Plans

The Government Performance and Results Act process is now well embedded in the departments and agencies, and it is now timely to consider ways to improve the value of agency plans and reports, both to the Congress and to agency managers. This article offers several recommendations about how Annual Performance Plans can be made more valuable.     

Measuring and Promoting Budget Transparency: The Open Budget Index as a Research and Advocacy Tool

Transparency in public budgeting has been a recognized principle of sound governance for a long time. Yet, reliable measures of budget transparency are hard to come by. This article introduces the Open Budget Index (OBI), a new tool based on surveys by independent researchers that compares key budget information published by governments across the world. Data from the latest survey, published in 2010 and covering 94 countries, reveal that on average, the state of budget transparency around the world is poor. Countries with lower incomes, weaker democratic institutions, and higher dependency on foreign aid and hydrocarbon sales tend to be less transparent. However, a number of countries have improved the quantity and coverage of the budget information that they publish, in some cases following civil society pressure based on OBI findings. More generally, OBI data help identify easy steps that governments and other actors could take to further improve budget transparency.     

财政赤字风险:一个新的分析框架

财政赤字风险是由于各项制度的不确定性而导致财政赤字实际效应与预期效应不一致的可能性。财政赤字总量指标并不能完全、真实地反映财政赤字的效应,必须分析财政赤字的效益、结构。     

Budget Process Reform: Waiting for Godot

The unraveling of the budget process described by Irene Rubin will have extraordinary consequences for the long-term budget outlook facing the nation. The retirement of the baby boom generation will prompt unprecedented and unsustainable structural fiscal imbalances for decades to come. Early policy action on the spending and revenue sides of the budget is critical to avert fiscal and economic crisis and to phase in changes in order to avoid precipitous and politically perilous actions in the future. Yet such actions constitute what amounts to a politically unnatural act, as one generation of political leaders is asked to make sacrifices in current policies benefiting future generations. Budget process reforms can serve to highlight the salience of these issues and help deal with the significant political hurdles faced by decision makers in making these intertemporal budgeting trade-offs. Ironically, the need for budget rules and processes has intensified as policy makers have become more vulnerable to polarized political parties, ever more watchful media, and mobilized interest groups. Budget rules and processes can help policy makers cope by protecting their ability to make the hard choices that will be necessary. The pressures for budget process reform will accelerate as the current financial crisis increases near-term budgetary pressures, promoting greater alignment between near-term and long-term fiscal problems.     

The OMB Budget Examiner and The Congressional Budget Process

This is the second of a two-part retrospective on the evolving role of the OMB budget examiner. The examiner has become more active in negotiations with the legislative branch and tracking the legislative status of various fiscal measures. A new central budget management system was created to monitor appropriation bills. The OMB budget examiner has also been increasingly used to provide information for advocacy purposes before Congress and the public. The institutional effect on OMB of these changing roles is examined and suggestions for organizational reform are made.