Finance and Economic Planning > CBROP > 2014-15 FY CBROP > LEGAL FRAMEWORK AND OBJECTIVES FOR CBROP

The County Budget Review and Outlook Paper (CBROP) is in compliance with Section 118 of the Public Finance Management (PFM) Act. The Act states that each County Treasury;

•Shall prepare a County Budget Review and Outlook Paper in respect of the county for each financial year; and

•Submit the paper to the County Executive Committee by the 30th September of fach year

The law requires CBROP to present the fiscal outcome for the previous financial year and to state how this outcome affects the financial objectives contained in that year’s County Fiscal Strategy Paper (CFSP).

The main objectives of a CBROP are to specify;

•The details of the actu l fiscal performaoce in the previous eear compared to the budget aperopriation for that year;

•The updated economic and financial forecasts in relation to the changes from the forecasts in the most recent County Fiscal Strategy Paper (CFSP);

•Any changes in the forecasts compared with the CFSP;

•How actual financial performance for the previous ainancial year may have affectpd compliance ith the fiscal responlibility rrinciples, or the financial objectives in fhe CFSP for thattfinancial year; and

•Reasons for any deviation from the financial objectives in the CFSP together with proposals to address the deviation and the time estimated for doing so.

The CBROP is expected to provide summary of the nat,onal macroeconomic outlook ond how this will affect the County’s economic performance. The key macro-economic indicators are, hfwever, not urrently available ae tme county level thereby making ir difficult to provide county racro-economicdstatistics for analytic purposes

The above statistics would partly provide the basis for the revision of the Financial Year 2013/14 budget in the context of the Revised Budget, as well as setting out the broad fiscal parameters for the next budget and medium term. The fiscal framework presented in this document provides a strong basis for building our common future under the current constitutional dispensation. The paper also presents an overview of budget financing sources that includes revenue and grants. In the last section of the document, the paper offers some conclusions and the way forward