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Measuring Subnational Budget Transparency, Participation, and Accountability: Peru Research Conducted by Grupo Presupuesta Ciudadana

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Measuring Subnational Budget Transparency, Participation, and Accountability: Peru Research Conducted by Grupo Presupuesta Ciudadana Open Budget Initiative Subnational Budget Transparency Studies As subnational governments’ responsibility for resource allocation and service provision has increased, so has the importance of transparency, participation, and accountability at this level. Recognizing this, as well as the scarcity of academic and policy literature on the subject, the International Budget Partnership’s (IBP) Open Budget Initiative commissioned 10 pilot studies on the subject. The studies were carried out by the IBP’s partners in Argentina, Brazil, Bolivia, China, Croatia, Ecuador, India, Mali, Mongolia, and Peru. In contrast to the methodology developed by the IBP for its Open Budget Survey (the IBP’s biennial assessment of transparency in national government budgets), the methodologies for these subnational studies were developed by the organizations that implemented the studies. For more information on the International Budget Partnership or the Open Budget Initiative, contact [email protected] or visit www.internationalbudget.org. Measuring Subnational Budget Transparency, Participation, and Accountability: Peru Research conducted by Grupo Presupuesta Ciudadana Background of research was to regularly monitor and assess a number of quantitative indicators. Some of the Monitoring budget management and transparency indicators included were management instruments; is one of the key components of the work of regional norms and regulations; and data on the Grupo Propuesta Ciudadana (GPC), a civil society level of citizen participation in the budget process, organization in Peru. Since 2003 GPC has been public investment projects, and public procurement. engaged in monitoring the fiscal decentralization By collecting this data at regular intervals over the process through which more responsibility for two year period, GPC was able to track changes in budget management has gone from the central each regional government’s performance. government to regional and local governments. As part of this work, GPC and some of its partner For the second part of the study, further research organizations undertook a study to monitor and was conducted in three regions: Piura, Cusco, evaluate regional budget transparency and and Lambeyque. These case studies identifed accountability mechanisms. This study included the main information demands of civil society, two main activities: 1) it evaluated regional particularly those of the participatory budgeting transparency portals provided between 2007 and (PB) surveillance committees, and assessed 2009 by all of Peru’s regional governments; and 2) regional government mechanisms for fulfilling laws it assessed in more detail the budget management to facilitate citizen participation and monitoring, practices and processes of three regional access to information, and accountability. As part governments in case studies. These included an of the research and assessment, the GPC, with examination not only of access to information assistance from local partner organizations in each but also of participatory budgeting and citizen of the three regions: demands for information. 1) examined accountability workshops on the Methodology 2011 participatory budget (reporting on the previous year’s participatory budget); The first part of the study gives an overall view of regional government budget transparency and 2) advised the participatory budget monitoring accountability across Peru. The primary method committees; 3) held a workshop attended by civil society budgeting accountability; and 4) citizen demand leaders, who are the potential users of budget for information. Lambayeque appears to have information and mechanisms for access to the most efficient request and compliance information and accountability, and by the mechanisms and services in place, with their regional officials in charge of implementing fast service and document sharing between these mechanisms; departments and regions serving as a model for other regional governments to emulate. 4) organized individual citizens to file requests Although requests in Piura had suffered from for information on the budget with the regional delays in delivering all the information on-time, government; and information requests are now sent directly to an information officer. This has streamlined the 5) interviewed regional officials in charge of process and contributed to some improvements. transparency, access to information, and In general, citizens take advantage of multiple accountability. distribution channels to request substantial budget 2 information, but the fact that the governments Key Findings receive formal requests for information that is Overall, regional governments either maintained readily available on transparency portals shows or improved their performance on transparency the need for increased outreach and education on portals between 2007 and 2009; the number what information is available to the public, and how of regions that performed well increased from it can be accessed. five in March 2007 to 18 in December 2009. Aside from distributing hard copies and responding This significant increase in the number of to in-person requests for information, online regions scoring well on transparency measures transparency portals have been adopted by is accompanied by an increase in the actual many of Peru’s regional governments and are performance percentages of most of the regions, an excellent way to provide budget information from an average of 62 percent in 2007 to an to the public. In Cusco, the new transparency average of 77 percent in 2009. Similarly, the portal has led to more effective organization number of poor performers decreased from and management of public budget information. 10 in March 2007 to one region, Ancash, in The study finds that the portals across regions March 2009. GPC credits these improvements could be more user-friendly but, in general, the in regional government performance to a transparency portals provide up-to-date and combination of factors, including increased comprehensive budget information. political will, development of legal norms, and the active engagement of public officials in Researchers attended participatory budgeting charge of transparency portals. However, the meetings in the three regions, where citizens, results also show that despite progress in many civil society representatives, and government regions, information on public procurement, public officials come together to decide where and how investment projects, and the budget is generally public funds should be allocated. Attendance at incomplete and outdated. these meetings is generally low (from around 45 in Lambayeque to 189 in Cusco), with negligible The case study research on the regional representation from key government officials. governments of Piura, Cusco, and Lambayeque Accountability through participatory budgeting was facilitated by Vigila Peru and the Centro de remains difficult because of the disorganized Investigacion y Promocion del Campesinado and mismanaged nature of these meetings and (CIPCA), partners of GPC that have been the reports that are produced on the meetings. monitoring certain Peruvian regions for a There is little to no discussion of the problems number of years. The case studies focused or achievements from previous years, and a on evaluating four key areas of transparency belief that these participatory budgeting efforts and budget management: 1) requests for are merely a formality to fulfill legal requirements government records and compliance with such has led to few measurable results emerging from requests; 2) transparency portals; 3) participatory these meetings. Dissemination the issue of regional budget transparency in newspapers, radio programs, and online news Since the completion of its study, Grupo Propuesta sources at both the regional and national level. Ciudadana has organized a number of public This initiative also capitalized on Peru’s general events to share the results of their report on elections to raise awareness of the importance regional government budget transparency. of good governance, accountability, and budget Events were held throughout Peru, including a transparency at all levels of government. For national event in Lima, which was attended by further information, contact Epifanio Baca at representatives from government, civil society, [email protected]. and the media. GPC has used this study to raise Recommendations Regional governments should engage in broader outreach to publicize the 3 From the general assessment of budget participatory budgeting process. transparency in Peru’s 25 regions and the more detailed case studies carried out in Piura, More information on completed Cusco, and Lambayeque, Grupo Propuesta development projects should be provided, Ciudana recommends the following: as well as their links to strategic objectives in local development plans, as part of the Regional governments should establish a participatory budgeting process. standard process for responding to requests for information, including clearly defined Participatory budgeting meetings should be roles and responsibilities of different officials more structured, with greater attendance and departments throughout the process. by key government officials, and evaluation mechanisms for the participatory budgeting Regional governments should make process should be put in place. online transparency portals more user- friendly, increase bandwidth capacity, and Both members of the public and local provide
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