Descentralização fiscal: O caso do município da Manhiça. 1998:2003

Abstract

The present work with the theme “Fiscal decentralization: the case of the municipality of Manhiça”, aims to make a critical diagnosis of the capacity of the municipality of Manhiça in the provision of financial resources for the effective implementation of local development projects over the past five years old. With this analysis, we seek to know the financial capacity of the municipality to face the responsibilities in meeting social demands, especially since 1998, when the central government has put the decentralization process into practice. Article 19 of Law 9/96 of 22 November establishes that Municipalities have their own finances and assets. The law recommends, depending on its tax performance, the balanced distribution of public resources through the gradual transfer of resources by the State, and the collection of revenues locally. However, the existence of a financial link with the State, the weak capacity to collect tax revenues at the local level, still places the municipality of Manhiça financially dependent and without the capacity to initiate and implement development projects designed at the local level. In order to solve the problem resulting from the present work, based on bibliographic analysis and interviews, the value of current revenue, the municipality's own tax capacity, was evaluated in order to verify that all the potential collection available has been exploited in a satisfactory manner. . Thus, it was verified whether the municipality's liability taxes are being collected or if the revenue comes mostly from transfers from the central government. The results of the work show that the municipality faces significant financial constraints and lacks especially the investment funds necessary to systematically tackle chronic problems of lack of infrastructure and quality urban services. During the five years of the first term, the funds used to finance the “small” local development programs were entirely financed by funds transferred from the central government, more specifically from the Local Initiative Investment Fund.