Implementing the ＂Three Guarantees＂ Guarantee Mechanism of Cities and Counties in Four Dimensions in Ningxia

September 18, 2021 Source: Office of Finance Department of Ningxia Hui Autonomous Region

　　Grass-roots government’s basic livelihood, wages and operation are the basic needs to protect the vital interests of the masses, and also the basic conditions to promote the government’s performance of duties and the implementation of various policies. The CPC Central Committee and the State Council attach great importance to this. In 2018, the Central Economic Work Conference proposed to improve the basic financial security mechanism at the county level and enhance the ability of difficult areas and grassroots governments to ensure wages, operations and basic people’s livelihood. The 2019 government work report proposes to reform and improve the county-level basic financial security mechanism, ease the pressure of financial operation in difficult areas, and never let the basic people’s livelihood security go wrong. Ningxia Hui Autonomous Region, as an underdeveloped area in northwest China, has been affected by its own financial shortage and epidemic situation in recent years, and the financial revenue and expenditure situation is particularly severe. In order to effectively ensure the normal operation of grass-roots finance, the autonomous region’s finance strengthens the internet thinking, implements the "three guarantees" guarantee mechanism of cities and counties from four dimensions, ensures that the "three guarantees" guarantee of cities and counties at the grass-roots level is put in place, realizes the smooth operation of the whole region’s finance, and steadily improves people’s livelihood security.

　　First, build a "three guarantees" guarantee mechanism with engineering thinking

　　The work of "three guarantees" at the grass-roots level is a systematic project with wide coverage, strong comprehensiveness and professionalism, which runs through all aspects of financial work. The finance of the autonomous region should make overall plans for development and security, and build a "three guarantees" guarantee mechanism of "system+technology" with engineering thinking. In the financial integration platform, the ability of big data integration analysis is used to organically combine budget management and implementation monitoring, and the budget management integration system is established to control and implement the "three guarantees" guarantee mechanism. Promote the efficiency optimization of the "three guarantees" guarantee mechanism in cities and counties from the perspectives of task objectives, time-point monitoring and guarantee measures, and realize the timely and full payment of the "three guarantees" expenditures of grassroots finance, and the operational risks can be pre-controlled.

　　According to the concept of "integration of information sources, automation of data extraction, and optimization of monitoring and decision-making", the work of "three guarantees" is comprehensively and systematically sorted out from the design of financial macro-business framework to the micro-monitoring of specific accounting indicators, and an information-based, full-chain, dynamic management mechanism of "three guarantees" budgets in cities and counties is established to comprehensively standardize budget management and harden budget constraints. From the task goal, we should construct a "three guarantees" guarantee mechanism with budget arrangement, capital guarantee and system constraint in place; From the time node, it covers the whole process links such as budget demand calculation, project library construction, budget editing, implementation monitoring, analysis and early warning, notification and feedback; From the specific implementation, it is subdivided into financial resources, treasury, budget implementation and temporary payment and other indicators.

　　Second, implement the "three guarantees" guarantee responsibility with the project concept

　　Establish a "three guarantees" budget management mechanism with the project library as the source, and dynamically record the whole life cycle management information of budget projects in real time. According to the "Three Guarantees" guarantee content, it corresponds to specific projects, personnel projects and operation projects in the budget project library respectively. Through the standardized management of the "Three Guarantees" budget projects through the budget integration system, the whole life cycle management of budget project comparison, statistics, analysis and monitoring is realized, the binding force of each link of budget management is enhanced, and the responsibility of "Three Guarantees" guarantee is promoted at the grassroots level in cities and counties.

　　From the aspect of project reserve management, around the demand calculation and project library construction, cities and counties establish project libraries against the "three guarantees" guarantee list, and accurately calculate the expenditure demand according to the actual implementation standards and scope, so as to improve the accuracy of the "three guarantees" budget preparation. According to the scale of available financial resources in the current year, calculate the financial guarantee multiple of the "three guarantees" expenditure in each region, clarify the source of budgetary funds for the "three guarantees" project, and give priority to the "three guarantees" project in the budget.

　　From the aspect of budget preparation management, in the process of budget compilation and project identification, the finance of the autonomous region has established a budget preparation and review mechanism covering all cities and counties in the region to ensure that all the "three guarantees" expenditures of cities and counties are included in the budget without leaving a hard gap. Mark the relevant project libraries with "Three Guarantees" in budget preparation, and set up the verification rules and traceability rules for the requirements of the "Three Guarantees" budget projects based on the budget integration system. On the premise of ensuring the budget arrangement and demand matching of the "Three Guarantees", the "Three Guarantees" project library will be used as the source to lay the foundation for the fund allocation, disbursement and full chain monitoring of the "Three Guarantees" budget project library.

　　From the aspect of project execution and management, we should take the normalization mechanism of direct funds and the integrated norms of budget management as the starting point to harden the budget binding force, strengthen the standardized and efficient implementation of the "three guarantees" project library, urge cities and counties to strictly implement the "two expenditures" priority principle, reasonably balance the "three guarantees" budget expenditures, and realize the accurate and efficient implementation of the financial "three guarantees" funds. Linkage regional temporary payment and hidden debt funds in place, to prevent risk factors affecting the implementation of "three guarantees", to ensure the smooth operation of finance without risks.

　　Third, build a "three guarantees" monitoring system with inventory management

　　The finance of the autonomous region monitors the implementation of the "three guarantees" expenditure in the whole process by means of inventory management, and constructs an all-round dynamic monitoring and management mechanism. Strengthen the means of financial big data integration, solve the practical problems of "three guarantees" with a large number of monitoring data and a wide range, establish an orderly, scientific and efficient monitoring and prevention system, and achieve early detection, early warning, early intervention and early disposal of risks.

　　Build a scientific and reasonable monitoring system. According to the scope and objectives of "Three Guarantees", the specific tasks are decomposed one by one, and the monitoring system of "Three Guarantees" is built by inventory management: four items of "basic livelihood, wages, operation and other rigid expenditures" are the main body, and eight indicators are radiated, including financial security multiple, treasury security multiple, budget arrangement in place rate, financial gap rate of short income, temporary payment compression rate, supernumerary control rate and implicit debt resolution fund in place rate. According to the importance of each index, different weights are given, and the results of index implementation are scored quantitatively every month, so as to objectively analyze the financial operation status and support ability of cities and counties as a whole and fully reflect the risk level of financial operation of cities and counties.

　　Strengthen the ability of data monitoring and analysis. Strengthen digital empowerment, give full play to the advantages of large amount of financial data, strong timeliness and high correlation, extract monitoring data based on the financial integration system, and objectively analyze the financial operation. According to the data such as the implementation of the "three guarantees" budget and the treasury funds of cities and counties, we will strengthen the data penetration and analysis, and form the monitoring and analysis ability of the "three guarantees" operation of cities and counties with full coverage, multiple indicators, penetration, dynamics and informationization. Establish a "three guarantees" monitoring system of weekly report and monthly report. The monitoring results are displayed by multi-dimensional index statistics and visual graphics, and the financial operation of each region is divided into "smooth operation, low risk, moderate risk and high risk" grades, which strongly supports scientific decision-making in cities and counties and efficiently supervises and accurately manages.

　　Strengthen the feedback of risk monitoring results. Regularly submit the dynamic monitoring results of "three guarantees" and rigid expenditures to the party committees and governments of autonomous regions every month, and inform the party committees and governments of cities and counties. For cities and counties above the "moderate risk" level, prompt early warning by SMS, WeChat, sending reminder letters, etc. at the first time; For cities and counties where the "three guarantees" work is ineffective or the guarantee is not in place, informed criticism will be located in the whole region, and the leaders of the autonomous region government will be interviewed or invited to interview the relevant person in charge of the city and county governments as appropriate; Responsible units and personnel in serious cases shall be brought to the attention of relevant departments for accountability according to their responsibilities. Actively guide cities and counties to strengthen the "three guarantees" work, ensure that risk prevention and control and responsibilities are put in place, and comprehensively improve the operational efficiency of financial management.

　　Four, to resolve the "three guarantees" risk warning with the responsibility mechanism

　　According to the accountability mechanism of "whoever bears the responsibility for the guarantee bears the responsibility for the expenditure", and according to the monthly monitoring results of "three guarantees" in cities and counties, the "three guarantees" risk early warning is implemented to resolve the main responsibility. Cities and counties’ financial departments should strengthen cooperation with relevant departments and budget units according to the specific indicators of the monthly monitoring report, be more accurate and effective in the focus, intensity, rhythm and timing of fiscal policy regulation, earnestly grasp the responsibility of "three guarantees" and effectively resolve financial operation risks.

　　On the financial level of the autonomous region, we will strengthen the overall scheduling of treasury funds, keep the treasury funds of cities and counties running within a safe range, and effectively protect the rigid needs of cities and counties such as "three guarantees" expenditures. Improve and optimize the transfer payment method, increase the sinking of financial resources, take the "three guarantees" guarantee as an important factor in the allocation of funds, strengthen the management and guidance of transfer payment funds for the "three guarantees" guarantee of cities and counties, and support cities and counties to ensure the basic and bottom line. Accelerate the reform of financial affairs and expenditure responsibilities in different fields, make every effort to ensure that cities and counties implement expenditure responsibilities, and weave a strong livelihood security network. Study and establish a financial sustainability assessment mechanism, and cities and counties will introduce or improve the basic livelihood policy standards of the "three guarantees" list to assess financial sustainability, taking into account the stage of economic and social development and financial sustainability.

　　On the financial level of cities and counties, we will focus on nine key industries, strengthen fiscal and taxation policies and financial support and guidance, go all out to promote the high-quality development of county economy and the construction of financial resources, and maintain the growth of fiscal revenue in a reasonable range. Strengthen the overall planning of financial resources, optimize the allocation of financial resources, further enhance the local financial security capacity, and make overall arrangements for the "three guarantees" and bond debt service expenditures. Deepen the integration of budget management, improve the management level of "three guarantees" budget project library, implement systematic control of budget management, and strengthen the binding force of "three guarantees" expenditure. Vigorously reduce non-rigid expenditures, constantly adjust and optimize the fiscal expenditure structure, and ensure the normalization of the efficient and high-quality tight life mechanism. Strengthen the main responsibility of budget execution of departments and units, strictly implement the principle of "two expenditures", continue to accelerate the implementation progress of people’s livelihood expenditures, and effectively secure the bottom line of people’s livelihood security.