How does accrual budgeting fit with other public sector management reforms?
Accrual budgeting was introduced in conjunction with the outcome-output framework and the devolution of financial management responsibilities to agencies. These changes are intended to provide agencies with the flexibility and the responsibility to meet the Government’s objectives. Other reforms have also transformed public sector management (see below for an outline of the new framework). The new public sector management framework • emphasis on meeting performance objectives-for agencies via the outcome-output framework, and for employees via performance agreements • accrual budgeting, accrual accounting, costing of outputs and capital use charges • devolution of responsibility to agencies • increased opportunities for outside organisations and individuals to provide services to, and on behalf of, the Commonwealth • more flexible employment practices, and • increased use of information technology and telecommunications (e.g. online services). What new demands does accrual budgeting pl
