Fri, 20 Oct 1995

Surjadi seeks 17% hike in spending

JAKARTA (JP): Governor Surjadi Soedirdja asked the city council yesterday to increase the administration's spending in the current fiscal year by 17 percent, in view of an unexpected surplus in the city's 1994/1995 budget.

Under the proposal, total spending in the fiscal year, which began on April 1, would be Rp 2.6 trillion ($1.13 billion).

The administration gained a windfall of Rp 387.55 billion through a recalculation of the 1994/1995 budget.

Surjadi told a plenary session of the council that he planned to use the additional funds to increase the administration's routine spending by Rp 218.07 billion to Rp 1.48 trillion and to raise development spending by 168.48 billion to Rp 1.18 trillion.

The administration has set aside Rp 126.40 billion to finance projects that were carried over from the previous year.

Surjadi did not mention any new project. He said that, with the additional money, the city could speed up the implementation of some existing projects.

He cited as examples the land-clearing necessary for various overpasses, including those over Jl. KH Mas Mansyur and Jl. Matraman.

He also mentioned Jl. DI Panjaitan underpass project and various other traffic improvements. He said the additional money would also be spent on the city's drive to eradicate poverty.

Surjadi said the administration also plans to accelerate some of the programs to clear up slum areas and to build low cost apartments in Bendungan Hilir and Kebun Kacang.

The increase in spending is intended to improve the public services provided by the administration and to accelerate the city's development programs, he said.

Of the Rp 2.6 trillion available to the city under the revised budget, Rp 1.56 trillion, or about 60 percent, has been generated by the administration itself, with the balance coming from the central government.

Helmy A.R. Syihab, the chairman of the council's commission for financial affairs, said earlier this week that the city administration should find more tax objects in order to raise the city's revenues.

He proposed a number of new taxes, including one on people who apply for land ownership documents and another on individuals or companies that operate their own power generators. (32)