Approaches to optimizing budget expenditures on public institutions

One of the tasks of the budgetary cost optimization is to optimize expenditures on the budget network institution. In general, optimizing the network of public sector organizations acts as one of the ways to improve the efficiency of budget expenditures. The authors consider approaches to optimizing budget expenditures on public institutions. In recent years, there has been an increase in the number of these organizations and, accordingly, the budget expenditures on their maintenance. In the authors’ opinion, the proposals to optimize budget expenditures on public institutions can be made in the following four main areas: the outsourcing of support services; the restructuring of public organizations, the redistribution of public services (works) provided (performed) between them; the centralized management and maintenance services in public institutions; the evaluation of the reasonability of budget allocations for the provision (performance) of public services (works). The paper deals with the first three areas of optimization. The research introduces the concept of identical services (works) and the level of competition on the market for services (works) identical to public services (works). The market monopolization rate is presented, and its analysis is interpreted. The authors substantiate the assessment of staffing level directly related to the provision (performance) of public services (works) and the analysis of the cost structure of organizations which are subject to the restructuring or redistribution of public services (works) provided (performed) between them. The research presents the proposals for the creation of centralized accounting departments and a single authorized agency engaged in the procurement of goods, works, and services for federal public institutions. The research emphasizes that a prerequisite for the implementation of possible measures is that they should not lead to a decrease in the quality of services (works) provided (performed).