On 1 July 2016, the frameworks replaced the Budget and Financial Management Guidances (BFMGs). The Budget Operations Framework (BOF), Financial Reporting Operations Framework (FROF) and Performance Management Framework (PMF) reconstitute the BFMGs into three frameworks, removing unnecessary or outdated requirements, clarifying the intention of mandatory requirements and improving the structure.
Departments are required to apply these frameworks under the Standing Directions of the Minister for Finance 2016 (Directions). This includes the compliance requirements set out in the 2016 Directions, including public attestation of compliance in annual reports from 2017-18.
DTF plans to undertake a second stage of reform involving a detailed review of the policy content of the frameworks in the coming months. This will be done in close consultation with departments.
The Budget Operations Framework (BOF) serves to assist Victorian Government departments in understanding and applying the financial and legislative framework that underpins budgeting and funding processes.
The Financial Reporting Operations Framework assists departments by providing supporting information and guidance on the financial data submission requirements in DTF information requests and technical guidance on accounting and reporting practices.
The Performance Management Framework (PMF) provides Victorian Government departments with a structure for government and public sector planning, budgeting, service delivery, performance monitoring, reporting and accountability.