A Study On The Pattern Of The Local Fiscal Expenditure Performance Audit

The management of the local fiscal expenditure prevails with different problems such as the softening of the budget constraints, the lack of expenditure supervision, the uncontrolling of project arrangement and low investment profit. This is closely related to the old-fashioned management concepts and methods. As the market economy develops in our country, the range of the local fiscal expenditure is expanding. To improve the management level of the local fiscal expenditure and make more economical achievements with limited funds, it is of the top priority to establish the performance audit of the local fiscal expenditure. Thus, such an establishment embodies both the external basis and the internal requirement. It is essential to establish the performance audit system of the local fiscal expenditure in accordance with the management principles of the market economy. By doing this, the system can be used to measure and compare the cost and profit of the local fiscal investment, strengthen the controlling and motivation of the local government's expenditure and promote the change of the financial management function and the improvement of management level.This article, which starts with the definition of the fiscal expenditure by analyzing the problems existing in the local fiscal expenditure, explains the essentiality of the performance audit of the local fiscal expenditure. Utilizing the theory of new public management the articles also systematically elaborates on the definition features and environment of the performance audit of the local fiscal expenditure and comes up with a pattern which includes the object, the content, the methods and the procedures of the performance audit for the audit out of the practical needs. Meanwhile, in accordance with the evaluating requirements for the economical effectiveness and efficiency, the paper defines the principles of the local fiscal expenditure performance audit, and then discusses the standards, indicators and methods of the evaluation.The elaboration of this paper will be instructive to the practical work of the performance audit and presents some ideas for the auditing workers to conduct the performance audit.