Some Considerations regarding the Budget and Its Execution as an Accounting Report at the Level of Public Institutions in Romania

Regardless of the type of patrimonial entity, the budget continues to be the fundamental tool for planning the actions that it wishes to carry out throughout the current management period. In the case of public entities, the budget is mandatory, starting from the fact that the actions of the authorizing officer must always be included in the structure of the approved budget, its provisions representing the legal framework that must be strictly respected when making decisions. In a broad sense, the public budget is represented by the set of documents from the public sector, which together form the unitary budget system. Budget preparation involves resorting to different design and development techniques, techniques that have evolved over time to adapt to economic reality and the role of the public sector in the economy. After the promulgation of budget laws, the public budget becomes operational, so it moves on to its execution, a stage that extends throughout the budget exercise. At the end of each year, once the annual budget laws cease to be applicable, public institutions proceed to carry out the works of closing the budget year and preparing and presenting periodic financial statements. These specialized activities are carried out at the level of the financial and accounting departments organized at the level of public entities. Under the accounting and budgetary record-keeping system applied in Romania, the effects of closing the budget year will have repercussions on the content of the budget execution account, in the sense that it will include only the operations of revenue collections and, respectively, payments on account of expenses actually incurred in that year, regardless of the budgetary year to which it refers.