City to propose minimal budget cut
City to propose minimal budget cut
JAKARTA (JP): The municipality is to propose a cut in its Rp
3.36 trillion (US$1.05 billion) budget of less than 10 percent
for the 1997/1998 fiscal year, the deputy governor of economic
and development affairs Tb.M. Rais said yesterday.
The proposal will be made after evaluating some of the city's
projects "due to our overprojecting the cost of some projects in
last year's budget," Rais said after a meeting on the plan to
revise the budget.
He said that the city had earlier estimated some projects in
the previous fiscal year could not be completed as scheduled and
would continue into this fiscal year.
"In reality, however, all the projects were completed and
there's no need to set aside funds for them," Rais said, without
giving further details on the cut.
"I can't reveal the figures because I have to present them to
the City Council first," he said.
When asked whether the budget cut exceeded 10 percent, he
said: "It is less than 10 percent."
Golkar councilor Amarullah Asbah urged the city not to cut the
budget of projects intended to improve public services.
"The administration can cut the budget for non-physical
project, such as unnecessary training courses and comparative
studies, but the plan to provide sophisticated equipment to
improve services should go ahead," said Amarullah, who chairs the
City Council's Commission C for financial affairs.
In addition, he said, any budget cuts should be carefully
studied so not to adversely affect low-income people.
Governor Surjadi Soedirdja said in January while proposing the
1997/1998 budget that the Rp 3.36 trillion budget was inadequate
to finance the administration's activities.
He said the municipality had to cover not only its routine
expenditure but also finance events such as the many national
holiday celebrations and state banquets.
"The new budget is just one-fifth of the real requirements,"
he said, stressing that the city needed more money to finance its
routine and development programs.
In the 1997/1998 term, the municipality expects to receive an
income of Rp 3.2 trillion. (ste)