PROBLEMS AND FEATURES OF LOCAL BUDGET MANAGEMENT IN THE CONTEXT OF A PANDEMIC

Author(s): Prokofiev M.N., Frigin A.V.

Rubric: Economy

DOI: 10.21777/2587-554X-2020-4-39-45

Release: 2020-4 (35)

Pages: 39-45

Keywords: strategic planning, cost optimization, cost reduction, remote access, budget execution, budget commitment limits

Annotation: The article deals with current problems of management and execution of local budgets in 2020. The situation that has developed in connection with the spread of the coronavirus pandemic has made major adjustments to the work of financial authorities. The economy of the city district faced a significant decline in business activity. In order to achieve a balanced budget performance at the municipal level, steps were taken to provide financial support to organizations belonging to the real sector of the economy. The article describes the situation of optimizing budget funds to ensure budget balance. It was necessary to reduce non-recurrent expenditures, which negatively affected the industries tied to the budget. Implementation of the decisions taken to optimize expenses was multi-vector. Tools and mechanisms were put in place to quickly implement measures to ensure budget balance, prevent cash gaps, and respond quickly to changes in revenue. Attention is drawn to such aspects as the continuity of work, the transfer of employees to a remote format. In a short time, specialists were transferred to remote workplaces, issues of interaction in these conditions were considered, and interaction with specialists from higher-level structures was determined. The experience of implementing software and new technologies for budget execution in new conditions is considered. The integrated automation of the budget execution procedure, which has been tested in all municipalities of the Moscow region, allowed both financial authorities and chief managers and recipients of budget funds to work in a single information base. The introduction of software and new technologies was not intended to provide remote work opportunities for employees of the financial authority, centralized accounting departments and institutions. It provided accessibility for individual jobs, as well as delimited access to data and functions. The experience of the Shchelkovo city district has shown a positive example of solving difficult economic situations.

Bibliography: Prokofiev M.N., Frigin A.V. PROBLEMS AND FEATURES OF LOCAL BUDGET MANAGEMENT IN THE CONTEXT OF A PANDEMIC // Economics and Management. – 2020. – № 4 (35). – С. 39-45. doi: 10.21777/2587-554X-2020-4-39-45