Study On BSC Performance Evaluation Of Agricultural Special Funds

In recent year, the central government has put forward a series of public fiscal reforms, among which factor-distributed special funds and performance evaluation are the focus. According to the Minister of Auditing, around 9.7 billion special funds stay on the account for the long term in the first quarter of 2016, due to the disadvantages of traditional fund distribution method. The investment of agricultural special funds, as a special fund closely related to natural resource, has the defects of diversification and fragmentation. In this way, agricultural special funds have introduced factor distribution into capital allocation as a solution. However, new problem arises from the new form of capital allocation. Traditional method of performance evaluation doesn’t not apply to the new form of capital allocation, that it no longer able to reflect the utility efficiency of funds in comprehensive and scientific way. Thus, new system of performance evaluation shall be established. The research purpose of this essay is to explore the modification and improvement of balanced score card to establish an index system of evaluation performance for factor-distributed agricultural special funds, apply it in practice, and put forward relevant supporting policies.This essay, based on the research of traditional performance evaluation methods, considering the characteristics and difficulties of factor-distributed agricultural special funds, including the focus of capital allocation changed from on the project construction content to on the object oriented, the management requirement of special fund changed from that the traditional one requires special fund used on special purpose to that improve street-level’s motivation and capital usage efficiency by expanding street-level’s capital allocation right, and the capital demand measurement model changed from subjective intention of street-level to the objective demand in the region, put forward a more scientific evaluation framework for factor-distributed fiscal funding performance with the balanced score card method as the core. According to the characteristics of the capital budget of public finance, the four original dimensions of balanced score card are turned into the service object, the allocation mechanism system, the input effectiveness and the strategic planning. Also, detailed and quantitative method of scoring is put forward. Later, taking the 2014 funds supporting ecological compensation in Nanjing as example, the performance evaluation method of balanced score card is verified, with the conclusion that the balanced scorecard method is more scientific and comprehensive than the original one. Finally, according to the problems found in the validation process, further suggestions are proposed to improve the performance evaluation of factor-distributed agricultural special funds.This thesis consists of five chapters. Chapter one is introduction, which mainly includes financial performance evaluation theory related literature and theory review at home and abroad. Through the research of local financial performance appraisal, it bounds finance-fiscal expenditure-fiscal expenditure performance, and accounts for the analysis and theory. Also, on the base of background and difficulty analysis, it explains the research aims, methods, contents and research thoughts. Chapter two first analyzes the different characters between factor-distributed agricultural special funds and other agricultural special funds, then shortages of the existing performance evaluation methods for factor-distributed agricultural special funds are found. It also analyses the position and function, and designs the measure for local fiscal expenditure performance appraisal. Chapter three is the method design of fiscal expenditure performance appraisal. The new method introduces the modified balanced score card method and establishes a more scientific framework for factor-distributed fiscal funding performance. On the base of value orientation of premise enactment for fiscal expenditure performance evaluation, it points out of the performance evaluation index design of balance point card. Chapter four is case analysis. Taking the 2014 funds supporting ecological compensation in Nanjing as an example, a variety of methods are employed to determine the performance evaluation index, distribute weight, and build a quantitative system. According to the calculation, the performance evaluation method of balanced score card is verified, with the conclusion that the balanced scorecard method is more scientific and comprehensive than the original one. Chapter five is the conclusion, with the thoughts of consummating the performance evaluation system of factor-distributed agricultural special funds.The innovation of this essay is that, to introduce the method of balance point card, and to establish a scientific evaluation framework for fiscal funding performance. Then the new framework is put into practice and more suggestions are raised on further improving fiscal funding performance evaluation.