29 March 2013, 14:30
The Deputy Chairman of the Verkhovna Rada of Ukraine Ruslan Koshulynskyi informed on the Local Self-Government Forum in Lviv, on March 28-29. In its framework, the reform of self-government, issue of the budget sector, city panning, cultural inheritance etc. were discussed. The representatives of the majority of cities of region subordinance, the Verkhovna Rada of Ukraine, the Administration of the President of Ukraine, embassies, intentional organizations and diplomatic missions participated in the Forum.
According to Ruslan Koshulynskyi, participants of the Forum supported his bill on amendments to the Budget Code of Ukraine re serving of local budgets from revenues and expenditures which are not counted in determining the amount of intergovernmental transfers and revenues and expenditures of the special fund.
Speakers drew attention to the fact of dangerous for civil society process of limiting the powers of local self-government that represents interests of residents of territorial communities. In particular, the underfunding of delegated state authority, no legislative mechanism for delegating such authorities and possibilities of refusal of local self-government bodies from their performance in the absence of government funding. It was emphasized also that the authorities of local self-governments should provide conditions for resolving 90-95% of all local problems at the level of local community. And local self-governments are unable to manage funds of the local community, located in the state treasury.
The Deputy Chairman informed also on the Resolution created on the basis of the conclusions of the discussion. Its adoption and signing is planned for the end of the Forum. By this document participants of the Forum expressed the necessity to support the Bill on amendments to the Budget Code of Ukraine (re serving local self-government from revenues and expenditures which are not counted in determining the amount of intergovernmental transfers and revenues and expenditures of the special fund) (Reg. No. 2283 of 12.02.13), registered by R.Koshulynskyi, jointly with people’s deputies Yu.Mykhalchyshyn and A.Illiyenko. He informed that the bill was submitted for discussion by city mayors, chairmen of region and local administration at the end of February.
Ruslan Koshulynsky told that the above-mentioned draft law provides setting the limits for financial independency in terms of revenues and expenditures that are not counted in determining the amount of intergovernmental transfers and own revenues. According to the Deputy Chairman, the bill opens the possibility for local councils to determine the state financial institution, by means of which local budgets will be serviced and additional sources of budget revenues in case of adoption of decision service local budgets in state banks, which will bear interest at balances on accounts.
The deputy Chairman of the Verkhovna Rada added that in order to implement mentioned proposals the Government should elaborate distinct procedure of local budgets servicing with revenues and expenditures in state banks. “It will coordinate, simplify and set more justified basis for relations between the bodies of the State Treasury Service of Ukraine, state banks, local financial bodies and budget institution in terms of control of cost expenditures and passing of revenues of local budgets,” Ruslan Koshulynskyi stressed.