According to a report presented to the Senate by the Chamber of Accounts, the governmental accounting office in charge of reviewing governmental use of funds, the state used resources in a discriminatory, disorganized way, incurring policy and budgetary violations and demonstrating scantly trustworthy planning. The report does not differentiate between the first seven and a half months of the year under the Mejia administration and the term after August 16, under the Fernandez administration.
As reported in El Caribe, the office says that 71.2% of the budget was executed by only six institutions, with 20 others receiving 28.8% of the allotments. The Presidency of the Republic spent the most with 15.5% of the total budget, or RD$21.97 billion. The National Treasury spent RD$17.9 billion (mostly on the government payroll) or 12.6%; Ministry of Public Health spending was RD$14.9 billion or 10.5%; Education spent RD$11.7 billion and Interior and Police spent RD$9.67 billion.
The report criticizes what it calls the irregular handling of the budget, and stresses that changes of RD$46.7 billion were made to what was planned in the RD$121 billion budget approved by Congress.
The Chamber of Accounts concludes there has not been control in the handling of the budget. It questions the government for spending 17% more than what was budgeted. “The handling of the budget (2004) shows a behavior that can be considered irregular,” said the Chamber in its Analysis of the Government’s Budget Execution, sent to the Senate.
The report indicates that the state had RD$121 billion but approved additional resources for a total of RD$167.8 billion, yet only executed RD$141.9 billion.
The Chamber of accounts says that the allotments are being made in a discriminatory manner, are disorganized and uncontrolled.
The report also criticizes the creation of special funds. It says that in 2004 there were 102 funds that created distortions of the state accounting system. The office says that these funds should be the exception, not the rule. The General Fund (Fondo 100) only received 55.9% of the budget, while 41.1% of the budget was being handled through special funds. “These funds are mainly administered with discretion, without being tied to the general policies of the administration,” establishes the office.
The report indicates that the government allotted 24.3% of the budget to pay public debt, a total of RD$34.5 billion.
The chamber says that the execution of the budget shows that last year’s fiscal revenues were RD$142.1 billion, or 17.4% above what was estimated for the period. Of the total, government indebtedness accounted for 16.5%, 6.3% in excess of what had been estimated. Current revenues represented 83.3% of collections.