지방자치단체 투자가용재원 증대방안 연구 : 민간경상보조사업의 획기적 감축을 중심으로

Abstract

Recently the financial crisis of local governments is an issue. Although the expansion of tax revenue is difficult, a wide range of organizations and groups’ request for subsidies has been explosively increasing. It accounts for up to 10 percent of the total general expenditure budget. But excessive subsidies need to be controlled for the expansion of financial resources for investment. This paper discusses how to augment available financial resources for investment by drastic curtailing the number of subsidy projects and the amount of subsidies. To do so, an empirical analysis method is applied to subsidy projects in office and bureau of the Daegu Metropolitan Government. As a result, this study suggests to abolish or cut subsidies for non-essential projects. Especially, particular project implemented by a specific organization should be financed by the group itself or at least borne certain amount of fund by the benefit principle. Moreover, mid-long term research development projects for creating the future new growth engine should be attracted less than 30 percent of local government’s matching fund and strictly managed to achieve research results and outcome. As systematic methods to reduce unnecessary subsidy projects, Sunset system, Standard subsidy rate system, Private subsidy committee and Task force team are suggested. As a result, augmented available financial resource for investment is redistributed for repayment of local government bond or for early completion of the major continuous projects. Finally, the soundness of local finance will be recovered through improving budget efficiency and productivity.