ESTABLISHING LOCAL BUDGET EXPENDITURE - FUNDAMENTAL STAGE OF LOCAL BUDGETING

Abstract

The establishing, sizing and distribution of local budgets expenditure by authorizing officers, by purpose, i.e. shares, activities, programs, projects, objectives, shall be carried out in accordance with the powers of the local public administration authorities, the priorities set by them, with a view to their operation and in the interests of the local authorities concerned. Factors affecting the size of local budgets include subjective factors, including random or unpredictable phenomena during the process of budgeting and approving the local budget. In this article we propose to investigate and analyze how to establish the provisions on the expenditure side of the local budgets, but also to identify an optimal method for establishing them. The study starts with the presentation of traditional methods of establishing expenditure in local budgets: the automatic method, the method of increase (decrease) and the method of direct evaluation. A central part of the article is the presentation of the main categories of public spending in Romania's local budgets. Research carried out through this article shows that under the current circumstances it is necessary that the design, rationale and preparation of local budgets must take into account economic development requirements, social and cultural requirements and requirements for the functioning of local administration.

Keywords

• : local budget
• local public expenditures
• establishing
• the elaboration of local budgets
• economic efficency