The Palestinian Economy. Theoretical and Practical Challenges
The Palestinian Economy. Theoretical and Practical Challenges
The Palestinian Economy. Theoretical and Practical Challenges
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274<br />
Zagha<br />
• Management of LGU assets.<br />
• Other functions & miscellaneous.<br />
<strong>The</strong> interesting question is how these functions are resourced? To answer this<br />
question we need to look at both the revenue <strong>and</strong> expenditure sides of the LGUs. In a<br />
sample of 35 municipalities in the West Bank Sabri <strong>and</strong> Jaber (2007: 357) found that<br />
most of the problems faced by the LGUs are those related to the fact that citizens,<br />
who constitute the constituency of the LGUs, do not pay their duties. However, there<br />
are many problems related to the fact the central government does not transfer the<br />
funds accrued to the LGUs. Table 2 below summarises these problems ranking them<br />
from the most critical to least critical.<br />
Table 2: Problems Faced by LGUs<br />
Major Problem<br />
Rank<br />
Beneficiaries do not pay their dues from fees <strong>and</strong> taxes 1<br />
Ministry of Finance does not transfer municipality dues 2<br />
Beneficiaries do not pay their dues from water <strong>and</strong> electricity 3<br />
Beneficiaries do not pay their dues from rents of stores 4<br />
Unclear relationship with the Ministry of Finance 4<br />
<strong>The</strong> absence of retirement law or unified service termination system for municipalities 5<br />
<strong>The</strong> absence of the special data for citizen’s payment regarding property taxes 6<br />
Ministry of Local Government does not agree on modifying budget allowances 7<br />
Delay from Ministry of Tourism <strong>and</strong> Antiquities in approving building licenses 8<br />
Interference from the Ministry of Local Governments in the administrative recruitment for<br />
municipality<br />
9<br />
Delay from Ministry of Local Government in ratifying budget 10<br />
<strong>The</strong> absence of cooperation of Ministry of Local Government Office in the Government 11<br />
<strong>The</strong> absence of coordination with the Ministry of Planning concerning developmental projects 12<br />
Sudden inspection for Monitoring Directorate by the Ministry of Local Government 13<br />
Working under firm system Of supervision <strong>and</strong> monitoring by the Ministry of Local Government 14<br />
Source: Sabri <strong>and</strong> Jaber (August 2006), Financial <strong>and</strong> Managerial Analysis of <strong>Palestinian</strong> Local<br />
Government, a research paper in the framework of the Reform Project of the <strong>Palestinian</strong> Public<br />
Administration <strong>and</strong> Civil Services, CCE of Birzeit University <strong>and</strong> C3 Management & Economic<br />
Consulting & Adam Smith Institute, p. 31.