City proposes Rp 7.49 trillion budget for 2001<\/p>\n
JAKARTA (JP): Governor Sutiyoso unveiled on Tuesday an
\noptimistic draft City budget for 2001, which was set at Rp 7.49
\ntrillion (US$788.42 million).<\/p>\n
Speaking before a plenary City Council session, Sutiyoso
\nprojected 2.91 percent in economic growth for the coming 12-month
\nperiod as part of the economic upturn in the capital.<\/p>\n
"The current indicators show that Jakarta's economy is
\nimproving. However, the size of the budget very much depends on
\nthe security situation in the capital," Sutiyoso told the session
\npresided over by City Council Speaker Edy Waluyo.<\/p>\n
The implementation of Law No. 25\/1999 on the financial balance
\nbetween the central and regional government will give the city a
\nrevenue windfall amounting to Rp 3.29 trillion.<\/p>\n
The law stipulates that the city will earn half of the
\ngovernment revenue from land and building taxes, employees'
\nincome taxes and taxes imposed on the transfer of property
\nownership, which altogether will increase the city's revenue by
\nnearly Rp 1.68 trillion.<\/p>\n
The central government will also provide some Rp 1.515
\ntrillion in a general allocation fund, which will be disbursed
\nmostly to pay salaries of civil servants.<\/p>\n
Sutiyoso said the city will increase original revenues coming
\nfrom taxes imposed, among others, on the transfer of vehicle
\nownership and vehicle ownership taxes to Rp 3.05 trillion, or
\nalmost half of the total income.<\/p>\n
In the 2000 budget that covers a nine-month period, taxes
\ncontributed some Rp 1.72 trillion to city revenue.<\/p>\n
Sutiyoso said the hike was a logical result of the difference
\nin the budget period, improvement in economic conditions and the
\nbooming purchase of imported cars.<\/p>\n
The January-December 2001 budget will be the country's first
\ncalendar-year budget. The current April-December 2000 budget is a
\ntransitional one compared to previous fiscal years running from
\nApril 1 to March 31.<\/p>\n
Spending<\/p>\n
On spending, the city administration allocated some Rp 5.02
\ntrillion for routine expenditure and the rest for developmental
\nexpenditure.<\/p>\n
"The improvement of all city facilities and public services,
\nthe employment of 50,000 civil servants from the dissolved
\nministries and the plan to increase the allowances of all city
\nemployees will dominate the routine expenditure," Sutiyoso said.<\/p>\n
He said the city will speed up the construction of two
\nflyovers in Kalibata, South Jakarta, and Pramuka, East Jakarta,
\nas well as reparation of some streets in the capital.<\/p>\n
The city also plans to establish a bus lane in the capital's
\nmain thoroughfare and replace aging buses.<\/p>\n
Another massive project set to begin late next year is the
\nconstruction of a new intercity bus terminal in Pulo Gebang near
\nBekasi, West Java to replace the overcrowded Pulo Gadung terminal
\nin East Jakarta. The new terminal will stand on a designated 10-
\nhectare plot.<\/p>\n
For the tripartite security system, the city allocated some Rp
\n82.69 billion. "Maintaining city security will also be one of our
\npriorities," Sutiyoso said.<\/p>\n
The councilors will respond to the proposal on Friday.
\n(dja\/07)<\/p>",
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