Effectiveness of performance budgeting in education

Observing the operations of local government units (LGUs), we can notice that "management" has been evolving dynamically in recent years and is taking on a new meaning. Local government units largely direct their activities towards the petitioner, or, to put it business- -wise, the client. The search for tools for effective and efficient planning of public finances, as well as for rationalization and optimization of education expenditure often leads to performance budgeting. This form of budgeting includes a strategic approach to planning and spending public funds by local government units. The performance-based budget enables obtaining information on the priorities and effects of activities related to the expenditure of public funds. The implementation of the performance budget in local government educational units is aimed at streamlining decision-making processes and developing a better allocation of public funds, which is associated with improving the quality of educational services and meeting the needs of their recipients, i.e. students. The implementation of the performance budget increases responsibility and discipline in the management of public funds, which translates into the quality of education. Constructing a budget in the form of a task-based budget may result in greater attention being paid to the purposefulness of spending public funds, as well as monitoring the degree of implementation of the priority tasks included therein.