Mission‐Driven, Results‐Oriented Budgeting: Fiscal Administration and the New Public Management

Abstract

This chapter explains how the budgets, administrative controls, and financial-management practices proposed by the National Performance Review (NPR) differ from those that are currently used in the federal government. It also explains how the federal government's legislative budget process would need to be modified to accommodate the changes proposed by the NPR. Robert N. Anthony believed that the federal government could deal with the spillovers without sacrificing mission-driven, results-oriented responsibility budgeting. Effective delegation of authority is possible in benchmark organizations in part because capital budgeting and operational budgeting are treated as related but distinct processes. Reconciling accountability with discretion under the NPR's administrative design would necessitate fundamental changes in the financial practices of the federal government. Under procedures established by the Congressional Budget and Impoundment Control Act of 1974, Congress adopts comprehensive outlay targets for the federal government before it takes action on individual spending proposals.