2 OMB Requirements—The Framework

If the preceding chapter has convinced you that performance budgeting is worth doing and worth doing well, not to worry: You have a lot of guidance to fall back on to help you implement it. OMB publishes its “Budget Bible” annually in the summer, in the form of OMB Circular A-11.

OMB Circular A-11 guides federal agencies in all aspects of their budget formulation and execution processes. The circular’s performance budgeting requirements are mandatory for federal executive branch agencies. Those in state or local governments would do well to use Circular A-11 as a resource to guide them, too. While not presented in step-by-step, “cookbook” precision and detail, Circular A-11 lays out a common-sense framework that is equally applicable to state and local jurisdictions.

Part 6 of Circular A-11, “Preparation and Submission of Strategic Plans, Annual Performance Plans, and Annual Program Performance Reports,” provides guidance on the elements necessary to comply with the Government Performance and Results Act (GPRA). (See Appendix II for Circular A-11, Part 6.) Now that annual performance plans and reports have evolved into performance budgeting documents, this part of Circular A-11 is the direction all executive branch agencies must follow when preparing their performance budgets and reports. This chapter summarizes and discusses the basic requirements of Circular A-11, Part 6.