Pengelolaan Keuangan Daerah - PP 12/2019

Summary

This video discusses the management of regional finances in Indonesia, outlining the key components of budgeting, planning, execution, and oversight. It explores the legal framework governing regional finances, including key laws and regulations, and details the financial management cycle. The video also covers the principles of efficient, transparent, and accountable financial practices. Additionally, it explains the roles of various actors, such as the head of the region, regional secretary, and financial managers. The concept of the APBD (Regional Budget) and its approval process is also briefly introduced, offering a comprehensive overview of regional financial governance.

Takeaways

• 😀 Regional financial management encompasses planning, budgeting, implementation, reporting, accountability, and supervision, regulated under Government Regulation No. 12 of 2019.
• 😀 Key legal foundations include Laws No. 23/2014, 33/2004, and other regulations such as Government Regulation No. 12/2019 and Ministry of Home Affairs Regulation No. 9/2019.
• 😀 The scope of regional finances includes regional rights for taxes, levies, loans, regional obligations, income, expenditure, assets, and third-party financial management.
• 😀 Examples of regional taxes include vehicle registration taxes and hotel/restaurant taxes, while borrowing for infrastructure projects can involve regional bonds or loans.
• 😀 The financial management cycle consists of five stages: planning and budgeting, implementation, recordkeeping, reporting, and supervision, spanning a period of two and a half years.
• 😀 The financial management cycle begins with planning and budgeting in the previous year, continues with execution in the current year, and ends with reporting and accountability in the following year.
• 😀 Key principles for financial management include orderliness, efficiency, effectiveness, economy, transparency, accountability, fairness, and adherence to laws.
• 😀 Transparency in financial management ensures that the public can access information on regional financial matters, fostering trust and accountability.
• 😀 The regional head is responsible for overseeing financial management, while the regional secretary coordinates the process and ensures effective execution.
• 😀 APBD (Regional Budget) is a yearly financial plan determined through a local regulation (Perda), requiring approval from both the local parliament (DPRD) and relevant authorities like the governor or Ministry of Home Affairs.

Q & A

What is the definition of regional finance?

Regional finance refers to all rights and obligations of a region in the context of regional government administration, which can be valued in monetary terms, along with all forms of assets that can be owned by the region related to these rights and obligations.

What are the key legal bases for regional finance management?

The legal bases for regional finance management include Law No. 23 of 2014 on regional governance, Law No. 33 of 2004 on financial balance between central and regional governments, and several regulations such as Government Regulation No. 12 of 2019 on regional financial management.

What is the scope of regional finance?

The scope of regional finance includes six main components: regional rights to manage taxes and levies, regional obligations to provide services, regional revenues and expenditures, regional assets including debts, and assets separated for management by third parties such as BUMD.

What is the role of local taxes and levies in regional finance?

Local taxes and levies, such as vehicle taxes or hotel and restaurant taxes, are essential sources of revenue for the regional government, enabling them to fund various local public services and infrastructure projects.

How does the cycle of regional financial management work?

The regional financial management cycle includes five stages: planning and budgeting, implementation, recordkeeping, reporting and accountability, and oversight. This cycle typically spans across two and a half years, starting with planning and budgeting in the previous year.

What are the principles that should guide regional financial management?

The principles of regional financial management include efficiency, effectiveness, transparency, accountability, fairness, and compliance with regulations. These principles ensure that public funds are managed responsibly and in the public interest.

Who are the key subjects involved in regional financial management?

The key subjects in regional financial management include the regional head as the ultimate responsible authority, the regional secretary as the coordinator, heads of SKPD (regional government working units) as budget users, and various financial officers such as treasurers and budget controllers.

What is the role of the regional head in financial management?

The regional head is the main authority responsible for overseeing regional financial management, and is referred to as the holder of the financial management power within the region.

What is an APBD and how is it formed?

The APBD (Regional Revenue and Expenditure Budget) is an annual financial plan for the region, set by the regional government and approved by the local legislative council (DPRD). It is formed after negotiations between the regional head and the DPRD, and then evaluated by the governor or the Ministry of Home Affairs.

What happens if the regional government and DPRD fail to reach an agreement on the APBD?

If the regional government and the DPRD cannot agree on the APBD, the budget for that year is set through a regional head regulation, and the maximum expenditure allowed will be based on the APBD from the previous year.