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2 March Program 4 2003 ICGFM-WBI Fall Workshop 5 ICGFM Membership 6 National Public Sector Convention 2003 6 Images from March ICGFM Conference Government Financial Management World ICGFM The International Consortium on Governmental Financial Management June 2003 • Vol. 12 No. 3 In This Issue I t is my pleasure to announce that the con- sortium and its cosponsors, Casals and Associates and the U.S. Department of Agriculture’s Government Audit Training Institute, have successfully completed the seventeenth annual conference on “New Developments in Governmental Financial Management” in Miami, Florida. Despite a struggling global economy and the situation in Iraq, over 175 participants, representing at least 32 countries, were in attendance. For the first time the consortium was able to offer attendees a two-day training program in addition to the regular conference ses- sions. The training was so well received by participants that the board has agreed to continue the program next year by imple- menting phase two in a three-year training cycle. The first year (2003) in the cycle fea- tured accounting and budgeting; the second year (2004) will concentrate on information systems; and the third year (2005) will cover auditing and accountability. With the myriad of topics and issues surrounding the finan- cial management arena, it is no surprise that the need for networking and professional development remains apparent—thanks to all who contributed to a successful five-day event. Now the consortium begins planning for the fall summit to be held in cooperation with the World Bank Institute (WBI). As you may recall, the consortium partnered with WBI last year to bring you the 2002 “Summit on Reducing Poverty Through Improving Public Financial Management.” I am extremely pleased that WBI has again agreed to partner with the consortium to develop the 2003 program. We are certain that this partnership will result in a program that attracts the same high level of professionals including auditors, accountants, budget directors, procurement specialists and mem- bers of Parliament. Please visit the ICGFM Web site in early June for additional details on the content and date of the fall summit. It is also important that I highlight the many partnerships that ICGFM has with its sustaining, organizational and individual members. These partnerships are invaluable to the continued success of the consortium. Providing awareness of financial issues and bringing together financial management pro- fessionals from across the globe could not be accomplished without the support of our many volunteer members. These volunteers work hard to assure that the consortium con- tinues in its pursuit of improving financial management through opportunities for pro- fessional development and information exchange. I encourage you to become more active and volunteer to serve on one of the many committees that support the consor- tium throughout the year. By the time you read this newsletter, you will have received a letter from Membership Committee Chair Lin Weeks requesting your continued financial support of the consor- tium. I would also like to personally request your continued support of ICGFM, not only financially, but through assistance with con- sortium activities. It is my goal as president to increase the level of member participation in 2003, and so I remind you to include your e-mail address when submitting dues for 2003. E-mail addresses provide us with an expeditious way to communicate and dis- tribute information, and they provide a con- venient mechanism for member participation worldwide. I wish you the best in the months to come, and I look forward to seeing you in the fall at the ICGFM summit. The President’s Message ICGFM President Relmond Van Daniker

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2

March Program

4

2003 ICGFM-WBI FallWorkshop

5

ICGFM Membership

6

National Public SectorConvention 2003

6

Images from MarchICGFM Conference

Government Financial Management World

ICGFM The International Consortium on Governmental Financial Management June 2003 • Vol. 12 No. 3

In This Issue

It is my pleasure to announce that the con-sortium and its cosponsors, Casals andAssociates and the U.S. Department of

Agriculture’s Government Audit TrainingInstitute, have successfully completed theseventeenth annual conference on “NewDevelopments in Governmental FinancialManagement” in Miami, Florida. Despite astruggling global economy and the situationin Iraq, over 175 participants, representing atleast 32 countries, were in attendance. Forthe first time the consortium was able tooffer attendees a two-day training programin addition to the regular conference ses-sions. The training was so well received byparticipants that the board has agreed tocontinue the program next year by imple-menting phase two in a three-year trainingcycle. The first year (2003) in the cycle fea-tured accounting and budgeting; the secondyear (2004) will concentrate on informationsystems; and the third year (2005) will coverauditing and accountability. With the myriadof topics and issues surrounding the finan-cial management arena, it is no surprise thatthe need for networking and professionaldevelopment remains apparent—thanks toall who contributed to a successful five-dayevent.

Now the consortium begins planning forthe fall summit to be held in cooperation

with the World Bank Institute (WBI). As youmay recall, the consortium partnered withWBI last year to bring you the 2002 “Summiton Reducing Poverty Through ImprovingPublic Financial Management.” I amextremely pleased that WBI has again agreedto partner with the consortium to developthe 2003 program. We are certain that thispartnership will result in a program thatattracts the same high level of professionalsincluding auditors, accountants, budgetdirectors, procurement specialists and mem-bers of Parliament. Please visit the ICGFM Web site in early June for additional detailson the content and date of the fall summit.

It is also important that I highlight themany partnerships that ICGFM has with itssustaining, organizational and individualmembers. These partnerships are invaluableto the continued success of the consortium.Providing awareness of financial issues andbringing together financial management pro-fessionals from across the globe could not beaccomplished without the support of ourmany volunteer members. These volunteerswork hard to assure that the consortium con-tinues in its pursuit of improving financialmanagement through opportunities for pro-fessional development and informationexchange. I encourage you to become moreactive and volunteer to serve on one of themany committees that support the consor-tium throughout the year.

By the time you read this newsletter, youwill have received a letter from MembershipCommittee Chair Lin Weeks requesting yourcontinued financial support of the consor-tium. I would also like to personally requestyour continued support of ICGFM, not onlyfinancially, but through assistance with con-sortium activities. It is my goal as presidentto increase the level of member participationin 2003, and so I remind you to include youre-mail address when submitting dues for2003. E-mail addresses provide us with anexpeditious way to communicate and dis-tribute information, and they provide a con-venient mechanism for member participationworldwide.

I wish you the best in the months to come,and I look forward to seeing you in the fallat the ICGFM summit. �

The President’s Message

ICGFM President Relmond Van Daniker

2

Government Financial Management World

March Program

The presentations at the 17th AnnualICGFM Conference in Miami on“Reducing Poverty and Corruption:

An Integrated Approach to GoodGovernance” are identified below. The Conference wasco-sponsored by Casals & Associates, Inc.The files can be downloaded from theICGFM website at www.icgfm.org. Ron Points, Regional Financial ManagementAdvisor, World Bank“IFAC Public Sector Committee Update”Power PointDr. Arpad Kovacs, President, State AuditOffice, Hungary“Working to Ensure Good Governance:Experiences of the SAIs in Central andEastern Europe”Power Point, PDF The Casals ExperienceAmericas Anti Corruption AccountabilityProject (AAA) “Municipal Perspectives and Initiatives”Power Point (English), Power Point (Spanish)

Ms. Beatriz White, Veeduria Social, Medellin,Colombia“Transparency at the Municipal Levelwith Civil Society Participation—TheMedellin Experience”Power Point (Spanish)Daniel Flores, Mayor of Tela, HondurasMunicipalities“Working Towards Transparency throughParticipation”Power Point (Spanish)Jose Raul Fernandez, Executive Director,Consejo para el Desarrollo Estragico deSantiago (CDES)“Participatory Strategic Planning at theMunicipal Level”Power Point (Spanish)Albert Hrabak, Manager, Public SectorAccounting, IBCTI“Strengthening the Accountability andIntegrity of Procurement Processes—TheNigerian National PrivatizationProgram”Power PointMr. Rifaat Basanti, Deputy Chief ofGovernment Finance Statistics, DivisionStatistics Department InternationalMonetary Fund“Implementation of Government FinanceStatistics (GFS) and SNA-93”Power PointSr. Marcelo Zalles Barriga, ContralorGeneral (retired), Bolivia“Quality Certification: An Approach toBuilding Good Governance”Ms. Inge-Britt Ahlenius, Auditor General,Sweden“Audit Standards and Ethics”Power Point, PDF Mr. David M. Walker, Comptroller General,United States“Managing Risk and AssessingPerformance”Power Point (English), Power Point (Spanish)

Lic. Oscar Eugenio Dubon Palma, ContralorGeneral de Cuentas, Guatemala“Transparency in the Public Sector”Power Point (Spanish)Graham Joscelyne, ICGFM Past President,Former Auditor General of World Bank“What compromises procurement integrity? A risk-based approach”Power PointDavid Shand, Financial Management AdvisorWorld Bank“The Role of Analytic Instruments in anIntegrated Approach to the Reduction ofPoverty and Corruption (CFAAs, PERs,and CPARs), World Bank”Power PointBruce Lazenby, President/CEO, FreeBalance,Inc., Grice Mulligan“Financial Management System for Small& Medium Size Governments: Case studies involving financial managementsystem implementations in transitionaland emerging country governments”Power Point (English)Power Point (Spanish) Michael Vlaisavljevich, Managing Director,International Public Services Practice,Bearing Point“Financial Management System for Small& Medium Size Governments: Case studies involving financial managementsystem implementations in transitionaland emerging country governments”Power PointDick Willett, Partner (retired), Global PublicSector, Grant Thornton, LLP“Outsourcing and Consolidation ofFinancial Management Operations: Aworkshop”PDF (English)PDF (Spanish) �

“New

Developments in

Governmental

Financial

Management”

AGA’s Annual Conference

Professional Development Conference & Exposition

Chicago, Illinois, USA

June 29 – July 2

Part of the program includes an International Roundtable,hosted by AGA’s International Development Committee.Join committee members for a roundtable discussion of

international issues. Committee members will share theirviews, discuss AGA’s long-term goals and offer attendees theopportunity to raise questions or suggest approaches for AGAin the international arena. Both international attendees as wellas U.S. nationals living abroad are encouraged to attend. Or, ifyou just have in this area, you are more than welcome toattend. For more information about the conference, visitwww.agacgfm.org/pdc. �

AGA International Roundtable

Monday, June 30, 2003

6-7 p.m.

Sheraton Chicago Hotel

Columbus Room

3

Government Financial Management World

Miami Presenter Offers

Suggestions

From: Rich Thomas, Newsweek

After my presentation at the recentICGFM Conference in Miami, a con-ference member wanted to know

what he and other financial managers coulddo about corruption. Based on a littleresearch that I have done since that presen-tation, here is what I would suggest:• Join your local national chapter of

Transparency International (TI), if it issafe for your career that you join it. Orjoin with others in your country andestablish a TI chapter if none as yet exists.TI is a private non-profit internationalfoundation, with headquarters in Berlin,which was set up a decade ago to try tocombat corruption in every country in theworld. TI undertook initially to collectand publish information on corruption.But it is now a world-wide organization.It holds national workshops around theglobe. It promotes educational programs.It provides a vast database on ways tofight corruption. And TI actually negoti-ates and signs anti-corruption pacts withnational and local governments.

• TI has national chapters in 90 countries,and hopes to expand into every countryon earth. To learn more, go to TI's web-site: www.transparency.org. Next, click onthe home page box labeled “Short Cuts.”This offers a mother lode of informationoptions under subheads:

• “TI Chapters Around the World” givesnames and addresses of contacts in the 90countries.

• “TI Source Book” provides a number ofchapters. They explain how differenttypes of corruption work in detail, andexplain the role played by the balance ofpower between the legislature and theexecutive of governments in curbing cor-ruption. Others explain the role played byindependent civil courts, the role playedby clear contract and clear land title law,and much else. The Source Book thengoes on to outline various ways to attackcorruption. There is more under this“Source Book” subhead. Keep on clickingand you will find the Source Book in 22different languages. These each containinformation tailored specifically to thecountries in which the languages are spoken.

• “TI Tool Kits” is another valuable sub-head. This contains details on how to setup individual programs to limit corrup-tion in individual areas of government.For instance, the Tool Kit contains model“Integrity Pacts.” TI chapters are nowsigning these with their national govern-ments. These pacts specify precise stepsthat governments must take to publicizeand be held accountable for the honestyof bidding in various types of govern-ment procurement. In doing so, they winTI endorsement for honesty.All of this and much other additional

information is in the excellent TI website. �

Upcoming Events

June 29-July 2, 2003

AGA’s 52nd Annual ProfessionalDevelopment Conference &ExpositionSheraton Chicago Towers,Chicago, IL.

Contact: Ada Phillips [email protected]: www.agacgfm.org/nlcand www.agacgfm.org/pdcPhone: 800.AGA.7211, ext. 204Fax: 703.548.9367

November 19-21, 2003

National Public SectorConference 2003A Leading Event for Finance andManagement Professionals inthe Public SectorBurswood Convention CentrePerth, Western Australia

November 24-26, 2003

ICGFM-WBI Fall Workshop atNational Rural ElectricCooperative AssociationConference Center (NRECA)near Washington, D.C.

April 19-21, 2004

18th Annual InternationalConference on GovernmentalFinancial Management to beheld in Miami, Florida, USA.

April 22-23, 2004

Two days of certified training following Miami Conference.

Editor’s Note: If you have implemented a policy or proce-dure that you believe would bebeneficial to others, please writeit down and send it by email tothe Publications Editor, Dr. JesseHughes at [email protected].

Training, continued on page 7

On April 3-4, 2003, 104 representatives from 23 countries participated in a special semi-nar on "Building a Strong Financial Management Framework: Putting the PiecesTogether." The training, developed by leaders on the ICGFM Board of Directors and

the Graduate School, USDA’s Government Audit Training Institute, was delivered in Miami,Florida as part of the ICGFM’s annual conference.

The training, focusing on issues and challenges in budgeting and accounting, was a signifi-cant international initiative by the Consortium. The program was developed in response toneeds expressed by participants in prior conferences and by leaders from donor institutionswho are seeking ways to enhance financial management globally. It is the first in a three-partseries that will examine budgeting and accounting, management information systems, andauditing and accountability. To meet the requirements of this international audience, simulta-neous interpretation ensured that participants could work in English, Spanish or French andmost of the training materials were prepared in multiple languages.

Leaders from the international financial management community developed and deliveredthe training. Dr. Jesse Hughes, Professor Emeritus in Accounting from Old DominionUniversity, a member of the ICGFM Board of Directors, and an international consultant inbudgeting and accounting led the team. Mr. David Shand, one of the World Bank’s seniorfinancial advisors and CPA Australia’s representative on the Board of Directors, and Mrs.Linda Weeks, a program advisor at the Graduate School, assisted Dr. Hughes. During thetraining, Mr. Luis Soto (USAID, Dominican Republic), Mr. Jim Wesberry (Project Director,ATLATL, Mexico), and Mr. V. Enrique Caso Lay (former Auditor General, Peru) facilitatedSpanish language discussion sessions. Mr. Ian MacIntosh, chair of the InternationalFederation of Accountants’ Public Sector Committee, presented a session highlighting IFAC’s

Training Becomes Part of Miami Program

4

Government Financial Management World

On April 1, 2003, the ICGFM officiallybegan the 2003 membership campaign.At the Miami conference, participantswere invited to become members or torenew their existing memberships, andimmediately following the conference,dues invoices were sent to current mem-bers. The membership committee ispleased to report that by April 15, theyhad processed three new organizationmemberships, three renewed organiza-tion memberships, five new individualmemberships, and three renewed indi-vidual memberships. Now we are askingyou: Have you renewed your member-ship? Have you reached out to encour-age your organization or other individu-als to join us?

The International Consortium onGovernmental Financial Management is atruly unique and special organization.Through its conferences and publications,the organization provides an internation-al forum where leaders from across gov-ernment, from the academic community,and from the private sector can examineissues and experiences in accounting,auditing, budgeting, debt management,information management, tax administra-tion, and a host of related areas of exper-tise. The organization’s members, offi-cers, and directors are committed to theConsortium’s mission to improve finan-cial management globally by providingopportunities for professional develop-ment and information exchange.

A review of the ICGFM’s activities forthe past year reflects accomplishmentssupporting this mission. Most recently, asreported in other sections of thisNewsletter, the Consortium organizedthe 17th annual international conferenceand training program. Earlier in the year,the Consortium:• sponsored a Summit on Reducing

Poverty through Improving FinancialManagement. Partnering with theWorld Bank Institute, with assistancefrom USAID and Casals andAssociates, Inc., the ICGFM provided aforum for parliamentary committeemembers, auditors, accountants, bud-get directors, and procurement special-ists to discuss ways to manage “sys-temic risks” to ensure that publicfinances are used to reduce poverty.

• hosted 8 DC Forum luncheon pro-grams that provided professionaldevelopment and networking oppor-tunities to ICGFM members in theWashington, DC area. Speakers lastyear included leaders from theInstitute of Internal Auditors, theWorld Bank, the national audit officesof the United States and the Republicof Georgia, the National Association ofState Comptrollers, Auditors, andTreasurers, and the formerComptroller General of the UnitedStates, and

• published two issues each of the ICFMnewsletter, the Government FinancialManagement World, and the Public Fund

Digest. The publications providedmembers with timely information andarticles about the organization’s activi-ties and important professional issuesand best practices. Publications andannouncements were also posted onthe website, www.icgfm.org.To ensure that you continue to receive

the publications, announcements aboutupcoming events, and membership dis-counts at ICGFM programs, we inviteyou to renew your membership as soonas possible. If you have already sent inyour renewal, we thank you.

Additionally, we encourage you tobecome a membership ambassador forthe Consortium. If you know of otherindividuals or organizations who may beinterested in becoming ICGFM members,please let them know that informationabout membership and membershipforms are available on the website,www.icgfm.org.

As an organization, the ICGFM hasaccomplished much—and the next yearoffers new opportunities for you to par-ticipate as we seek to fulfill our mission:Working globally with governments,organizations, and individuals, theInternational Consortium onGovernmental Financial Management isdedicated to improving financial man-agement by providing opportunities forprofessional development and informa-tion exchange. �

A Note from the Membership Committee

November 24-26, 2003 at theNational Rural ElectricCooperative Association

Conference Center (NRECA) nearWashington, DC. The NRECA facility islocated at 4301 Wilson Boulevard inArlington, Virginia, 10 minutes fromWashington’s Reagan National Airport,15 minutes from Union Station and 20minutes from Dulles InternationalAirport. Easily accessible by the city’sMetro system, the conference center issurrounded by a choice of hotels, restau-rants and shops.

Assessing Performance in FinancialManagement

The workshop takes up the issue ofperformance in financial managementalong 3 dimensions.

Day One is devoted to an examinationof approaches to measuring performancein the different parts of the financialmanagement system:

• performance in the budget process• performance in budget execution• performance in procurement• performance in monitoring and

oversight• systemic performance

Day Two features a set of case studieson efforts to introduce greater perfor-mance orientation and improve perfor-mance:• reforms to improve performance in the

budget process• reforms to improve performance in

budget execution• reforms to improve performance in

procurement• reforms to improve performance in

monitoring and oversight• reforms to improve performance of the

entire procurement system.Day Three focuses on the role of differ-

ent groups/stakeholders in improvingperformance, as well as incentives forthem to change behavior• Role of the Central Government

Bodies—Ministry of Finance, Planning• Role of Line Ministries• Role of Accountability Institutions: IA,

EA, and Parliament• Role of Civil Society• Role of Donors, International

organizations.Mark your calendars now for the 18th

Annual International Conference onGovernmental Financial Management tobe held in Miami, Florida, USA. This con-ference will be held on April 19-21, 2004with two days of certified training onApril 22-23, 2004. More details to be pub-lished later. �

THE 2003 ICGFM-WBI FALL WORKSHOP

1. Enclosed are dues for calendar year 2002.These dues are in payment for membership as a

(please check appropriate category):

❍ Sustaining Member ($1,000) ❍ Organization Member ($250) ❍ Organization Member ($150)*

❍ Individual Member ($100) ❍ Individual Member ($50)** A special discount is offered to members in developing countries, countries with economies in transition andregional organizations in such countries to encourage their participation. This discount is available to all countriesother than Australia, Canada, China, Egypt, European countries (except transition economies) India, Iran, Israel,Japan, Kuwait, Libya, Mexico, New Zealand, Nigeria, Oman, Saudi Arabia, United Arab Emirates, USA, Russia, andVenezuela.

2. Organization:

3. Name and Title (individual member or the contact person for sustaining and organization

member):

4. Mailing Address:

Street/Post Box

City

Province/State Postal/Zip Code and COUNTRY

5. Telephone: Fax:

6. Email/Internet:

Credit Card ❍ MasterCard ❍ VISA

Credit Card Number Expiration Date

Print Name on Card

Signature

Return this form with a check, money order, or VISA/MasterCard authorization for payment in US

dollars to:

International Consortium on Governmental Financial Management • 444 North Capitol Street,

Suite 234 • Washington, DC 20001 USA5

Government Financial Management World

ICGFM Membership Application

6

Images from ICGFM March Conference

Government Financial Management World

A Leading Event for Financeand Management Professionalsin the Public Sector

19-21 November 2003

Burswood Convention Centre

Perth, Western Australia

The biennial National PublicSector Convention will beheld in Perth, Western

Australia, in November 2003. It isstill some months away, however itis important to work these impor-tant dates into your diary (and yourbudget) now! This key event willalso have significant benefit forfinance and senior professionalsworking in commerce, public prac-tice or other sectors.

The theme of the conference isthe expanding role of the PublicSector finance professional,although the diversity and depth ofsessions goes way beyond this. Theprogram is already well under wayand is designed for finance,accounting and management pro-fessionals in all tiers of government,at all levels. This event should notbe missed by public sector employ-ees, from senior executive level,through to newer staff.

Outstanding, high-level keynotesessions each day will be comple-mented by ground-breaking ses-sions in four concurrent streams,catering for your learning, informa-tion and networking needs.

Don’t miss this fantastic opportu-nity to expand and develop yourknowledge and skills.

The convention will also offergreat networking opportunities!

Please contact the WesternAustralian ProfessionalDevelopment Team on (08) 94815944 or [email protected] to place yourname on the priority brochure listnow! �

National Public

Sector Convention

2003

ICGFM President Relmond Van Daniker speaking andKeynote Presenter Rich Thomas from Newsweek.

Attendees from 35 countries at the General Session.

Honduras discussion group facilitated by Victor Caso Lay,previous Auditor General from Peru.

Discussants from many countries facilitated by Dr. JesseHughes, a training specialist from the USA.

7

Government Financial Management World

work in developing international govern-mental accounting standards.

Participants were enthusiastic about thetraining that provided them with opportu-nities to explore, examine, and evaluatetheir experiences and those of representa-tives from other countries. The discussionsessions encouraged participants to identify"best" or "better" practices and developstrategies for improvements they couldintroduce upon their return to their coun-tries. On their evaluation forms, severalparticipants commented that they enjoyedhaving the opportunity to share real experi-ences with their colleagues and they lookedforward to future programs.

Having set the stage this year, the train-ing in 2004 will direct attention to govern-mental financial management informationsystems and the 2005 course will exploreissues in auditing and accountability. �

Training, continued from page 3

Guatemala discussion group facilitated by Jim Wesberrywith Casals & Associates from Mexico.

Dominican Republic discussion group facilitated by LuisSoto from USAID.

Conference Attendees from Central America.

Conference Attendees from Cameroon.

Marcelo Zalles Barriga and Roberto Almeida speaking(from Bolivia), David Walker (USA), Inga-Britt Ahlenius(Sweden).

Ron Points (World Bank and IFAC-PSCmember) speaking and Relmond VanDaniker seated.

Honorary Chairman Emeritus

Elmer B. Staats, Former Comptroller Generalof the United States

President

Relmond Van Daniker, NASACT

President-Elect

Vacant

Immediate Past President

J. Graham Joscelyne, World Bank

Treasurer

Peter Aliferis, Graduate School-USDA

Secretary

Dick Willett, Grant Thornton

Vice Presidents

Mathew Andrews, World BankJacquie Williams Bridgers, GAOWilliam Taylor, Inter-American DevelopmentBank

ICGFM Publications EditorJesse Hughes, Consultant

Representatives of the Sustaining Members

AGA: Charlie CulkinCasals and Associates, Inc.: Beatriz CasalsCPA Australia: David ShandGATI: Peter V. AliferisIBTCI: Al HrabakIIA & IADB: Bill TaylorNASACT: Relmond Van DanikerUSAID: Everett Mosley/Toby JarmanU.S. GAO: Jacquie Williams Bridgers World Bank: J. Graham Joscelyne

Representatives of Member Organizations

Cameroon State Audit Office

Hungary State Audit Office

India Comptroller and Auditor General

International Monetary Fund

Pakistan Office of the Auditor General

Representatives of Individual Members

Blandina NyoniMortimer Dittenhofer James Hamilton Jesse Hughes Virginia RobinsonLinda Weeks

Government Financial Management World

International Consortium on Governmental

Financial Management (ICGFM)

444 North Capitol Street, Suite234Washington, DC 20001 USAwww.icgfm.org • [email protected]

ph: 202 624-8461

fx: 202 624 5473

ICGFM Officers