Accounting Government and Non-

Profit Organization
Week 8
PUBLIC SERVICE AGENCY (PSA-BLU)
 The Role of Government
According to Max Weber, the role of government can be viewed
from two perspectives:
• Mechanic View
As Regulator
As Administrator
• Organic View
As a Public Service Agency
As an Investor

Functions according to Mechanic View closely with the

bureaucracy, while the function according to Organic View must
be dynamic and can be transformed to "autonomous agencies."
 Bureaucracy = Inefficiency,
Ineffectivity?
• According KBBI, bureaucracy is:
• A government system run by appropriate government employees
in hierarchy and level of position.
• Has a slow pace of work, and according to the rules (customs and
so on) that has many twists and turns.
• Thus, while government is identical with the bureaucratic system,
it attaches to the connotation of inefficiency and ineffectiveness.
 The Rules of State Financial
Management
• ORIENTASI PADA HASIL
(Performance Based)
• PROFESIONALITAS
(Let the Managers Manage)
• AKUNTABILITAS & TRANSPARANSI
(Accountability & Transparency)
 Activities that Can Be
Transformed as Autonomous
Agency are as follows:
1. Layanan pendidikan (Educational Service)
2. Layanan kesehatan masyarakat (Public Health Service)
3. Layanan LITBANG (LITBANG service)
4. Penyelenggaraan dana bergulir untuk masyarakat
(Implementation of revolving funds for the community)
5. Pembinaan olah raga (Sports coaching)
6. Perawatan jalan raya (Highway Maintenance)
7. Pertamanan dan kebersihan (Gardening and cleanness)
 Activities That Can not Be Transformed
as an Autonomous Agency include:

1. Legislasi (Legislation)
2. Pengaturan (Settings)
3. Penetapan Kebijakan Pelayaran (Establishment of Sailing Policy)
4. Penganggaran (Budgeting)
5. Peradilan (Justice)
6. Penindakan (Action)
7. Pertanggungjawaban (Accountability)
 Public Sector Institutions
1. Satker biasa
 Non-Profit (Revenue < expenditure)
 Tidak Otonom (Not autonomous)
 Management in accordance with the mechanism of APBN.
2. Satker with PK BLU
 Not For Profit (tidak mengutamakan keuntungan)
 Pengelolaan keuangan (Financial Management) in accordance to PP 23/2005
 Kekayaan Negara yang Tidak Dipisahkan (state assets that are not separated)
 Semi Autonomous/autonomous
3.BHMN (Badan Hukum Milik Negara)
 Tidak mengutamakan keuntungan (Not For Profit)
 Kekayaan Negara yang Dipisahkan kecuali tanah (State Property Separated
except the land)
 Otonom (Autonomous)
4. BUMN
 Profit Oriented (Revenue > Expenditure)
 Management of business finance
 Kekayaan Negara yang Dipisahkan (State Property Separated )
 Otonom (autonomous)
 Scope of State Finances By Subject
Keuangan
Negara
(state finance)

Separated State
Government Property Management
Institution

Central government BUMN/D BUMN/D Non

include BLU*) Finance Finance

Provincial Government Monetary institutions

Include BLU*) including
central banks *) BLU = Badan Layanan
Umum, or public
service agency
Regency/City such as
Government Non-monetary
include BLU*) institutions universities and
hospitals
8
 BLU Definition (PSAP-02)
Is an agency within the government that was formed
to provide services to the community in the form of
supplying goods and / or services being sold without
a priority for profit and in performing activities based
on the principles of efficiency and productivity

• BLU is an institution in the central / regional government that manages the

wealth of the state / local that are not separated.
• The work unit give the flexibility of financial management by applying good
business practices to improve services without prioritizing profits,
conducting activities with the principles of efficiency and productivity.
• BLU is a reporting entity because it is a service unit. Although BLU not a legal
entity, BLU manages the wealth of separated state/local.
 Legal Basis of BLU (1)
• UU No. 1/2004 about State Treasury (Perbendaharaan Negara);
• PP No. 23/2005 about PK BLU;
• PMK No. 07/PMK.02/2006 about Administrative Requirements for
Proposing and Establishment of working units of government instances
( Satker instansi pemerintah) to Implement PK BLU;
• PMK No. 08/PMK.02/2006 about Authority of Goods / Services
Procurement at BLU(Kewenangan Pengadaan Barang/Jasa pada BLU);
• PMK No. 09/PMK.02/2006 about Establishment of supervisory boards
( dewan pengawas) on BLU;
• PMK No. 10/PMK.02/2006 about Guidelines for the Determination of
Remuneration for Management Officials, supervisory boards and BLU
Officers;
• PMK No. 66/PMK.02/2006 about Procedures for Formulating, Submitting,
Setting, and Changing the RBA, as well as the BLU Budget Implementation
Document

10
 Legal Basis of BLU (2)

• BLU is a government agency established to provide services to the public

in the form of providing goods and / or services sold without prioritizing
profit and conducting its activities based on efficiency and productivity
principles.
Ps 1 UUPN
• BLU was formed to improve services to the public in order to promote the
common prosperity and educate the nation.
• The wealth of BLU is a wealth of state that is not separated.
• The central government's BLU financial development is carried out by the
Minister of Finance and technical guidance is conducted by the technical
minister which responsible of the respective governmental area.

Ps 68 UUPN
11
 Legal Basis of BLU (3)

• Work plans and budgets (RKA), LK and BLU performance are

prepared and presented as an integral part of RKA and K / L
financial and performance reports.
• Revenue and expenditure of BLU in annual RKA is
consolidated in RKA K / L.
• Revenues earned by BLU are state revenues.
• The revenue can be used directly to finance BLU
expenditure.
Pasal 69 UUPN
 Scope of Works
The Government’s work unit provides Public services, such as
• Service provision of goods / services (Pemberian Layanan
barang/jasa)
• Special Fund Management (Pengelolaan Dana Khusus)
• Area Management (Pengelolaan Kawasan)
 The Purpose of BLU

 Improving services to the public in order to advance the

general welfare and educate the nation
 Flexibility in financial management based on economic
principles and productivity
 Implementation of good business practices.
 BLU Characteristics
1. is a government institution (not a separated state asset)
2. Produce goods / services entirely/partly sold to the public
3. Not aiming for profit
4. Autonomously managed with efficiency and productivity
principles
5. Work plans / budgets and responsibilities are consolidated
at the parent company
6. Revenue & donations can be used directly
7. Employees may consist of civil servants (PNS) and non-civil
servants (Non- PNS)
8. Not as a tax subject
 BLU Characteristics
• Financing of BLU is a part of APBN / APBD;
• The entity is established by laws and regulations;
• The head of the entity is appointed
• The entity makes direct responsibility both to the accounting
entity / reporting entity under it and indirectly to the
representative of the people as a party that approves the budget;
• Have authority in financial management, i.e. the use of revenue,
cash management, investment, and loans in accordance with
applicable regulations ;
 BLU Characteristics

• Provide services to the public / third parties;

• Managing resources separate from the accounting entity /
reporting entity under it;
• Have significant influence on the achievement of government
programs; and
• The BLU's financial statements are audited and given an opinion
by an external auditor.
 TATA KELOLA BLU YANG BAIK (GOOD
CORPORATE GOVERNANCE)
Autonomous
Financial Management

Good Corp. Governenace

BLU
Environm
ent
Performance
(output/outcome)

Society
Etc.

Government Employee
Investor
 3 Types of BLU:

1. Type of Service Provision Activities / Goods (Hospital,

Universities, License Service, Broadcasting Service)
2. Types of Area Management Activities
3. Special Fund Management Type
 BLU Requirements

 BLU substantive requirements, basic functions of public

services
 BLU technical requirements are regulated by Ministries /
Technical Institutions
 The financial / administrative requirements are regulated
by the Minister of Finance
 Submission of BLU's
Establishment
• Substantive requirements:
– Government instance which propose and organize of Public services
related to:
• Provision of goods and / or services of public services;
• Management of a particular region / region to improve the community's
economy or public services; and / or
• Management of special funds in order to improve the economy and / or
service to the society.
• Technical requirements:
– Services Performance in the field of main tasks and functions is
feasible to be managed and enhanced by the achievement of BLU as
recommended by the minister / head of institution / head of SKPD
in accordance with their authority; and
– The financial performance of the work unit (satuan kerja) is good as
 Submission of BLU's
establishment (2)
– Administrative requirements
Government instance which propose and organize of
Public services related to :
• a statement of ability to improve the performance of
services, finances, and benefits for the society;
• patterns of governance;
• strategic business plan;
• basic financial statements;
• minimum service standards; and
• the latest audit reports or statements are willing to be
audited independently.
 COMPONENT OF BLU
FINANCIAL STATEMENTS
• Budget Realization Report (LRA);
• Statement of Changes in the Excess Budget Balance;
• Balance Sheet;
• Statement of Operations (LO);
• Statement of Cash Flows (LAK);
• Statement of Changes in Equity (LPE);
• Notes to the Financial Statements (CaLK).
 Flexibility of BLU Financial
Management
• Revenue and Expenditure
• Cash Management
• Account Receivable and Debt Management
• Investment
• Goods Management
• Surplus / Deficit
• Accounting
• Remuneration
• Employment status of civil servants and non civil
servants
• Institutional nomenclature and leadership
24
 Hubungan Keuangan Pemerintah
Dengan Pengelolaan Keuangan
PP 23/2005
APBN Allocations APBN BLU
RBA BLU consolidation RKA

APBN Fund
SPM

Implementation
Budget:
Revenue APBN
Expenditure Deliver Implementation
Cash management DPR
Procurement of goods / services
Debt management
Accounts Receivables
Investment SPM Pengesahan
Evidence LK

APBN Accountability
Operational Revenue BLU
LK
SAK
LK
accountability SAK LK Pemda
accountability SAP/
LK Permendagri 13
APBD
25
 BUDGET REALIZATION
REPORT
The Budget Realization Report provides
information on the realization of revenue,
expenditures, transfers, surplus / deficit, and the
financing of a reporting entity, compared with
the budget.

Minimum Line Item :

Revenue-LRA;
Expenditure;
Transfers; and
Surplus/deficit-LRA;
Financing receipts;
Financing expenditures;
Net financing; and
Excess / shortfall budget financing balance
(SiLPA / SiKPA)
 BUDGET REALIZATION REPORT
LRA-Revenue

BLU revenue that is self-managed and not deposited to

the State / Local Cash is the revenue of the state / Local.

LRA-Revenue at BLU is recognized when cash income

received by BLU is recognized as revenue by a unit with
a general treasury function. (Cash Basis)

Accounting for LRA-Revenue is conducted based on a gross

basis (asas bruto), by posting gross receipts, and not
recording the net amount (after being offset by expenses).
 BUDGET REALIZATION REPORT
Expenditure (Belanja)

Expenditures on BLUs are recognized when cash

disbursements made by BLUs are authorized by units with
general treasury functions.

Expenditure on BLUs is classified according to economic

classification (type of expenditure), organization, and
function. Economic classification for BLU, ie employees
expenditure, goods expenditure, and capital expenditure.

The excess or less between LRA realized revenues and

expenditure, and the receipts and expenditures of
financing during one reporting period are recorded in the
SiLPA / SiKPA post.
 BUDGET REALIZATION REPORT
Financing (PEMBIAYAAN)
Financing receipts on BLUs are recognized when the cash
received by the BLU is authorized by a unit with a general
treasury function.

Financing expenditures on BLUs are recognized when

financing expenditures are authorized by units with
general treasury functions.

The additional principal of investment which comes from

BLU revenue is recognized as financing expenditure.

The excess or less between financing receipts and

financing expenditures during one reporting period is
recorded in Net Financing.
 BUDGET REALIZATION REPORT
SiLPA/SiKPA

LRA Revenue – Expenditure +/- Net Financing =

SiLPA/SiKPA
 Statement of Changes in the
Excess Budget Balance
The Statement of Changes in the Excess Budget
Balance presents information on the increase or
decrease in the Excess Budget Balance in the
reporting year compared with the previous year

Items in Statement of Changes in the Excess Budget

Balance

a) The beginning of excess budget balance;

b) The usage of excess budget balance
c) Excess or less of financing budget at current year ;
d) Error Correction from Previous Bookkeeping;
e) The ending of excess budget balance.
 More about BLU financial
management please access the
following link:

• http://pkblu.perbendaharaan.go.id/index.php
Name of BLU
Contoh BLUDept/Institution
RS. Cipto Mangunkusumo Jakarta Depkes
RS. Fatmawati Jakarta Sda
RS. Persahabatan Jakarta Sda
RS. Jantung Harapan Kita Jakarta Sda
RS. Anak Bersalin Harapan Kita Jakarta Sda
RS. Kanker Dharmais Jakarta Sda
RS. Dr. Hasan Sadikin – Bandung Sda
RS. Dr. Kariadi – Semarang Sda
RS. Dr. Sardjito – Yogyakarta Sda
RS. Sanglah - Denpasar Sda
RS Stroke Nasional, Bk Tinggi Sda
Rumah Sakit Kusta Dr. Rivai Abdullah Sda
Palembang
Rumah Sakit Bhayangkara Tingkat I Raden Polri
Said Sukanto
Name of BLU
Contoh BLU (2)
Dept/
Institutions
Universitas Islam Negeri - Sunan Kalijaga Depag
Yogya
UIN – Syarif Hidayatullah Jakarta Sda
Universitas Islam Negeri Malang Sda
Sekolah Tinggi Akuntansi Negara Depkeu
Universitas Diponegoro – Semarang Diknas
Universitas Padjajaran – Bandung Sda
Universitas Negeri Malang Sda
Universitas Hasanuddin Sda
Universitas Brawijaya Malang Sda
Institut Teknologi Sepuluh November Sda
Politeknik Kesehatan Bandung Depkes
Politeknik Kesehatan Jakarta Sda
Sekolah Tinggi Ilmu Pelayaran Dephub
Name of BLU Contoh BLU (3) Dept/institutions
Pusat Pembiayaan Perumahan Kemenpera
Balai Besar Teknologi Pencegahan Pencemaran Industri KemenPerindust.
Balai Besar Laboratorium Kesehatan Makassar Depkes
Pusat Veterinaria Farma Surabaya Kementan
Pusat Penelitian dan Pengembangan Teknologi Minyak dan Departemen
Gas Bumi "LEMIGAS" Energi dan
Sumber Daya
Mineral
Pusat Pengelolaan Komplek Gelora Bung Karno (PPK-GBK), Sekretariat
Jakarta Negara

Pusat Pengelolaan Komplek Kemayoran(PPKK), Jakarta Sekretariat

Negara
Pusat Pemanfaatan Teknologi Dirgantara (FATEKGAN) Lembaga
Penerbangan
Antariksa
Nasional (LAPAN)

Pusat Peragaan IPTEK Jakarta Menristek

Lembaga Layanan Pemasaran-KUKM Jakarta Kem. KUKM
 References
• Prof Andreas Bergmann and Robin Braun (2008). The Value Added of
IPSAS, PEMPAL Workshop Istanbul; February 25
• Caroline Aggestam Pontoppi and Isabelle Andernack (2016).
Intrepretation and Application of IPSAS. Wiley.
• Michael H. Granof, Saleha B. Khumawala. (2016). Government and Not-
for-Profit Accounting. 07. John Wiley & Sons. New Jersey. ISBN: 978-1-
118-98327-0.
•  Direktorat Penyusunan APBN, Direktorat Jenderal Anggaran,
Kementerian Keuangan. (2014). Pokok-Pokok Siklus APBN Di Indonesia
Penyusunan Konsep Kebijakan dan Kapasitas Fiskal Sebagai Langkah
Awal. 01. Kementerian Keuangan. Jakarta. ISBN: 978-602-17675-2-8.
Thank You