Infrastructure and health are considered to be crucial investments in many countries in order to sustain their economic growth, including Indonesia. Furthermore, aft er decentralization in 2001, Indonesian local governments have had the authority to expand both sectors in order to support the acceleration of national economic growth. However, policymakers in the regions are oft en confronted with many factors in the investment decision-making process, one of which is budget constraints. Th erefore, this study aims to prioritize policy in the healthcare infrastructure sector determined by local government administrators in West Java province. A benefi t-cost approach was used as an element for characterizing the positive and negative impacts (benefi t for positive impact, and cost for negative impact) by period and categories to set the projects' prioritization which was measured by Analytical Hierarchy Process (AHP). Th e result shows that the majority of policy makers in the regions provide an assessment with the highest cost-benefi t ratio for public health enhancement compared with other alternatives. Th is means that accessibility to primary healthcare facilities is still the main focus for prioritization and local government administrators prefer to focus on policy where the impact is to increase the health enhancement through expanding coverage of primary health facilities in the sub-district areas. As a policy recommendation, AHP was demonstrated for the eff ectiveness in the decision-making process for public budgeting, especially in terms of infrastructure investment.

Budget formulation as the first dimensions of budget cycle, has an important role to maintain. A lot of issues will be grow up related to budget priority, objectives, outcomes, and regulation as long as formulation expenditure policy in allocating recources. The study purpose is to explain about the steps in making project cost estimation especially on the stages of budget formulation at the executive budget process. There is a formulation of construstion cost compenent which is regulated by Public Work Minister Rule No.45/PRT/M/2007. Case study of two construction projects budget in Public Work Agency of Tasikmalaya Regency generate some result that the the early estimation cost of proposal in RKA/DIPA is acceptable regarding to its construction cost, but others have to be revised, related to  planning cost, supervision cost, and management cost.