Summary

Budget alignment with the SDGs has been integrated into the municipal management system through a cloud-based management tool that allows tracking the budgetary effort allocated to these objectives individually. This indicator platform, called IDDIGO, uses a budgetary and functional analysis of each expenditure item and its nature as criteria to link the allocated amount to the corresponding SDG. In the case of classification by programs, each program is analyzed for its potential impact on each of the objectives.

Project Classification

It is a Plan. Alignment of existing plans with the SDGs of the 2030 Agenda.

Timeline

The initiative was implemented in June 2021 and is currently in service.

Self-Assessment Section

PLANNING What were the objectives set for the project?

General objectives:

1. To commit to a measure that is already mandatory for the State General Administration (Order HFP/535/2022, of June 9, article 7, section 8), thereby demonstrating Alcobendas’ commitment to the localization of the 2030 Agenda
2. To define how expenditure items and municipal budget management contribute to achieving the SDGs, providing verifiable data to citizens, municipal staff, and partner institutions.

The specific objective, and added value of this project, is to improve the decision-making process by facilitating the combination of effort measures (budget) with impact measures (indicators) on the Sustainable Development Goals.

INNOVATION What are the most innovative aspects? What challenge/problem is being addressed?

This initiative is primarily aimed at internal reorganization or restructuring, designed to adapt our procedures and work methodologies to the principles set forth by the 2030 Agenda (for example, localization of the A2030, design of implementation plans or alignment of existing plans with the A2030, budget alignment, identification and construction of measurement indicators…).

What is the target population?

The entire ecosystem: citizens as a whole, stakeholder groups, municipal staff, and partner institutions.

METHODOLOGY What methodology was followed for its implementation?

Once access to the tool was contracted (online licensing system) with an annual subscription system, training sessions were provided on the use of the tool to the staff designated for the licenses. The company can access budgetary data because it is available in open format, so no action is required from city council staff, which ensures the future sustainability of the tool.

CONDITIONING FACTORS What conditions must be met for the project to be successfully replicated (in a similar context)?

The three main elements that have enabled the success of the initiative have been:

1. The strategic planning culture implemented in municipal management for many years.

2. The institution’s commitment to the localization of the SDGs in Alcobendas, regardless of its legal obligation.

3. The application of a methodology based on a market solution that is already proven and implemented in other cities.

REPLICABILITY/SCALABILITY/TRANSFER What elements must be considered for the project to be replicated in another Local Entity? What resources are necessary?

1. Political decision to align the municipal budget with the SDGs. In the case of Alcobendas, there is a well-established strategic planning culture that facilitates this type of decision-making.
2. Securing the involvement of the city council’s economic department.
3. Facilitating access for municipalities with fewer resources to an SDG budget alignment tool like the one used in our case, through higher-level reference institutions (FEMP, provincial councils, autonomous communities).

Only a subscription to a market product that is within reach of many other municipalities was necessary through a contract. In this regard, the replicability of this initiative is very high.

STAKEHOLDER INVOLVEMENT What local actors have been involved in the project (citizens, third sector organizations, private sector, academic sector, etc.)? How was this involvement achieved?

Business sector.

Briefly, what role has each one played or is playing?

A SaaS solution was contracted with the consulting firm specialized in strategic planning and sustainability, Idencity, for access to their online platform, which includes the module that allows managing and monitoring the entire strategy for aligning the municipal budget with the SDGs.

Can you indicate what the main actions developed by the initiative have been?

The main actions consist of an analysis of the budget item by item, both by its functional and economic nature, and its assignment to each Sustainable Development Goal of the 2030 Agenda. Next, a calculation is performed (through the online tool) of the percentage of expenditure relative to the total dedicated to each of the SDGs, which is displayed on the website in a highly visual table.

PARTNERSHIPS. Have other institutions been involved in achieving the set objectives?

No.

RESULTS/MEASUREMENT Have the project results been measured based on local indicators?

The platform indicates what percentage of the budget is aligned with the SDGs, and as mentioned, automatically generates “views” of the percentages of expenditure allocation to each SDG. These results are exportable and comparable with other local administrations that also use the tool.

TRIPLE IMPACT Is the project sustainable from an environmental, economic, and social perspective?

The experience improves the efficiency of budget management (positive economic impact) and optimizes existing resources in such a way that they have a greater social and environmental impact.

In the case of Alcobendas, for example, below-average performance is detected in SDG 13 – Climate Action, and furthermore, there is no allocated budget aligned with this SDG. This leads Alcobendas to consider allocating a larger budget to this Goal.

OBSTACLES What have been the main obstacles encountered in all phases of the project?

The main obstacles are:
• Limited standardization in the local administration sphere regarding budgetary allocation of classification by programs.
• Absence of a standard in the assignment of SDGs to classification by programs.
• Still limited awareness (in internal management bodies) about the importance of correct budget allocation in relation to achieving the SDG objectives.

CONCLUSION. Project impact and usefulness.

Budget alignment with the SDGs has been integrated into the municipal management system through a cloud-based management tool that allows tracking the budgetary effort allocated to these objectives individually. This will enable more efficient budget allocation and a more standardized and replicable classification of budget items in other administrations, which is one of the priorities of the 2030 Agenda.

Information Section

ADDITIONAL INFORMATION

IDDIGO Platform: https://iddigo.com/commercial/budgets

 

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