"The budget should be formed proceeding from the state policy's goals and planned results, while the budgetary allocations must be strictly coordinated with the state functions", stresses the message.
It requires a reform of the budget classification and budget accounting, reads the document. "Specified at the federal level should only be the main economic and functional classification positions mandatory for all budget system levels. Such approach will provide for higher freedom of maneuver for state authorities in course of the budgeting", says the message.
Besides, it is necessary to put to order the procedures of developing and considering the budget, including analytical distribution of the current and newly adopted obligatory expenditures.
"The current obligations are subject to unconditional introduction to the expenditure budget, unless they are abolished or sustained. New obligatory expenditures may only be adopted provided that sufficient financial capacities are available for the whole validity period and the anticipated efficiency assessment is compulsory", emphasizes the message.
Of need is also enhancing the role of the long-term financial plan in the budgeting. "Starting 2006 this document shall be approved by the Russian government. It will provide for expanding the planning horizon, increasing the budgetary policy's predictability and the budget development quality and establishing motivation for optimizing the on-budget expenditures", the message points out.
The budgetary resources should be distributed among the budgetary funds administrators and (or) the budget programs implemented by them "depending on the planned level of achieving the assigned goals, in compliance with the social and economic policy's mid-term obligations and within the limits of the expected long-term budgetary funds amounts", stresses the message.
"It suggests expanding the self-reliance of the administrators of budgetary funds simultaneously raising their responsibility for the results achieved, which should be determined using clear-cut criteria and indicators", the document points out.
Federal target programs must be strictly oriented "towards implementing large-scale long-term investment, R&D, and structural inter-industrial projects with explicit efficiency indicators", the document says.
"It is necessary to bring in the practice of developing departmental target programs. It is advisable to shift substantial part of the budgetary expenditures to these programs currently funded under an estimate principle", emphasizes the message.
The document points out the need of "establishing a new regulatory framework and ensuring strict compliance with the government procurement rules applicable to all purchases in the interests of the state (including those in the defense and security area)"
