Regional Conference on public participation in the budget process

Fiscal OpENNESS WORKING GROUP, OPEN GOVERNMENT PARTNERSHIP

Ljubljana, Slovenia, 11 May 2017

EXECUTIVE SUMMARY

Main points:

  • Participants from several countries in the East and Central Europe region were brought together to discuss and learn from each other and from experts from other regions, on the subject of transparency and public participation in the budget process.
  • The participants included a very diverse group of professionals, including representatives of national and local governments, civil society, international experts, members of Supreme Audit Institutions as well as of the Slovenian legislature. All countries represented were Open Government Partnership members.
  • All participants were provided an introduction to GIFT and its objectives.
  • The Ministry of Finance representative from Croatia, a GIFT member, highlighted the importance of GIFT’s work and the benefits of membership.

Framing the conversation The conference was opened around the topic of public participation and its importance to ensuring citizens’ needs are reflected in the budget. In Slovenia, significant advancement has been achieved in terms of transparency and budget audit, but there is still work to be done in the area of participation. Croatia has also put significant effort into improving transparency and improving its OBS[1] score. Several of its OGN NAP commitments focus on advancing also in the area of participation.

The role of GIFT as well as of the Open Government Partnership Fiscal Openness Working Group were presented. GIFT has Principles of Public Participation, and a Guide on Public Participation in Fiscal Policy, which includes practical examples, in order to help illustrate how the GIFT principles can be put into practice. Open Knowledge International helped reinforce the message by introducing specific tools, such as the fiscal open data package, to standardize and publish government fiscal information.

International experiences Three presentations of international experiences in public participation were shared with the participants. In Portugal, participatory budgeting has been practiced for 14 years. PB in Portugal stems from the Constitution and is supported by an active Ministry of Modernization. In Cascais, a rich municipality with 200 000 inhabitants, participation increased from 6000 people in 2011, to 56 000 in 2016. The municipality publishes the rate of implementation of projects voted through PB. There is also a specific PB for young people, and financial literacy is taught in schools. Last year a national PB was established.

In South Africa, the Constitution includes the right to information. Public administration principles focus on transparency and accountability. RSA actively promotes transparency and has a high OBS score. Nevertheless, its participation score lags behind. RSA’s second OGP NAP received criticism for not having been sufficiently consulted with civil society. The third NAP improved in this sense and was more widely consulted.

Elgeyo Marakwet County, Kenya practices participatory planning, where county priorities are identified through an inclusive and participatory process. Kenya’s Constitution mandates openness and accountability and the legal framework establishes mandatory participatory county planning processes, organs, tools, financing mechanisms and a reporting framework for public participation. Elgeyo Marakwet county is a local government pilot member of OGP.

Regional experiences of public participation in the East and Central Europe region

Three local government representatives presented examples of local participatory processes. These show examples of processes that have managed not only to engage citizens but so far also to sustain and enhance levels of participation. As a result, citizens are better informed and have a greater sense of control over the budget.

In the city of Pazin, Croatia, two key ingredients helped ensure growing participation and trust; first of all keeping promises to citizens, and secondly strong and sustained engagement of city officials as well as of civil society organizations. The example of Pazin also highlights the dramatic decrease in costs as the process continues, as compared with costs in the first year.

In the city of Ajdovščina, Slovenia, the local PB process has managed to improve citizen participation, thus improving the sense of community as well as quality of life of citizens. The city publishes a book of all eligible projects, for citizens to study and vote on priority projects. The importance of having the Mayor attend all hearings was highlighted as this increases citizen trust.

The city of Ankaran, Slovenia, was itself established through a citizen initiative. The PB process started on initiative of the Mayor of Ankaran. Citizens are invited to submit proposals and the municipality subsequently prepares the budget which, after adoption, is presented to the public.

Improving fiscal transparency and participation, lessons from measurement This session delved into the Open Budget Survey, and discussion of the survey’s methodology to measure public participation, with a particular focus on the PEMPAL[2] countries. When comparing scores on transparency versus participation, most countries have a significant lag in the latter area. Participants were recommended to work on establishing and strengthening mechanisms and opportunities for participation. A historic review of OBS findings was also introduced, along with recommendations for Slovenia. Slovenia’s OBS score in 2015 was 68, while its participation score in the OBS was 56.

Conclusion The event allowed for the initiation of a fruitful discussion and exchange among peers from the region and from other parts of the world, around public participation in fiscal policy. In order to continue to raise awareness around public participation and to encourage its use in the region, this conversation will continue within the framework of the Fiscal Openness Working Group of the Open Government Partnership.

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[1] Open Budget Survey, of the International Budget Partnership.

[2] Public Expenditure Management Peer Assisted Learning of the Europe and Central Asia region countries (PEMPAL).