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Municipalities spend 25.8% of their budgets on non-compulsory expenditure
Non-mandatory spending for Spanish municipalities was 25.8% during 2004-2007. An average of 259.67 euros per capita, largely devoted to security, culture and social services. Data from the study non-compulsory expenditure Spanish municipalities 2004-2007, conducted by the Provincial Council of Barcelona in collaboration with the Economics Institute of Barcelona (IEB).
The results of this report have been presented in Madrid by the President of the FEMP, Pedro Castro, and the owner of the Diputación de Barcelona, Antoni Fogué, show that a quarter of the budget paid to municipalities, provincial councils and Island Councils is intended to services and activities that are not within its jurisdiction or carried out by supplying to other administrations. Spending by not receiving any funding.
By non-compulsory expenditure municipalities are able to guarantee the quality, equity and efficiency in the services offered to citizens, guaranteeing the right to access similar services regardless of the territory of residence. The non-compulsory expenditure is not to say that is not essential to the public. Named for investment in certain services as the population bands.
According to the study, not mandatory spending policy supports essential services and public functions of public interest and social. The share of expenditure allocated to the councils non-compulsory services has remained stable over time and is similar in large and small municipalities. The areas that attract large investments are safety and civil protection, culture, social development and other community and social services.
The main destination of this expenditure, the authors of the report focuses on four areas: safety and civil protection queabsorbe 29.6% of non-compulsory expenditure, culture, which absorbed 25.7%, social promotion, which is 11.9%, and other community and social services, 8%.
The results of this study clearly show the structural problem with the Spanish city, as expressed by the President of the FEMP, Pedro Castro, during the presentation of this work. "Not only we do not receive unconditional euro so the Autonomous Communities, but also have to supply their deficiencies," he said.
Pedro Castro also noted that "this can not continue" and it is urgent to reform the funding system so as to define, clearly, the competence framework of the Local Governments. To do this, he added, is a condition "essential and unavoidable": "Autonomous Communities must develop a constitutional mandate to contribute to the unconditional funding through the regulation of Picasa." Otherwise ended, "the Spanish institutional model would be lame and would be unfair to one of its parts."
For the study, the Barcelona Institute of Economics has used the database available on the functional and economic classification of budget expenditure of a sample of 6,664 municipalities in Spain, 82% of the total, provided by the Ministry of Economy and Finance, for the settlement of the 2004, 2005, 2006 and 2007.
This university entity has already made a similar previous report referred to the settlement of 2003 and now, with this precedent, the authors have worked with the average period between that year and 2007.
The findings of the new report also notes that non-compulsory expenditure of the Spanish municipalities is mainly current spending (79.6%), and within this the payment of salaries for staff (41.0%). However, it is noteworthy that 18.3% of non-compulsory expenditure was allocated to real investments.
