Question & AnswerQ&A (EXECUTIVE ORDER NO. 95)
The DBM is mandated to prepare and implement the national budget and pursue fiscal and management reforms in the operation of the bureaucracy.
The key priority concerns include adoption of a medium-term expenditure framework, enhancing efficiency in resource utilization by granting more authority and flexibility to agencies, and developing a performance monitoring and evaluation system related to resource allocation.
The B.E.A.T. system is a fully computerized budgeting system aimed at computerizing budget execution and accountability phases to streamline budget release procedures and enable prompt provision of funds to agencies.
The President is empowered under Section 20, Chapter 7, Title I, Book III of Executive Order No. 292 (Administrative Code of 1987) and under Sections 77 and 79 of the General Provisions of Republic Act No. 8745 (FY 1999 General Appropriations Act) to direct changes in organization and key positions and to scale down or abolish unnecessary activities.
The Secretary of Budget and Management must review and adjust operational processes, systems, and setup focusing on policy research, integration of related activities into three functional categories, strengthening budget operation units, delegating more responsibilities to regional offices, and improving coordination between central and regional offices.
The existing personnel shall be redeployed according to the revised organizational structure and staffing pattern without diminishing their rank or compensation, following civil service rules.
Financial resources for the revised staffing pattern shall come from funds available within the DBM, provided that modifications shall not require additional funds for Personal Services.
The Executive Order takes effect immediately as of April 28, 1999.
It aims to shift from cost-based expenditure management to performance-based management by adopting medium-term expenditure frameworks, increasing agency autonomy, and implementing performance monitoring and evaluation systems.
The Secretary is authorized to make operational and structural adjustments within the DBM to achieve effectiveness and efficiency, subject to existing guidelines and staffing standards.