Paper/Speech Details of Conference Program for the 25th NISPAcee Annual Conference Program Overview V. Public Finance and Management Author(s) Nadezhda Bobcheva Oborishte DIstrict (Part of Sofia Greater Municipality) Sofia Bulgaria Title Financing Preschool Education in Bulgaria: Does Performance Matter? File Paper files are available only for conference participants, please login first. Presenter Nadezhda Bobcheva Abstract Preschool education in Bulgaria is primarily provided in kindergartens for children aged 3 to 6 and in primary school preparatory classes. Recent legal amendments provide for 2 years of compulsory preschool education, which encompasses all 5 and 6 year-olds. Municipalities have to ensure that they are able to accommodate all children subject to compulsory education. Hence, provision of preschool education is shared between levels of government. Municipalities are the primary maintainer of public kindergartens. Curricula, planning, coordination of state policies, financing and quality standards are set by the national government. The core funding that is allocated to local authorities from the central budget is calculated on a per pupil basis, written in a national standard. Reflecting on provision, the landscape of financing preschool education in Bulgaria is complex. It is a mix of central government funding, funds from local governments and parents. Other sources of funding such as donations and contributions from private companies and government entities are permitted by law. In 2016, following entering into force of the new Law on Preschool and School Education, there is a public debate regarding municipal fee for using kindergartens. The debate is focused on the point whether or not municipalities could charge parents for compulsory education and, subsequently, the amount that local authorities have to contribute. Indeed, financing preschool education has been a challenge for poor municipalities and the issue how effectively and efficiently public funds (both state and municipal) are spent raises highly. It is important to notice that contributions from the national budget are fixed. Principals of kindergartens are in charge of the day-to-day financial management but their activities are overseen by municipal financial department. So, achieving efficiency and effectiveness of financing preschool education rests with Bulgarian local governments. A quick look shows that in 2015 all Bulgarian municipalities charge fee for using kindergartens. The annual amount collected ranges significantly from 702 leva (365.08 €) in Kovachevtsi to 4`252`496 leva (2`313`884.86 €) in Varna (the capital city of Sofia is excluded). The same is the situation regarding municipal expenditures on education. The consolidated data (all expenditures on education – preschool, school and extracurricular activities) for the above-mentioned municipalities indicates significant differences – the annual amount spent on education is as follows: 179`468 leva (91`760.53 €) in Kovachevtsi, to 92`995`289 leva (47`547`736.26 €) in Varna. So, the picture on financing preschool education in Bulgaria is diverse and varies from municipality to municipality. The amount considered as annual allowance for one child differs significantly among municipalities. Also, some municipalities need to contribute additional funds in order to provide the service. In addition, the performance varies significantly among different kindergartens within the same municipality. For example, within the municipality of Silistra the annual allowance per pupil in local kindergartens varies from 462 leva (236.22 €) to 1800 leva (920.33 €). The proposed paper will provide insights into: •The way the money allocated from the national budget is spent on preschool education; •Types of models employed by municipalities to finance preschool education - municipal funds allocated to co-finance preschool education in order to provide the service at a proper level. It will contain a comparison between different municipalities and the way they perform; •The case of the municipality of Silistra will be studied in depth – the way different kindergartens perform will be presented.
