Open Budget Survey 2015 Portugal · Open Budget Survey 2015 Portugal Section 1. Public Availability...

Open Budget Survey 2015

Portugal

Section 1. Public Availability of Budget Docs. “Section One: The Availability of BudgetDocuments” contains a series of four tables that allow the researcher to examine and mapthe public availability and dissemination of its country’s key budget documents (i.e., Pre-Budget Statement, Executive’s Budget Proposal (EBP) and Supporting EBP Documents,Citizens Budget, Enacted Budget, In-Year Reports, Mid-Year Review, Year-End Report, andAudit Report), as well as any national laws regulating budget processes and financialmanagement. Once filled in, these tables will serve as a foundation for the completion of therest of the questionnaire, as researchers will reference the specific documents cited in thetables to answer the questions contained in Sections 2-5 of the questionnaire.

Table 1. Key Budget Documents

Portugal

BUDGET DOCUMENT Full TitleFiscal Year the Budget Document Refers to

Date of Publication

Pre-Budget StatementDocumento deEstratégia Orçamental(DEO)

2014-2018 April 30, 2014

Executive's Budget Proposal (EBP)

Proposta de Lei doOrçamento do Estado

2014 October 15, 2013

Supporting EBP Document

Mapas orçamentais 2014 October 15, 2013


Desenvolvimentosorçamentais

2014 October 15, 2013


Relatório doOrçamento do Estado

2014 October 15, 2013

javascript:void(0)javascript:void(0)

Enacted BudgetLei do Orçamento doEstado

2014 December 31, 2013

Citizens Budget (for EBP or Enacted Budget)

Orçamento Cidadão2014 (enacted budget -see note in "sources")

February 2, 2014

In-Year ReportSíntese da execuçãoorçamental

2014 (monthly)On the 20th of themonth after thereference period

Additional in-year report

Boletim Mensal daDívida Pública

2014 (monthly)On the month after thereference period, nostrict deadline

Additional in-year report

Not Available Not Available Not Available

Mid-Year Review Not Available Not Available Not Available

Year-End Report Conta Geral do Estado 2012 July 1, 2013

Audit ReportParecer do Tribunal deContas sobre a ContaGeral do Estado

2012 December 19, 2013

Sources: "Lei de Enquadramento Orçamental", Portugal's budget law, sets the rules for the budget process, types of documents to bepublished and respective dates/deadlines and is available online at http://www.dgo.pt/legislacao/Paginas/default.aspx. The Citizens'Budget was based on the EBP and was due one month after the EBP's publication date. However, as it was the first edition of thePortuguese Citizens' Budget, this was published with significant delay, only in February 2014. Therefore, some amendments were made -and data updated - to account for changes from the EBP to the Enacted Budget. Note that the EB was approved on 26 November 2013,therefore the CB can be considered as publicly available despite the delay.

PEER REVIEWER

Opinion: Yes, I agree with the score but wish to add a comment, clarification, or suggest another reference.

Comments: A precision about the sources: "Lei de Enquadramento Orçamental" is Portugal's Budget Framework Law, as required by theConstitution of the Portuguese Republic (http://www.en.parlamento.pt/Legislation/CRP/Constitution7th.pdf). This should not be confusedwith each year's budget law. The Citizens' Budget released for the first time in February 2014 was a joint pilot project of the Ministry ofFinance with a public policy University institute. It is not a mandatory requirement, as it is not considered in the budgetary framework law.

Table 2a. Details about Availability

Portugal

Budget Documents Tick box if answer to the questions is “yes”

Pre-Budget StatementExecutive’s BudgetProposal

Enacted Budget Citizens Budget

Is it produced at all?Yes

No

Yes

No

Yes

No

Yes

No

http://www.dgo.pt/legislacao/Paginas/default.aspxhttp://www.en.parlamento.pt/Legislation/CRP/Constitution7th.pdf

Is it produced for internal purposes only?

Yes

No

Yes

No

Yes

No

Yes

No

Is it published too late compared to the acceptedtimeframe?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public in hard copy, with charge?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public in hard copy, NO charge?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public in soft copy, with charge?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public in soft copy, NO charge?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public online?Yes

No

Yes

No

Yes

No

Yes

No

If available online, provide internet/URL address

http://www.portugal.gov.pt/media/1405438/20140430%20DEO.pdf

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Lei-2014.pdf

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Or%C3%A7amento%20Estado%20Aprovado/Documentos%20do%20OE/Lei_83-C_2013-OE2014_VersaoDR.pdf

http://www.portugal.gov.pt/media/1348545/orcamento%20cidadao.pdf

Is it machine readable? [only for electronic copies]

Yes

No

Yes

No

Yes

No

Yes

No

Is there a “citizens version” of the budget document?

Yes

No

Yes

No

Yes

NoN/A

Sources: All required information, is available at the website of the Budgetary Affairs department of the Ministry of Finance athttp://www.dgo.pt. The deadlines for each document to be published are set in the budget law referred to in the previous section.

PEER REVIEWER


Comments: Again, as in the previous section, the budget law referred to by the researcher is the budget framework law.

Table 2b. Details about Availability

Portugal

Budget Documents Tick box if answer to the questions is “yes”

http://www.portugal.gov.pt/media/1405438/20140430%20DEO.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Lei-2014.pdfhttp://www.dgo.pt/http://www.portugal.gov.pt/media/1348545/orcamento%20cidadao.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Or%C3%A7amento%20Estado%20Aprovado/Documentos%20do%20OE/Lei_83-C_2013-OE2014_VersaoDR.pdf

In-Year Report Mid-Year Review Year-End Report Audit Report

Is it produced at all?Yes

No

Yes

No

Yes

No

Yes

No

Is it produced for internal purposes only?

Yes

No

Yes

No

Yes

No

Yes

No

Is it published too late compared to the accepted timeframe?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public in hard copy, with charge?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public in hard copy, NO charge?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public in soft copy, with charge?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public in soft copy, NO charge?

Yes

No

Yes

No

Yes

No

Yes

No

Is it available to the public online?Yes

No

Yes

No

Yes

No

Yes

No

If available online, provide internet/URL address

Main in-year report (listof links to monthlyreports for 2014):http://www.dgo.pt/execucaoorcamental/Paginas/Sintese-da-Execucao-Orcamental-Mensal.aspx?Ano=2014&Mes=Mar%C3%A7o Additionalreport 1 (list of links tomonthly reports for2014):http://www.igcp.pt/gca/index.php?id=1346

Not Available.

http://www.dgo.pt/politicaorcamental/Paginas/Conta-Geral-do-Estado.aspx?Ano=2012http://www.dgo.pt/execucaoorcamental/Paginas/Sintese-da-Execucao-Orcamental-Mensal.aspx?Ano=2014&Mes=Janeiro

http://www.tcontas.pt/pt/actos/parecer-cge/2012/parecer-cge-2012.shtm

Is it machine readable? [only for electronic copies]

Yes

No

Yes

No

Yes

No

Yes

No

Is there a “citizens version” of the budget document?

Yes

No

Yes

No

Yes

No

Yes

No

Sources: *Note that (just as for table 2a) none of these documents are available in hard/soft copy, including those (such as the EnactedBudget or the Audit Report) which are published in the Journal of the Portuguese Parliament, which is only published in electronic form.*The additional In-year Report, also mentioned in Table 1, consists of a small report on the monthly evolution of interest rates on bondsoutstanding, the market for government debt in more general terms, and other relevant information on debt, and is published by IGCP(the Portuguese government debt agency). *Note that, apart from the Year-End Report proper, the last In-Year Report of the year providesan overview of budgetary outturns for the whole period. As for any other month, this is also published in the form of Excel tables. For this

http://www.dgo.pt/execucaoorcamental/Paginas/Sintese-da-Execucao-Orcamental-Mensal.aspx?Ano=2014&Mes=Mar%C3%A7ohttp://www.tcontas.pt/pt/actos/parecer-cge/2012/parecer-cge-2012.shtmhttp://www.dgo.pt/politicaorcamental/Paginas/Conta-Geral-do-Estado.aspx?Ano=2012http://www.igcp.pt/gca/index.php?id=1346http://www.dgo.pt/execucaoorcamental/Paginas/Sintese-da-Execucao-Orcamental-Mensal.aspx?Ano=2014&Mes=Janeiro

reason, we answer Yes in the question "Is it machine readable?" for the Year-End Report, and provide the URL for the aforementioned IYR,in addition to that of the Year-End Report.

PEER REVIEWER

Opinion: Yes, I agree with the score and have no comments to add.

Table 3. When Are the Key Budget Documents Made Available tothe Public?

Portugal

Pre-Budget Statement: When is the Pre-Budget Statement made available to the public?

100. At least four months in advance of the budget year, and at least one month before the executive’s budget proposal is introduced in thelegislature

67. At least two months, but less than four months, in advance of the budget year, and at least one month before the executive’s budgetproposal is introduced in the legislature

33. Less than two months in advance of the budget year, but at least one month before the executive’s budget proposal is introduced in thelegislature

0. Does not release to the public, or is released less than one month before the executive’s budget proposal is introduced to the legislature

Executive Budget Proposal: When is the Executive Budget Proposal made available to the public?

100. At least three months in advance of the budget year, and in advance of the budget being approved by the legislature

67. At least two months, but less than three months, in advance of the budget year, and in advance of the budget being approved by thelegislature

33. Less than two months in advance of the budget year, but at least in advance of the budget being approved by the legislature

0. Does not release to the public, or is released after the budget has been approved by the legislature

Enacted Budget: When is the Enacted Budget made available to the public?

100. Two weeks or less after the budget has been enacted

67. Between two weeks and six weeks after the budget has been enacted

33. More than six weeks, but less than three months, after the budget has been enacted

0. Does not release to the public, or is released more than three months after the budget has been enacted

In-Year Report: When are In-Year Reports made available to the public?

100. At least every month, and within one month of the period covered

67. At least every quarter, and within three months of the period covered

33. At least semi-annually, and within three months of the period covered

0. Does not release to the public

Mid-Year Review: How long after the mid-point in the fiscal year (i.e., six months into the fiscal year) is the Mid-Year Review made available to the public?

100. Six weeks or less after the mid-point

67. Nine weeks or less, but more than six weeks, after the mid-point

33. More than nine weeks, but less than three months, after the mid-point

0. Does not release to the public, or is released more than three months after the mid-point

Year-End Report: How long after the end of the budget year is the Year-End Report made available to the public?

100. Six months or less after the end of the budget year

67. Nine months or less, but more than 6 months, after the end of the budget year

33. More than nine months, but within 12 months, after the end of the budget year

0. Does not release to the public, or is released more than 12 months after the end of the budget year

Audit Report: How long after the end of the fiscal year are the final annual expenditures of national departments audited and released (except for secret programs)?

100. Six months or less after the end of the budget year

67. 12 months or less, but more than 6 months, after the end of the budget year

33. More than 12 months, but within 18 months, after the end of the budget year

0. Does not release to the public, or is released more than 18 months after the end of the budget year

Sources: While the final Enacted Budget was, for 2014, approved in November 2013, it only is enacted, in the sense that it enters intoforce, on the 1st day of 2014, and the document was published on Dec. 31st 2013. The version of the Audit Report referred to in theprevious section offers details on the publication calendar for the Year-End Report and Audit Report.

PEER REVIEWER


Table 4. General Questions

Portugal

YES/NOIf yes, additional information; If no, please note N/A in the text box.

Is there a website or web portal for government fiscal information?

Yes

No

http://www.dgo.ptBudgetary a�airsdepartment, alreadymentioned in previoussectionshttp://www.portugal.gov.pt/pt/os-ministerios/ministerio-das-�nancas/documentos-o�ciais/ - Government"citizen-friendly"website, many o�cialdocuments are eitheralso or exclusivelyhosted here, such asthe Citizens Budget andthe Pre-BudgetStatement

Budget law, alreadyreferred to in previoussections, available here

http://www.dgo.pt/http://www.portugal.gov.pt/pt/os-ministerios/ministerio-das-financas/documentos-oficiais

Is there a law (or laws) guiding public financial management?

Yes

No

http://www.dgo.pt/legislacao/Paginas/default.aspx Also available, fromthe same source, islegislation on public�nancial accounting.

Are there additional laws regulating:• Access to information?• Transparency?• Citizens participation?

Yes

No

"Lei de Acesso aosDocumentosAdministrativos"guarantees that anycitizen can have freeaccess to anyadministrativedocument - includingany related to �scalmatters and the budgetprocess in particular.This is Law no. 43/2007,available online at:http://www.dre.pt/pdf1s%5C2007%5C08%5C16300%5C0568005687.pdf.

Sources: *Note that the existence of independent public authorities that scrutinize budget information, namely the Conselho de FinançasPúblicas (Public Finances Council) and the Unidade Técnica de Apoio Orçamental (Budget Support Unit for the Parliament's BudgetCommission) also reinforces the promotion of transparency and free access to information. *There is also a special-purpose entity,"Comissão de Acesso aos Documentos Administrativos", which enforces the law mentioned in the third question of Table 3 and promotesits use by citizens, as well as study the impact it is able to achieve. *It is important to note that there is no legal provision or entity createdwith the purpose of promoting citizens' participation in the budget process.

PEER REVIEWER


Comments: The budget law referred to by the researcher is, more precisely, the Budget Framework Law. The Constitution of thePortuguese Republic (http://www.en.parlamento.pt/Legislation/CRP/Constitution7th.pdf) contains the principles that guide public financialmanagement. The independent public entities that scrutinize budget information, namely the Conselho de Finanças Públicas (PublicFinances Council) and the Unidade Técnica de Apoio Orçamental (Budget Support Unit for the Parliament's Budget Commission) produceregular reports on the various budget documents, which, as the researcher points out, reinforces, in practice, the promotion oftransparency and the participation of public opinion in the budget discussions. As the researcher notes, there is no legal provision or entitycreated with the purpose of promoting citizens' participation in the budget process, only very general constitutional principles, repeated inthe budget framework law.

Section 2. Comprehensiveness of the Executive's Budget Proposal

001. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditures for the budgetyear that are classified by administrative unit (that is, byministry, department, or agency)?

http://www.dre.pt/pdf1s%5C2007%5C08%5C16300%5C0568005687.pdfhttp://www.en.parlamento.pt/Legislation/CRP/Constitution7th.pdfhttp://www.dgo.pt/legislacao/Paginas/default.aspx

A. Yes, administrative units accounting for all expenditures are presented.

B. Yes, administrative units accounting for at least two-thirds of, but not all, expenditures are presented.

C. Yes, administrative units accounting for less than two-thirds of expenditures are presented.

D. No, expenditures are not presented by administrative unit.

E. Not applicable/other (please comment).

Portugal

A.

Score: 100

Sources: Expenditures presented by administrative unit can be found in "Mapas orçamentais" which support the EBP, namely Map II(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map02-2014.pdf) for central administration services, and Map VII(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map07-2014.pdf) for special agencies ("Serviços e Fundos Autónomos").

PEER REVIEWER


Comments: It should be noted that even the State entities with autonomy to propose and approve their own budget (like the office of thePresidency of the Republic, the Parliament and Superior Courts), must include their complete budget information in the EBP / supportingdocuments.

002. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditures for the budgetyear by functional classification?

A. Yes, expenditures are presented by functional classification.

B. No, expenditures are not presented by functional classification.

C. Not applicable/other (please comment).

Portugal

A.

Score: 100

Sources: Expenditures presented according to a functional classification can be found in "Mapas orçamentais" which support the EBP,namely Map III(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map03-2014.pdf) for central administration services, and Map VIII(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map08-2014.pdf) for special agencies ("Serviços e Fundos Autónomos").

PEER REVIEWER

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map03-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map07-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map02-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map08-2014.pdf


003. If the Executive’s Budget Proposal or any supporting budgetdocumentation presents expenditures for the budget year byfunctional classification, is the functional classificationcompatible with international standards?

A. Yes, the functional classification is compatible with international standards.

B. No, the functional classification is not compatible with international standards, or expenditures are not presented by functionalclassification.


Portugal

B.

Score: 0

Sources: From the same sources provided on the previous question, it can be observed that information is provided is not in line withCOFOG classification, as per the rules laid down by Eurostat for EU countries inhttp://epp.eurostat.ec.europa.eu/portal/page/portal/product_details/publication?p_product_code=KS-RA-11-013

PEER REVIEWER


Comments: The functional classification presented by the EBP follows a previous version of COFOG, not the most recent one.

004. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditures for the budgetyear by economic classification?

A. Yes, expenditures are presented by economic classification.

B. No, expenditures are not presented by economic classification.


Portugal

A.

Score: 100

Sources: Expenditures presented by economic classification can be found in "Mapas orçamentais" which support the EBP, namely Map IV(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map04-2014.pdf) for central administration services, and Map IX(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map09-2014.pdf) for special agencies ("Serviços e Fundos Autónomos").

http://epp.eurostat.ec.europa.eu/portal/page/portal/product_details/publication?p_product_code=KS-RA-11-013http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map04-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map09-2014.pdf

PEER REVIEWER


005. If the Executive’s Budget Proposal or any supporting budgetdocumentation presents expenditures for the budget year byeconomic classification, is the economic classificationcompatible with international standards?

A. Yes, the economic classification is compatible with international standards.

B. No, the economic classification is not compatible with international standards, or expenditures are not presented by economicclassification.


Portugal

B.

Score: 0

Sources: Information in the sources referred to in the previous question is not provided in accordance with GFS standards. There aredifferences in some items' classification and codes are different. (In GFS economic classification "Codes beginning with 1 refer to revenue;codes beginning with 2 refer to expense; and codes beginning with 3 refer to transactions in non-financial assets, financial assets, andliabilities". This is not the case in Portuguese Classification system).

PEER REVIEWER


Comments: The degree of consistency with the International Monetary Fund’s (IMF) 2001 Government Finance Statistics (GFS) is high,although not complete.

006. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditures for individualprograms for the budget year?

A. Yes, programs accounting for all expenditures are presented.

B. Yes, programs accounting for at least two-thirds of, but not all, expenditures are presented.

C. Yes, programs accounting for less than two-thirds of expenditures are presented.

D. No, expenditures are not presented by program.


Portugal

A.

Score: 100

Sources: Expenditure budgeting according to programs is fully disclosed in "Mapas orçamentais" which support the EBP, namely in MapXV (http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map15-2014.pdf) and Map XVI(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map16-2014.pdf) - the latter provides a breakdown of this information by regions. Also, together with the EBP a report is provided in(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20Informativos/2014_Programas_Prop.pdf) which provides extensive information on the specific measures, and respective expenditure allocations, underlyingeach program. There are limitations, however, since "programs" are much in line with ministries. So much so, that when the governmentorganic changes, the number of programs also changes.

PEER REVIEWER


007. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditure estimates for amulti-year period (at least two-years beyond the budget year)by any of the three expenditure classifications (byadministrative, economic, or functional classification)?

A. Yes, multi-year expenditure estimates are presented by all three expenditure classifications (by administrative, economic, and functionalclassification).

B. Yes, multi-year expenditure estimates are presented by two of the three expenditure classifications.

C. Yes, multi-year expenditure estimates are presented by only one of the three expenditure classifications.

D. No, multi-year expenditure estimates are not presented by any expenditure classification.


Portugal

D.

Score: 0

Sources: Not presented

Comments: Multi-year expenditure estimates are not presented, except for two cases. First, the case of social security contributions, forwhich broad estimates are presented in the Report that supports the EBP. Second, expenditures on "programmes" funded by ownrevenues(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf).

PEER REVIEWER


Comments: The researcher refers to "social security contributions", meaning, instead, "social security benefits".

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map16-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map15-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20Informativos/2014_Programas_Prop.pdf

008. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditure estimates for amulti-year period (at least two-years beyond the budget year)by program?

A. Yes, multi-year estimates for programs accounting for all expenditures are presented.

B. Yes, multi-year estimates for programs accounting for at least two-thirds of, but not all, expenditures are presented.

C. Yes, multi-year estimates for programs accounting for less than two-thirds of expenditures are presented.

D. No, multi-year estimates for programs are not presented.


Portugal

C.

Score: 33

Sources: Multi-year estimates are provided only for "projects", which are a specific subset of programs, accounting for less than two-thirdsof expenditures (about €16bi), in a report supporting the EBP(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20Informativos/2014_Programas_Prop.pdf)

PEER REVIEWER


Comments: The comment by the researcher, to the previous question, also applies to this one: "Multi-year expenditure estimates are notpresented, except for two cases. First, the case of social security benefits, for which broad estimates are presented in the Report thatsupports the EBP. Second, expenditures on "programmes" funded by own revenues(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf)."

009. Does the Executive’s Budget Proposal or any supportingbudget documentation present the individual sources of taxrevenue (such as income tax or VAT) for the budget year?

A. Yes, individual sources of tax revenue accounting for all tax revenue are presented.

B. Yes, individual sources of tax revenue accounting for at least two-thirds of, but not all, tax revenues are presented.

C. Yes, individual sources of tax revenue accounting for less than two-thirds of all tax revenues are presented.

D. No, individual sources of tax revenue are not presented.


Portugal

A.

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20Informativos/2014_Programas_Prop.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf

Score: 100

Sources: Data discriminating tax revenues can be found in "Mapas orçamentais" which support the EBP, namely Map I(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map01-2014.pdf) for taxes collected by central administration services, and Map VI(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map06-2014.pdf) for those collected by special agencies ("Serviços e Fundos Autónomos").

PEER REVIEWER


010. Does the Executive’s Budget Proposal or any supportingbudget documentation present the individual sources of non-tax revenue (such as grants, property income, and sales ofgovernment-produced goods and services) for the budgetyear?

A. Yes, individual sources of non-tax revenue accounting for all non-tax revenue are presented.

B. Yes, individual sources of non-tax revenue accounting for at least two-thirds of, but not all, non-tax revenues are presented.

C. Yes, individual sources of non-tax revenue accounting for less than two-thirds of all non-tax revenues are presented.

D. No, individual sources of non-tax revenue are not presented.


Portugal

A.

Score: 100

Sources: See sources provided in the previous question. Also, Map X(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map10-2014.pdf) provides information on social security revenues.

PEER REVIEWER


011. Does the Executive’s Budget Proposal or any supportingbudget documentation present revenue estimates by category(such as tax and non-tax) for a multi-year period (at least two-years beyond the budget year)?

A. Yes, multi-year estimates of revenue are presented by category.

B. No, multi-year estimates of revenue are not presented by category.

C. Not applicable/other (please

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map01-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map06-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map10-2014.pdf

Portugal

B.

Score: 0

Sources: Multi-year estimates of revenue are not presented, except for the case of social security contributions, for which broad estimatesare presented in the Report that supports the EBP(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf) - please refer to the the table in page 218

PEER REVIEWER


012. Does the Executive’s Budget Proposal or any supportingbudget documentation present estimates for individualsources of revenue presented for a multi-year period (at leasttwo-years beyond the budget year)?

A. Yes, multi-year estimates for individual sources of revenue accounting for all revenue are presented.

B. Yes, multi-year estimates for individual sources of revenue accounting for at least two-thirds of, but not all, revenue are presented.

C. Yes, multi-year estimates for individual sources of revenue accounting for less than two-thirds of revenue are presented.

D. No, multi-year estimates for individual sources of revenue are not presented.


Portugal

C.

Score: 33

Sources: See previous question

PEER REVIEWER


013. Does the Executive’s Budget Proposal or any supportingbudget documentation present three estimates related togovernment borrowing and debt: the amount of net newborrowing required during the budget year; the total debtoutstanding at the end of the budget year; and interestpayments on the debt for the budget year?

A. Yes, all three estimates related to government borrowing and debt are presented.

B. Yes, two of the three estimates related to government borrowing and debt are presented.

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf

C. Yes, one of the three estimates related to government borrowing and debt are presented.

D. No, none of the three estimates related to government borrowing and debt are not presented.


Portugal

A.

Score: 100

Sources: The three estimates are presented (as a percentage of GDP) in p.40 of the Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf)

PEER REVIEWER


Comments: Additional and more detailed information is provided on pages 123-125 of the Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf).

014. Does the Executive’s Budget Proposal or any supportingbudget documentation present information related to thecomposition of the total debt outstanding at the end of thebudget year? (The core information must include interest rateson the debt instruments; maturity profile of the debt; andwhether it is domestic or external debt.)

A. Yes, information beyond the core elements is presented for the composition of the total debt outstanding.

B. Yes, the core information is presented for the composition of the total debt outstanding.

C. Yes, information is presented, but it excludes some core elements.

D. No, information related to composition of total debt outstanding is not presented.


Portugal

B.

Score: 67

Sources: The composition of debt is roughly presented in p.125 of the Budget Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf) but none of the "core" information is presented. It should be noted however that this information is made available in a timelyfashion regularly by the government agency responsible for debt management (http://www.igcp.pt) - which we mentioned in section 1.Namely, in-detail information about the composition of debt outstanding by the end of 2013 was made available by this agency by January20th of the following year (sources: date of publication - http://www.igcp.pt/gca/index.php?id=133; broad overview figures -http://www.igcp.pt/fotos/editor2/2014/Estatisticas/01_Annual_figures.xls; other core elements and some additional ones -http://www.igcp.pt/fotos/editor2/2014/Estatisticas/07_Benchmarks.xls (note this is last month's release, as the agency does not keep a

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdfhttp://www.igcp.pt/fotos/editor2/2014/Estatisticas/01_Annual_figures.xlshttp://www.igcp.pt/gca/index.php?id=133http://www.igcp.pt/fotos/editor2/2014/Estatisticas/07_Benchmarks.xlshttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdfhttp://www.igcp.pt/

public archive of these files); other additional information, namely a maturity calendar for all debt -http://www.igcp.pt/fotos/editor2/2014/Estatisticas/07_Redemption_Profile-updated_20140721.xlsx.

PEER REVIEWER

Opinion: No, I do not agree with the score.

Suggested Answer: c.

Comments: Some (incomplete) information is provided on pages 84-85, 105 and 123-125 of the Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf), namely regarding maturities and euro vs non euro denominated debt (although not domestic vs external), implicit interest rateand budget risks sensitivity to changes in interest rates.

RESEARCHER'S RESPONSE

While it is true that, as we mentioned in our comments here, the budget documentation (namely the EBP report) lacks some of the coreelements mentioned (detailed interest rate discrimination, detailed maturities and not only short/long-term, proportion of external debt),the information available at IGCP website is very extensive and includes not only all of the core elements but plenty of information beyond,such as detailed interest rate, denomination, maturity date and other, for each individual batch of treasury bonds and other instruments.IGCP is a government agency, its website is open and freely accessible to the public. We are of the opinion that for these reasons, andconsidering the breadth and depth of the information it provides, to answer C) here would be excessively taxing. Having said that, werecognise that in the budget documents themselves there is no explicit reference to this website and/or how the reader may access it(apart from the reference to IGCP as a source of data). With this in mind we accept to "downgrade" the answer to Question 14 from A) toB). A recommendation to the government should be issued, indicating that, if including all the information made available by IGCP in theEBP report is not feasible, an explicit reference (including a 'clickable' URL) should be included in the budget documentation.

015. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on themacroeconomic forecast upon which the budget projectionsare based? (The core information must include a discussion ofthe economic outlook with estimates of nominal GDP level,inflation rate, real GDP growth, and interest rates.)

A. Yes, information beyond the core elements is presented for the macroeconomic forecast.

B. Yes, the core information is presented for the macroeconomic forecast.


D. No, information related to the macroeconomic forecast is not presented.


Portugal

A.

Score: 100

Sources: The macroeconomic scenario as well as the main assumptions underlying it is extensively disclosed in the Budget Report thatsupports the EBP(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf)

PEER REVIEWER

http://www.igcp.pt/fotos/editor2/2014/Estatisticas/07_Redemption_Profile-updated_20140721.xlsxhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf


016. Does the Executive’s Budget Proposal or any supportingbudget documentation show the impact of differentmacroeconomic assumptions (i.e., sensitivity analysis) on thebudget? (The core information must include estimates of theimpact on expenditures, revenue, and debt of differentassumptions for the inflation rate, real GDP growth, andinterest rates.)

A. Yes, information beyond the core elements is presented to show the impact of different macroeconomic assumptions on the budget.

B. Yes, the core information is presented to show the impact of different macroeconomic assumptions on the budget.


D. No, information related to different macroeconomic assumptions is not presented.


Portugal

A.

Score: 100

Sources: In section I.2.4 of the report mentioned in the previous questions, an extensive analysis of the macroeconomic assumptions isperformed, including both a general narrative discussion and then specific comment on sensitivity analyses of the risks pertaining toexternal variable changes (such as the price of oil or global GDP growth) and internal variables such as unemployment or inflation.

PEER REVIEWER


Comments: In addition to the comment by the researcher, section II.4.3. of the Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf) presents budget risks sensitivity to changes in public debt interest rates.

017. Does the Executive’s Budget Proposal or any supportingbudget documentation present information for at least thebudget year that shows how new policy proposals, as distinctfrom existing policies, affect expenditures?

A. Yes, estimates that show how all new policy proposals affect expenditures are presented, along with a narrative discussion.

B. Yes, estimates that show how all new policy proposals affect expenditures are presented, but a narrative discussion is not included.

C. Yes, information that shows how some but not all new policy proposals affect expenditure is presented.

D. No, information that shows how new policy proposals affect expenditure is not presented.



Portugal

A.

Score: 100

Sources: In the previously mentioned Budget Report, the impact of new policies (basically fiscal consolidation measures) are thoroughlydisclosed. A narrative discussion is included for each broad line of policies, providing a rationale for each policy and a justification of theconcrete measures "behind the numbers". (see p.47 and section II.3)

PEER REVIEWER


Comments: The above mentioned table on page 47 of the Report (and the description that follows) is constructed by comparison with a"no policy changes" basis.

018. Does the Executive’s Budget Proposal or any supportingbudget documentation present information for at least thebudget year that shows how new policy proposals, as distinctfrom existing policies, affect revenues?

A. Yes, estimates that show how all new policy proposals affect revenues are presented, along with a narrative discussion.

B. Yes, estimates that show how all new policy proposals affect revenues are presented, but a narrative discussion is not included.

C. Yes, information that shows how some but not all new policy proposals affect revenues are presented.

D. No, information that shows how new policy proposals affect revenues is not presented.


Portugal

A.

Score: 100

Sources: Same as for question 17

PEER REVIEWER


Comments: In addition, the calculations on section II.3 of the Report include the indirect effects of expenditure cuts on tax revenues andsocial security contributions, e.g., the decrease in personal tax collection and social security contributions caused by the cut in civil theservant's wage bill.

019. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditures for the yearpreceding the budget year (BY-1) by any of the threeexpenditure classifications (by administrative, economic, orfunctional classification)?

A. Yes, expenditure estimates for BY-1 are presented by all three expenditure classifications (by administrative, economic, and functionalclassification).

B. Yes, expenditure estimates for BY-1 are presented by two of the three expenditure classifications.

C. Yes, expenditure estimates for BY-1 are presented by only one of the three expenditure classifications.

D. No, expenditure estimates for BY-1 are not presented by any expenditure classification.


Portugal

C.

Score: 33

Sources: In the previously mentioned Budget Report, expenditure estimates for 2013 are presented by economic classification e.g. in p.91,and throughout section IV by program, but not by neither functional nor administrative classification.

PEER REVIEWER


020. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditures for individualprograms for the year preceding the budget year (BY-1)?

A. Yes, programs accounting for all expenditures are presented for BY-1.

B. Yes, programs accounting for at least two-thirds of, but not all, expenditures are presented for BY-1.

C. Yes, programs accounting for less than two-thirds of expenditures are presented for BY-1.

D. No, expenditures are not presented by program for BY-1.


Portugal

A.

Score: 100

Sources: See previous question.

PEER REVIEWER


021. In the Executive’s Budget Proposal or any supporting budgetdocumentation, have expenditure estimates of the year priorto the budget year (BY-1) been updated from the originalenacted levels to reflect actual expenditures?

A. Yes, expenditure estimates for BY-1 have been updated from the original enacted levels.

B. No, expenditure estimates for BY-1 have not been updated from the original enacted levels.


Portugal

A.

Score: 100

Sources: The estimates are updated, taking into consideration the budgetary outturns information available at the time the EBP is drafted(up to August). See e.g. p.104 of the Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf), which reads: "O Orçamento do Estado para 2014 consubstancia uma redução da despesa e da despesa primária daAdministração Central financiada por receitas gerais em 1,4% e 2,7%, respetivamente, relativamente à estimativa de execução de 2013."i.e. "a decrease in expenditure(...)relatively to the estimated outcome in 2013". As evidence that the government does indeed updateexpenditure levels, note that in the Report of the 2014 EBP (link above), on p. 205, the value (national accounts) given for total currentexpenditures of the public sector in 2013 ("administrações públicas") is 76653.2 million Euros; while in the same document in the previousyear(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2013/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2013.pdf), that same value was 74555.5 million Euros.

PEER REVIEWER


022. Does the Executive’s Budget Proposal or any supportingbudget documentation present estimates of expenditure formore than one year prior to the budget year (that is, BY-2 andprior years) by any of the three expenditure classifications (byadministrative, economic, or functional classification)?

A. Yes, expenditure estimates for BY-2 and prior years are presented by all three expenditure classifications (by administrative, economic,and functional classification).

B. Yes, expenditure estimates for BY-2 and prior years are presented by two of the three expenditure classifications.

C. Yes, expenditure estimates for BY-2 and prior years are presented by only one of the three expenditure classifications.

D. No, expenditure estimates for BY-2 and prior years are not presented by any expenditure classification.


Portugal

C.

Score: 33

Sources: Only by economic classification are expenditures presented up to 2012 (BY-2)

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2013/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2013.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf

PEER REVIEWER


Comments: Source: section 3.1 of the Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf)

023. Does the Executive’s Budget Proposal or any supportingbudget documentation present expenditures for individualprograms for more than one year preceding the budget year(that is, BY-2 and prior years)?

A. Yes, programs accounting for all expenditures are presented for BY-2 and prior years.

B. Yes, programs accounting for at least two-thirds of, but not all, expenditures are presented for BY-2 and prior years.

C. Yes, programs accounting for less than two-thirds of expenditures are presented for BY-2 and prior years.

D. No, expenditures are not presented by program for BY-2 and prior years.

E. Not applicable/other (please

Portugal

D.

Score: 0

Sources: See previous question

PEER REVIEWER


024. In the Executive’s Budget Proposal or any supporting budgetdocumentation, what is the most recent year presented forwhich all expenditures reflect actual outcomes?

A. Two years prior to the budget year (BY-2).

B. Three years prior to the budget year (BY-3).

C. Before BY-3.

D. No actual data for all expenditures are presented in the budget or supporting budget documentation.


Portugal

A.

Score: 100


Sources: See e.g. p.90 of the Budget Report. Value for 2012 are actual outcomes, as considered by Statistics Portugal.

PEER REVIEWER


Comments: The 2012 expenditures (BY-2) are actual outcomes (section 3.1. of the Budget Report: - on a national accounts basis, source isINE (National Statistics Institute); - on a public accounts basis, source is Conta Geral do Estado (Year_End Report)

025. Does the Executive’s Budget Proposal or any supportingbudget documentation present revenue by category (such astax and non-tax) for the year preceding the budget year (BY-1)?

A. Yes, revenue estimates for BY-1 are presented by category.

B. No, revenue estimates for BY-1 are not presented by category.


Portugal

A.

Score: 100

Sources: See e.g. Budget Report p.90

PEER REVIEWER


026. Does the Executive’s Budget Proposal or any supportingbudget documentation present individual sources of revenuefor the year preceding the budget year (BY-1)?

A. Yes, individual sources of revenue accounting for all revenue are presented for BY-1.

B. Yes, individual sources of revenue accounting for at least two-thirds of, but not all, revenue for BY-1 are presented.

C. Yes, individual sources of revenue accounting for less than two-thirds of all revenues for BY-1 are presented.

D. No, individual sources of revenue are not presented for BY-1.


Portugal

B.

Score: 67

Sources: This information can be viewed in the Budget Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-


2014.pdf):

Comments: We consider that the choice will be between "a" and "b" according to the meaning given to "individual sources of revenue".Table III.1.5 (p.95) refers to revenue categories for central administration services - here, taxes are only divided into "direct" and "indirect",however, in Table III.1.6 (p.96) individually identifies revenues for each tax collected by the State. Although the State is only part of "centraladministration", these account for nearly all of total tax revenues. Table III.1.17 reports revenues and expenditures for social security and,more precisely, it details its different sources of revenue (contributions and transfers by source). Social security and tax revenues accountfor more than two thirds of government revenues.

PEER REVIEWER


027. In the Executive’s Budget Proposal or any supporting budgetdocumentation, have the original estimates of revenue for theyear prior to the budget year (BY-1) been updated to reflectactual revenue collections?

A. Yes, revenue estimates for BY-1 have been updated from the original enacted levels.

B. No, revenue estimates for BY-1 have not been updated from the original enacted levels.


Portugal

A.

Score: 100

Sources: See e.g. p.95 of the Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf)

Comments: The estimates are updated, taking into consideration the budgetary outturns information available at the time the EBP isdrafted (up to August). The report cited above reads: "(...) a previsão da receita fiscal líquida do Estado para 2014 apresenta uma variaçãode 2,1% face à estimativa de execução orçamental em 2013." i.e. "net tax proceeds forecast for 2014 are 2,1% higher than the estimatedoutcome in 2013". As evidence that the government does indeed update revenue levels, note that in the Report of the 2014 EBP (linkabove), on p. 205, the value (national accounts) given for total current revenues of the public sector in 2013 ("administrações públicas") is69,518.0 million Euros; while in the same document in the previous year(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2013/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2013.pdf), that same value was 69,515.8 million Euros (see eg p.90 of the latter document).

PEER REVIEWER


028. Does the Executive’s Budget Proposal or any supportingbudget documentation present revenue estimates by category(such as tax and non-tax) for more than one year prior to thebudget year (that is, BY-2 and prior years)?

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2013/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2013.pdf

A. Yes, revenue estimates for BY-2 and prior years are presented by category.

B. No, revenue estimates for BY-2 and prior years are not presented by category.


Portugal

A.

Score: 100

Sources: Refer to question 25

PEER REVIEWER


Comments: The 2012 revenues (BY-2) are provided in section 3.1. of the Budget Report: - on a national accounts basis, source is INE(National Statistics Institute); - on a public accounts basis, source is Conta Geral do Estado (Year-End Report)

029. Does the Executive’s Budget Proposal or any supportingbudget documentation present individual sources of revenuefor more than one year prior to the budget year (that is, BY-2and prior years)?

A. Yes, individual sources of revenue accounting for all revenue are presented for BY-2 and prior years.

B. Yes, individual sources of revenue accounting for at least two-thirds of, but not all, revenue are presented for BY-2 and prior years.

C. Yes, individual sources of revenue accounting for less than two-thirds of all revenues are presented for BY-2 and prior years.

D. No, individual sources of revenue are not presented for BY-2 and prior years.


Portugal

B.

Score: 67

Sources: See p. 95 of the Budget report

Comments: The table on page 95 mostly covers broad revenue categories, identifying only few individual sources of revenue.

PEER REVIEWER


IBP COMMENT

After careful review and comparing the answer to question 26, IBP decided to change the answer to B to be consistent with answers in thequestionnaire and other countries.

030. In the Executive’s Budget Proposal or any supporting budgetdocumentation, what is the most recent year presented forwhich all revenues reflect actual outcomes?



C. Before BY-3.

D. No actual data for all revenues are presented in the budget or supporting budget documentation.


Portugal

A.

Score: 100

Sources: As for question 24

PEER REVIEWER


031. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on governmentborrowing and debt, including its composition, for the yearproceeding the budget year (BY-1)? (The core information mustinclude the total debt outstanding at the end of BY-1; theamount of net new borrowing required during BY-1; interestpayments on the debt; interest rates on the debt instruments;maturity profile of the debt; and whether it is domestic orexternal debt.)

A. Yes, information beyond the core elements is presented for government debt.

B. Yes, the core information is presented for government debt.


D. No, information related to government debt is not presented.


Portugal

B.

Score: 67

Sources: The information provided in the same places as for questions 13 and 14 includes information for 2013, but it excludes some

"core" elements (those related to q.14).

PEER REVIEWER


Comments: Some (incomplete) information is provided on pages 105 and 120-123 of the Budget Report, namely regarding instruments,maturities, and euro vs non euro denominated debt (although not domestic vs external).


While some core elements are missing from the EBP Report, they are all included (and information beyond) in the freely available websiteof IGCP (the government agency responsible for debt management), just as for BY: information for BY-1 is not "taken down" and remainsavailable as historical data in this website. For more information, please refer to are comments in Question 14, which all apply in the sameway to BY-1. Considering the peer's comments, and our review of Question 14, we believe that to answer B) here is more coherent,considering the spirit of our comments and answer in Question 14, having changed our option accordingly.

032. In the Executive’s Budget Proposal or any supporting budgetdocumentation, what is the most recent year presented forwhich the debt figures reflect actual outcomes?



C. Before BY-3.

D. No actual data for government debt are presented in the budget or supporting budget documentation.


Portugal

A.

Score: 100

Sources: Refer to q. 13 and 14.

PEER REVIEWER


033. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on extra-budgetary funds for at least the budget year? (The coreinformation must include a statement of purpose or policyrationale for the extra-budgetary fund; and complete income,expenditure, and financing data on a gross basis.)

A. Yes, information beyond the core elements is presented for all extra-budgetary funds.

B. Yes, the core information is presented for all extra-budgetary funds.

C. Yes, information is presented, but it excludes some core elements or some extra-budgetary funds.

D. No, information related to extra-budgetary funds is not presented.


Portugal

E.

Score: 0

Sources: N/A

Comments: All central government revenues are in the budget, including social security contributions and payments. Note that in page 5of this document (http://www.dgo.pt/legislacao/Documents/LeiEnquadramentoOrcamental_7Alteracao_Lei_37_2013.pdf) - the budgetframework law (which requires a qualified majority in Parliament for any changes to be made) it is clearly stated that all centralgovernment revenues and expenditures, including special agencies and social security funds, must be accounted for in the budget.

PEER REVIEWER


Comments: Prior to the "Lei de Enquadramento Orçamental" (Portugal's Budget Framework Law), article 105 (Budget) of the Constitutionof the Portuguese Republic establishes the completeness of the budget and precludes extra-budgetary funds(http://www.en.parlamento.pt/Legislation/CRP/Constitution7th.pdf).

034. Does the Executive’s Budget Proposal or any supportingbudget documentation present central government finances(both budgetary and extra-budgetary) on a consolidated basisfor at least the budget year?

A. Yes, central government finances are presented on a consolidated basis.

B. No, central government finances are not presented on a consolidated basis.


Portugal

C.

Score: 0

Sources: Refer to the previous question.

PEER REVIEWER


Comments: There are no extra-budgetary funds in the Portuguese Budget framework.

http://www.en.parlamento.pt/Legislation/CRP/Constitution7th.pdfhttp://www.dgo.pt/legislacao/Documents/LeiEnquadramentoOrcamental_7Alteracao_Lei_37_2013.pdf

035. Does the Executive’s Budget Proposal or any supportingbudget documentation present estimates ofintergovernmental transfers for at least the budget year?

A. Yes, estimates of all intergovernmental transfers are presented, along with a narrative discussion.

B. Yes, estimates of all intergovernmental transfers are presented, but a narrative discussion is not included.

C. Yes, estimates of some but not all intergovernmental transfers are presented.

D. No, estimates of intergovernmental transfers are not presented.


Portugal

A.

Score: 100

Sources: Intergovernmental grants are defined by law. Transfer amounts for the budget year can be found in the Maps supporting theEBP. See Map XVIII for regional government transfers(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map18-2014.pdf), Map XIX for municipalities(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map19-2014.pdf) and Map XX for civil parishes(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map20-2014.pdf). There is some narrative discussion in the Budget Report(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdf) in Section III.1.2.

PEER REVIEWER


Comments: All intergovernmental transfers are reported; the narrative description is partial, not exhaustive.

036. Does the Executive’s Budget Proposal or any supportingbudget documentation present alternative displays ofexpenditures (such as by gender, by age, by income, or byregion) to illustrate the financial impact of policies on differentgroups of citizens, for at least the budget year?

A. Yes, at least three alternative displays of expenditures are presented to illustrate the financial impact of policies on different groups ofcitizens.

B. Yes, two alternative displays of expenditures are presented to illustrate the financial impact of policies on different groups of citizens.

C. Yes, one alternative display of expenditures is presented to illustrate the financial impact of policies on different groups of citizens.

D. No, alternative displays of expenditures are not presented to illustrate the financial impact of policies on different groups of citizens.


http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map18-2014.pdfhttp://www.dgap.gov.pt/http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Documentos%20do%20OE/Rel-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map19-2014.pdfhttp://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Mapas%20da%20Lei/map20-2014.pdf

Portugal

D.

Score: 0

Sources: On p. 57 of the Report a table is presented providing information on minimum "protected" (as in, unaffected by newconsolidation measures) pension levels, which differ by age group, but this doesn't provide information on the actual expenditure levelsassociated with each age group. However, outside the EBP some information on alternative displays is available, e.g. note that athttp://www.dgap.gov.pt/ the government department responsible for public employment provides timely information on wageexpenditures, discriminated by age group, gender, and education levels.

PEER REVIEWER


Comments: Impact (on different groups of citizens) analysis is absent in the Portuguese Budget framework.

037. Does the Executive’s Budget Proposal or any supportingbudget documentation present estimates of transfers to publiccorporations for at least the budget year?

A. Yes, estimates of all transfers to public corporations are presented, along with a narrative discussion.

B. Yes, estimates of all transfers to public corporations are presented, but a narrative discussion is not included.

C. Yes, estimates of some but not all transfers to public corporations are presented.

D. No, estimates of transfers to public corporations are not presented.


Portugal

A.

Score: 100

Sources: These transfers are presented in detail in the "Budgetary Developments" that support the EBP(http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Desenvolvimentos%20Or%C3%A7amentais/Mapa%20OE-12%20Ministerio%2003.pdf, p.32). A summary of the main figures and a very brief narrative discussion ispresented in section II.3.3 of the Budget Report.

PEER REVIEWER


038. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on quasi-fiscalactivities for at least the budget year? (The core informationmust include a statement of purpose or policy rationale for thequasi-fiscal activity and the intended beneficiaries.)

http://www.dgo.pt/politicaorcamental/OrcamentodeEstado/2014/Proposta%20do%20Or%C3%A7amento/Desenvolvimentos%20Or%C3%A7amentais/Mapa%20OE-12%20Ministerio%2003.pdf

A. Yes, information beyond the core elements is presented for all quasi-fiscal activities.

B. Yes, the core information is presented for all quasi-fiscal activities.

C. Yes, information is presented, but it excludes some core elements or some quasi-fiscal activities.

D. No, information related to quasi-fiscal activities is not presented.


Portugal

D.

Score: 0

Sources: N/A

Comments: Quasi-fiscal activities are, in light of legal obligations under the Constitution and the Budget Framework Law, illegal. Despitethe lack of information on the subject, in our opinion this is not a very significant problem in Portugal, although some doubts may be cast,for example, potential future expenditure with some state-owned enterprises that are not classified inside general government.

PEER REVIEWER



039. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on financial assetsheld by the government? (The core information must include alisting of the assets, and an estimate of their value.)

A. Yes, information beyond the core elements is presented for all financial assets.

B. Yes, the core information is presented for all financial assets.

C. Yes, information is presented, but it excludes some core elements or some financial assets.

D. No, information related to financial assets is not presented.


Portugal

C.

Score: 33

Sources: Full information is provided for the financial assets held by the Social Security system (Budget Report, p.212). As for those held bythe remainder of the central government universe, only a listing of these assets is provided, along with gross figures for expenditures(basically acquisitions, p.151) associated with each asset category, but not their book value nor market value. Also, treasury balances, i.e.cash and equivalents held by the State, are also provided in the Report.

PEER REVIEWER


040. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on nonfinancialassets held by the government? (The core information mustinclude a listing of the assets by category.)

A. Yes, information beyond the core elements is presented for all nonfinancial assets.

B. Yes, the core information is presented for all nonfinancial assets.

C. Yes, information is presented, but it excludes some nonfinancial assets.

D. No, information related to nonfinancial assets is not presented.


Portugal

C.

Score: 33

Sources: As in the previous question, information is available on assets held by the Social Security system (Report, p.212) but not anyother

PEER REVIEWER


041. Does the Executive’s Budget Proposal or any supportingbudget documentation present estimates of expenditurearrears for at least the budget year?

A. Yes, estimates of all expenditure arrears are presented, along with a narrative discussion.

B. Yes, estimates of all expenditure arrears are presented, but a narrative discussion is not included.

C. Yes, estimates of some but not all expenditure arrears are presented.

D. No, estimates of expenditure arrears are not presented.


Portugal

D.

Score: 0

Sources: Expenditure arrears are not presented in budget documents.

Comments: Arrears are an important problem, particularly in the health sector. This has been monitored (and the situation has improved)in the frame of the EU-IMF adjustment program. In the "reviews" which were published by these institutions during the program, detailedinformation on the values of expenditure arrears was presented (see e.g. p.13http://ec.europa.eu/economy_finance/publications/occasional_paper/2014/pdf/ocp191_en.pdf)

PEER REVIEWER


Comments: Expenditure arrears are a significant problem in the public sector in Portugal, a problem that easily spreads to the privatesector as well. It includes very large arrears in the health sector, but also other ones concerning payments due to SMEs by local authorities.In terms of the transparency of public sector accounting, arrears also add a lot of noise/confusion to the technical relationship betweenthe cash basis of public accounting and the accrual basis of national accounts.

042. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on contingentliabilities, such as government loan guarantees or insuranceprograms? (The core information must include a statement ofpurpose or policy rationale for each contingent liability; thenew guarantees or insurance commitments proposed for thebudget year; and the total amount of outstanding guaranteesor insurance commitments (the gross exposure) at the end ofthe budget year.)

A. Yes, information beyond the core elements is presented for all contingent liabilities.

B. Yes, the core information is presented for all contingent liabilities.

C. Yes, information is presented, but it excludes some core elements or some contingent liabilities.

D. No, information related to contingent liabilities is not presented.


Portugal

A.

Score: 100

Sources: In section II.4.2, not only are the core elements pertaining to state guarantees provided present, but also there is a narrativediscussion, in which the historical defaults for some of the programs are discussed. Also the amounts recorded as expenses in the budgetyear, relative to guarantees given to public enterprises who have previously defaulted, as well as the identification of such enterprises.

PEER REVIEWER


Comments: .In addition to the referred information on section II.4.2 of the Budget Report, table IV.5.4 on page 151 provides an estimatefor new financial guarantees to be issued in the budget year.

http://ec.europa.eu/economy_finance/publications/occasional_paper/2014/pdf/ocp191_en.pdf

043. Does the Executive’s Budget Proposal or any supportingbudget documentation present projections that assess thegovernment’s future liabilities and the sustainability of itsfinances over the longer term? (The core information mustcover a period of at least 10 years and include themacroeconomic and demographic assumptions used and adiscussion of the fiscal implications and risks highlighted bythe projections.)

A. Yes, information beyond the core elements is presented to assess the government’s future liabilities and the sustainability of itsfinances over the longer term.

B. Yes, the core information is presented to assess the government’s future liabilities and the sustainability of its finances over the longerterm.


D. No, information related to future liabilities and the sustainability of finances over the longer term is not presented.


Portugal

A.

Score: 100

Sources: The main future liabilities are the public private partnerships (see section II.3.4) and pensions (see p.215, section actually called"Report on the Financial Sustainability of the Social Security system"), which are thoroughly discussed in the Budget Report

PEER REVIEWER


044. Does the Executive’s Budget Proposal or any supportingbudget documentation present estimates of the sources ofdonor assistance, both financial and in-kind?

A. Yes, estimates of all sources of donor assistance are presented, along with a narrative discussion.

B. Yes, estimates of all sources of donor assistance are presented, but a narrative discussion is not included.

C. Yes, estimates of some but not all sources of donor assistance are presented.

D. No, estimates of the sources of donor assistance are not presented.


Portugal

E.

Score: 0

Sources: There is no donor assistance, EU funds received are considered intergovernmental transfers.

PEER REVIEWER


045. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on taxexpenditures for at least the budget year? (The coreinformation must include a statement of purpose or policyrationale for each tax expenditure, the intended beneficiaries,and an estimate of the revenue foregone.)

A. Yes, information beyond the core elements is presented for all tax expenditures.

B. Yes, the core information is presented for all tax expenditures.

C. Yes, information is presented, but it excludes some core elements or some tax expenditures.

D. No, information related to tax expenditures is not presented.


Portugal

A.

Score: 100

Sources: Section III.1.1.1.3. (p.98 of the Report) provides a very complete analysis of tax expenditures, including not only estimates for thebudget year, but values for up to BY-3, and detailed narrative discussion.

PEER REVIEWER


Comments: The listing of the intended beneficiaries, one of required the core elements, can be considered as presented on page 99,graph III.1.6, in the form of classification by function.

046. Does the Executive’s Budget Proposal or any supportingbudget documentation present estimates of earmarkedrevenues?

A. Yes, estimates of all earmarked revenues are presented, along with a narrative discussion.

B. Yes, estimates of all earmarked revenues are presented, but a narrative discussion is not included.

C. Yes, estimates of some but not all earmarked revenues are presented.

D. No, estimates of earmarked revenues are not presented.


Portugal

B.

Score: 67

Sources: The breakdown by program presented in Section IV of the Report provides the gross amounts of all earmarked revenues (eventhough it does not detail, for example, from which specific taxes they come from). However, in most of the cases, a narrative discussion ismissing.

PEER REVIEWER


047. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on how theproposed budget (both new proposals and existing policies) islinked to government’s policy goals for the budget year?

A. Yes, estimates that show how the proposed budget is linked to all the government’s policy goals for the budget year are presented,along with a narrative discussion.

B. Yes, estimates that show how the proposed budget is linked to all the government’s policy goals for the budget year are presented, buta narrative discussion is not included.

C. Yes, information that shows how the proposed budget is linked to some but not all of the government’s policy goals for the budget yearis presented.

D. No, information on the link between the budget and the government’s stated policy goals for the budget year is not presented.


Portugal

A.

Score: 100

Sources: Section II.3 of the Budget Report provides an extensive and detailed analysis of the motivations behind the main policy goals(basically fiscal consolidation), relating them to a historical overview of the Portuguese economy and public finances. It presents asummary table with the budgetary impact of all measures related to the policy goals and, importantly, how they should lead to effectiveconsolidation as compared to BY-1 (p.46).

PEER REVIEWER

Opinion: No, I do not agree with the score.


Comments: The rationale and connection to objectives in what concerns new budget measures can be considered as covered in theBudget Report, both in section II.3 and, for particular programmes, in chapter IV. But that is no longer the case when existing policies areconcerned: little and not at all systematic information is provided.


Despite the fact that Questions 47 and 48 do in fact refer to "new proposals and existing policies", we believe that the budgetdocumentation's focus on new policies (despite providing, as we mentioned in sources/comments, a certain historical overview of public

finance measures) is perfectly understandable and does not affect, in our opinion, its conformity to our interpretation of the "spirit" of thisquestion: e.g. how a change in a VAT or income tax rate relates to policy goals seems much more relevant than regarding its maintenanceat the same level compared to BY-1. This does not mean, of course, we assume the "status quo" in this matter should be the norm, butnevertheless we maintain our option, A).

048. Does the Executive’s Budget Proposal or any supportingbudget documentation present information on how theproposed budget (both new proposals and existing policies) islinked to government’s policy goals for a multi-year period (forat least two years beyond the budget year)?

A. Yes, estimates that show how the proposed budget is linked to all the government’s policy goals for a multi-year period are presented,along with a narrative discussion.

B. Yes, estimates that show how the proposed budget is linked to all the government’s policy goals for a multi-year period are presented,but a narrative discussion is not included.

C. Yes, information that shows how the proposed budget is linked to some but not all of the government’s policy goals for a multi-yearperiod is presented.

D. No, information on the link between the budget and the government’s stated policy goals for a multi-year period is not presented.


Portugal

D.

Score: 0

Sources: There is no mention of how policy goals should continue to be pursued, in terms of fiscal measures, in the future beyond thebudget year.

PEER REVIEWER


049. Does the Executive’s Budget Proposal or any supportingbudget documentation present nonfinancial data on inputs tobe acquired for at least the budget year?

A. Yes, nonfinancial data on inputs to be acquired are provided for each program within all administrative units (or functions).

B. Yes, nonfinancial data on inputs to be acquired are presented for all administrative units (or functions) but not for all (or any) programs.

C. Yes, nonfinancial data on inputs to be acquired are presented for some programs and/or some administrative units (or functions).

D. No, nonfinancial data on inputs to be acquired are not presented.


Portugal

D.

Score: 0

Sources: N/A

PEER REVIEWER


050. Does the Executive’s Budget Proposal or any supportingbudget documentation present nonfinancial data on results (interms of outputs or outcomes) for at least the budget year?

A. Yes, nonfinancial data on results are provided for each program within all administrative units (or functions).

B. Yes, nonfinancial data on results are presented for all administrative units (or functions) but not for all (or any) programs.

C. Yes, nonfinancial data on results are presented for some programs and/or some administrative units (or functions).

D. No, nonfinancial data on result

Open Budget Survey 2015 Portugal · Open Budget Survey 2015 Portugal Section 1. Public Availability...

Documents

Transcript of Open Budget Survey 2015 Portugal · Open Budget Survey 2015 Portugal Section 1. Public Availability...