Intensify Participatory Budgeting on a Local Level (EE0045)

Description of the current situation or problem resolved with the commitment Larger local governments are created as a result of the administrative reform. However, in order to prevent a decline in citizens’ engagement with it, the opportunities for engaging citizens in making budget decisions would require analysis. Main aim Increase the coherence of the society and support finding better solutions for the community by way of inclusive budgeting. Short description of the commitment (max 140 characters) To introduce the inclusive budget more broadly the aim will be to analyse the various current examples of inclusive budgeting and the possible necessary amendments in the legal order and to prepare instructions and raise awareness in local governments.

Commitment 7: Intensify participatory budgeting on the local level

Commitment Text:

To introduce the inclusive budget more broadly the aim will be to analyze the various current examples of inclusive budgeting and the possible necessary amendments in the legal order and to prepare instructions and raise awareness in local governments.

Milestones:

7.1. Collecting examples implemented in local governments

7.2. Analysis of theoretical literature

7.3. Analysis of legislation

7.4. Preparation of instructions

7.5. Introducing inclusive budgeting to local governments

Responsible Institution: Ministry of Finance

Supporting Institutions: Association of Estonian Cities, Association of Municipalities of Estonia, local government units implementing open budgeting

Start Date: 1 September 2016    

End Date: 31 March 2018

Commitment Aim

This commitment aimed to increase public participation at the local level by encouraging the adoption of participatory budgeting by local governments. More specifically, it planned to collect data on existing examples of participatory budgeting at the local level and to prepare and disseminate instructions and best practices among local governments.

Status

Midterm: Not Started

The first three milestones were supposed to be completed by the end of July 2017, but by the midterm, none of the planned activities had started. The delay was attributed to staff changes in the Ministry of Finance (see the IRM Progress Report for more details).^{[Note 54: See the IRM Progress Report at https://www.opengovpartnership.org/documents/estonia-mid-term-report-2016-2018 ]}

End of term: Substantial

According to the Ministry of Finance, implementation of the commitment started in summer 2018 when a new chief specialist joined the ministry’s Local Governments’ Financial Management Department.^{[Note 55: Mari Kalma (Ministry of Finance), interview by IRM researcher, 14 November 2018]} Over a couple of months, the ministry compiled theoretical information and analyzed the legal context and empirical examples of the use of participatory budgeting at the local level. This work also involved personal communication and consultation meetings with local governments that have implemented participatory budgeting, such as the municipalities of Tartu, Rapla, Tapa, and Kuressaare. Due to the e-Governance Academy’s previous work (eGA, an independent nonprofit consultancy) in promoting participatory budgeting among local governments in Estonia and elsewhere, the ministry and eGA discussed the possibility to reuse and adapt eGA’s guidelines for participatory budgeting from 2012.^{[Note 56: e-Governance Academy (2012) “Kaasav eelarvemenetlus kohalikes omavalitsustes”, accessible at https://ega.ee/et/publikatsioonid/kaasava-eelarve-juhendmaterjal/ ]} According to eGA,^{[Note 57: Liia Hänni and Jelizaveta Krenjova-Cepilova (e-Goverance Academy), interview by IRM researcher, 6 November 2018]} the suggestion was to design new guidelines that would be directly applicable in today’s context and have a more practical orientation. As of November 2018, the Ministry of Finance is in the process of officially approving the new guidelines, which are scheduled to be published by the end of the year.

Did It Open Government?

Civic Participation: Did Not Change

The instructions on participatory budgeting for local governments are scheduled for publication at the end of 2018, several months after the action plan period (June 2018). Because the government has not undertaken any dissemination or awareness-raising activities to introduce the guidelines to local governments, the commitment has had no impact on public participation at the local level so far. However, according to the Association of Estonian Cities and Rural Municipalities, local municipalities view the guidelines as a useful measure to support participatory budgeting at the local level.^{[Note 58: Jüri Võigemast (Association of Estonian Cities and Rural Municipalities), interview by IRM researcher, 15 November 2018]}

Carried Forward?

This commitment has not been carried forward to Estonia’s fourth action plan. The fourth action plan continues no follow-up activities on participatory budgeting. However, according to the IRM researcher’s interview with the Ministry of Finance, the ministry plans to conduct awareness-raising activities (press releases, blog posts, events) in 2019 to promote the guidelines and advise individual local municipalities interested in adopting participatory budgeting.

The guidelines on participatory budgeting for local governments were published and introduced to local governments at the beginning of 2019, after the conclusion of this action plan.^{[Note 59: See: https://www.rahandusministeerium.ee/system/files_force/document_files/kaasava_eelarve_juhend.pdf?download=1]} Data from the Ministry of Finance shows that 20 local governments out of 79 used participatory budgeting in 2018 and this number is expected to rise.^{[Note 60: The IRM received this information from the Government Office during the pre-publication review period. The comment was received by email on 25 February 2019. ]}