Municipal government. Self-test

MODELS OF MUNICIPAL ECONOMY.

Key words: municipal economy model, municipal formation, municipal management, communal-rent model, municipal-rent model.

Annotation:

The article is devoted to models of municipal economy, their significance in the system of municipal government. The article presents different interpretations of the concept of “municipal economy”, characteristics of various models, their affiliation with municipal management in Russian Federation. The article lists the conditions for regionalization of reforms in municipal government and the basics of the municipal property management system.

The municipal economy is, in essence, a life-supporting system. By this we mean the classification of firms, universities and institutes located in the area of urban establishment, designed to fulfill different needs population, and in addition the needs of industrial companies. This connection includes housing and communal services (HCS), home service companies, construction industry, trade and Catering, healthcare, culture, etc.

The main branch of the municipal economy is housing and communal services (HCS). It has typical distinctive features of industrial and economic coordination work, resulting from the nature of the scientific and technical processes of production, sale and consumption of its products (services).

Housing and communal services are formed from the following sections of the economy:

a) housing;

b) electric power companies;

c) urban transport;

d) external landscaping;

d) hotel management.

The existing organization of municipal management is not effective enough in coordination, economic and industrial aspects. The more diverse and complex the economy in this or another municipality, the more important the overall coordination of absolutely all spheres of an industrial and non-industrial nature becomes. Special problems are associated with the formation of industrial infrastructure, where sectoral and regional interests are mixed.

The very slow resolution of acute difficulties is largely due to the ineffective concept of managing territorial development. With great delay, the Law “On the unified principles of organizing local self-government in the Russian Federation” was adopted on August 28, 1995, which in essence only identifies the unified principles of regional self-government and, for the purpose of a certain impact, requires the study of established regulatory documents containing the mechanism for establishing self-government, financial and economical arrangement of municipalities.

The most severe conditions are found in regions with a high concentration of handicapped people. investment projects, and also especially dependent on the supply of food, materials, industrial and technological products, i.e., having narrow capabilities for self-sufficiency and self-regulation.

The situation is also unfavorable in regions with a large share of manufacturing sectors of the economy, which until now were strictly controlled by the country in terms of prices and other circumstances of the sale of products, regions with a negative environmental situation, requiring the closure of a large number of industries and special measures for social protection of the population.

The objective specifics of the Russian Federation, burdened by the phenomena of reformation and division of the previous financial and socio-political systems, require the expedient combination of two directions in carrying out Russian reforms - regionalization and unification.

The requirement for regionalization of reforms means:

Taking into account the peculiarities of regions in the all-Russian structural, investment, financial, social, and foreign economic policies;

Shifting a number of areas of reform mainly to the local level - especially in small business, the public domain, nature conservation and the use of natural resources;

A municipal economy is a set of enterprises and institutions that carry out economic activities on the territory of a municipal entity aimed at meeting the collective (social) needs of its population.

There are three models of municipal services:

Communal model. Its peculiarity lies in the maximum amount of costs for satisfying public interests, which are borne by the residents of the municipality themselves. The main type of resource here is taxes from the population. The main element of the model is local governments; they accumulate resources and spend them. The lack of resources is compensated by the state. 2) Utility-rent model. The difference between the model is that local governments are granted limited rights in financial and credit activities and resource rent rights. Here, taxes on the population are supplemented by taxes on producers of products and services on the territory of the municipality. 3) Municipal rent model. It is based on the fact that the main burden of serving the interests of the population and resolving issues local significance are borne by local governments. Here the authorities are given the role of an important economic entity on their territory. Theoretically, the model of the municipal economy develops depending on the following main factors: - the scope of competence of local government bodies, determined by law; - the availability of basic resources of the territory; - the availability of qualified municipal employees and personnel of enterprises; - the tax capacity of the population.

12. Resource provision of the municipal economy.

The development of the municipal economy, like any activity, must be based on the availability of well-defined resources.

Resources are understood as the totality of the capabilities of a particular territory in achieving the goals of their development. Towards economic activity resources should be understood as material (natural resources, financial, production) and intangible (volume of powers) that are vested in an economic entity by law.

Material resources make it possible to achieve investment efficiency and determine the structure of production activities. For the use of material resources, labor resources – human resources – are of exceptional importance. Without the presence of intangible resources, even rich natural resources do not ensure an increase in the well-being of the population. Intangible resources also include organizational resources. Financial resources are mainly represented by income and expenses of local budgets. They are balanced among themselves, however, most municipalities are forced to have an excess of expenses over income. The Budget Code of the Russian Federation sets the limits of possible deficit local budget and requires sources to cover it. In addition, municipal finance includes the financial resources of municipally owned enterprises, as well as the financial resources of private sector enterprises used to finance socio-cultural and housing and communal facilities in the city.

An important principle of assigning resources to the municipal level of government is the principle of maximum efficiency of resource use in a given territory. The set of resources is determined by the multilateral nature of the foundations of local self-government. The fundamentals of local governance include the following aspects:

Legal – because powers, subjects of jurisdiction, guarantees of the rights of local self-government are enshrined in law;

Financial – because complex financial resources participates in the budget process;

Economic - because For economic activities, the municipal government uses production resources that are municipally owned;

Management – because The primary basis for management is human resources, as well as information and structural and organizational resources.

3) the main burden of costs for the implementation of public interests and needs is borne by the residents of the municipality themselves, the main resource is taxes on the population, and the main element in this system is the local government body, which carries out both the accumulation of resources and their expenditure.

25. The municipal rent model of the municipal economy provides...

1) participation of local government bodies in the use of the territory’s resources and in its development through the provision of limited rights in financial and credit activities and resource rent rights;

2) the main burden of serving the interests of the population and resolving issues of local importance is borne by local government bodies, for this they are given the opportunity to become a full-fledged economic entity on their territory;

26. The following types of urban infrastructure are distinguished:

1) communal infrastructure;

2) production infrastructure;

3) infrastructure of the socio-cultural sphere;

4) infrastructure of transport services;

5) infrastructure of an intangible nature.

27. The infrastructure of social and cultural services includes:

1) healthcare and educational institutions;

2) social assistance and insurance institutions;

3) road construction enterprises;

4) institutions of culture, art, physical education and sports;

5) institutions of science and scientific services;

6) provision of funeral services.

28. What resources form the foundations of local self-government:

1) legal;

2) financial;

3) informational;

4) managerial;

5) social;

6) all of the above.

29. What resources do not form the basis of local self-government:

1) legal;

2) financial;

3) informational;

4) managerial;

5) social; 6) all of the above.

30. What is meant by municipal resources:

1) the totality of material and intangible capabilities of the territory of a municipal formation, the disposal of which is referred by law to municipal competence;

2) the totality of the material capabilities of the territory of the municipal formation, the disposal of which is referred by law to municipal competence;

3) the totality of intangible capabilities of the territory of a municipal formation, the disposal of which is referred by law to municipal competence;

4) the totality of material and intangible capabilities of the territory of the municipality;

5) the totality of the material capabilities of the territory.

The structure of the municipal economy (its elements) includes:

Municipal enterprises whose activities are directed and subordinated to the interests of the population of the Moscow region;

The results of SE activities (profit or specific goods and services) are directed to meet public needs;

Other enterprises and institutions whose activities are partially related to the implementation of public interests of the population. These enterprises are forced to participate in the implementation of public interests due to regulatory (in the form of obligations imposed by law) or public (voluntary) coercion;

An entity that coordinates the activities of these entities that are heterogeneous in nature, in the interests of the population of the municipal government.

Based on this analysis, the main feature by which the elements of the municipal economy can be classified is the role (and place) of this or that element in the implementation of public needs.

And from this point of view, the following elements stand out:

Municipal enterprises (since their activities are completely subordinated to the interests of the population of the municipality);

Other enterprises and institutions whose activities are partially related to the implementation of the public interests of the population of municipalities;

Local government bodies.

Municipal enterprises, being by their nature a social phenomenon, direct all their results, be it profit or specific goods and services, to public needs. Other enterprises and institutions are forced to participate in the implementation of public interests due to regulatory (in the form of responsibilities imposed on them in a regulatory or legislative manner) or public (voluntary in form) coercion.

The third group, designated in our classification, performs a special function - the function of regulating the activities of the two previous groups in the interests of the population of the municipality.

The value of this classification is that it allows, based on the identification of these three groups, to determine not only the role and place of each of them in resolving issues of local importance, but also, depending on this, the goals of the activities of these elements in the process of municipal management, taking into account their characteristics .

Thus, from this classification it is clearly clear that when building relations between the population of a municipality and economic entities on issues of local importance, it is most profitable to have relations with municipal enterprises, since they not only sell goods and services to the population, but also the profit received as a result from their activities is also the property of the local community. Therefore, a well-functioning municipal enterprise is always more profitable for the municipal economy.

From the point of view of what role certain elements play in resolving issues of local importance, several forms of municipal economy can be distinguished, primarily based on the increasing role of their own economic activity.

The communal model of municipal economy is characterized by the fact that the main burden of costs for the implementation of public interests and needs is borne by the residents of the municipality (communes, communes), and the main resource is taxes from the population. The main element in this system is the local government, which carries out both the accumulation of resources and their expenditure. This model is most acceptable and exists in the most “prosperous” countries of Europe, where the rights of local governments to conduct business activities are limited. The lack of resources to fulfill the tasks assigned to local government is compensated by the state.

The communal-rental model of the municipal economy, in comparison with the previous one, differs in that it provides for the participation of local governments in the use of the territory’s resources and in its development through the provision of limited rights in financial and credit activities and the right to resource rent. That is, taxes on the population are supplemented by the possibility of taxing the manufacturer of products and services on the territory of the municipality.

The municipal-rental model of municipal economy implies that the main burden of serving the interests of the population and resolving issues of local importance is borne by local governments, for which they are given the opportunity to become a full-fledged economic entity on their territory.

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Topic 20. Municipal economy: elements, main goal, models

Introduction

1. Concept and content of municipal economy

2. Municipal economy models

Conclusion

List of used literature

Introduction

Modern stage social development is characterized by unique features: on the one hand, the process of globalization of economic processes and intersectoral integration, leading to economic unions and integration groups controlling vast territories, is gaining wide scope, and on the other hand, every person living in a certain locality, is part of a local community, which differs from other communities not only in territory, but also in established economic and economic ties, the composition of the population and the way the population is included in the process of social reproduction. Within the boundaries of the local community, through the joint efforts of the population living in the given territory, farming is carried out in order to satisfy both the collective and personal needs of the residents. Each territory is formed and functions in accordance with the administrative-territorial structure, and its management is carried out on the basis of the principles of local self-government.

Local self-government is called upon not only to fulfill the powers established by law in the relevant territory, but also to ensure the sustainable socio-economic development of municipalities in order to increase the competitiveness of the territory and improve the quality of life of the population. The transition from a one-level to a two-level model of local self-government in the Russian Federation predetermined a number of problems that require analysis and study, which confirms the relevance of the research topic.

The object of research is the municipal economy, and the subject is its content. The purpose of the work involves the structural characteristics of the municipal economy. This corresponds to the tasks of the work:

Definition of the concept of municipal economy;

Analysis of municipal economy models.

1. Concept and content of municipal economy

Municipal governance, on the one hand, assumes a generalized nature of construction and functioning, on the other hand, it must be tied to a specific place and time. The nature of municipal government depends on the type and type of economic relations existing in a given society at the moment.

A municipal economy is a set of economic entities limited by the type of ownership, a certain nature of activity and the territory on which this activity is carried out.

Economists, summarizing modern literary sources, identify at least two groups of basic definitions of the concept of municipal economy.

1. The municipal economy is considered as a collection of enterprises and institutions related to municipal property (municipal services). This approach removes responsibility from local governments for creating conditions for the development of the territory of the municipality and significantly reduces their interest in creating conditions for investment and other activities aimed at creating favorable conditions for managing in this territory Suslova Yu.Yu. Market infrastructure of the city: theory , methodology, practice: monograph - M.: Creative Economy, 2007. - P.67.

2. A municipal economy is the entire set of farms located on the territory of a municipal entity, since the powers of local government bodies extend to all entities operating in a given territory. Such an approach puts local government above other economic entities and assumes certain monopoly rights of local governments, giving them unjustified advantages in competition, primarily with the private sector in the territory of the municipality.

Consequently, a municipal economy is a set of enterprises and institutions that carry out economic activities on the territory of a municipal entity aimed at meeting the collective (social) needs of the population.

The organizational and economic mechanism for managing a municipality is based on the interaction of the managed and management subsystems. The management subsystem represents a structured set of management subjects, including local government bodies, representatives of the local community, united by a common goal and interests. The controlled subsystem is represented by municipal facilities and the social sphere.

The effectiveness of the management mechanism is assessed by the degree of interaction and compliance between the managed and management subsystems of the municipality, as well as the use of strategic and program-targeted management methods based on fiscal management tools.

The local government system performs two important functions:

1) connection between the state and the population;

2) the connection between the state and the small owner.

In this regard, economists determine the differences between local government and state power, and the municipal economy from state and private. Local self-government has all the attributes of power, and above all main responsibility its solutions for the population of the municipality. Article 3 of the Constitution of the Russian Federation states: “The people exercise their power directly, as well as through state authorities and local governments.”

In general, the competence of local government bodies is established by law. In other words, the state not only allows local governments to carry out some public affairs independently, but entrusts them with a number of their own functions, the implementation of which, as a rule, involves constant contact with the population.

It is important that the state transfers not only functions, but also the authority to make generally binding decisions on its behalf, reserving the right to control implementation based on actual results.

The municipal economy, from the point of view of conducting economic activity, largely bears the features of a private economy, since it acts on the market as an independent and, what is especially important, an equal subject of economic activity. That is, it can independently dispose of the property, financial resources, and land at its disposal. However, local governments must use all these resources in order to fulfill the public functions assigned to them. In this regard, the forms of distribution of the results of economic activity are social in nature.

In this sense, the municipal economy is Joint-Stock Company, the participants of which are all residents of the municipality. However, payments of “stock dividends” are made in the form of socially important goods and services. This reveals the public nature of the municipal economy, since residents are both customers of services provided by local governments on their behalf, and the collective owner of municipal property.

On the other hand, municipal management bodies act as a contractor performing government functions that are paid for by the state. First of all, this concerns functions that cannot be performed by centralized government structures. This is recording the movement of the population, property, organizing daily contacts with the population on issues within the jurisdiction of the state (social security, etc.). The organization of such activities requires significant regulation by the state and creates the basis for the effective activities of government bodies themselves at all levels. Resin V.I., Popkov Yu.S. Development of large cities in conditions market economy. Systems approach. M.: Editorial URSS, 2007. - P.57.

The process of formation of municipal property is the focus of attention when discussing the problems of levers for the development of local self-government.

The procedure for transferring objects into ownership - one of the levers for the development of municipal areas - depends on who takes the initiative and what goal is being pursued. Economists therefore identify four possible transmission schemes state property to municipal:

1) if the transfer is carried out on the initiative of federal or regional executive authorities, the relevant ministries, committees and departments, which have jurisdiction or operational management of the property, make proposals to the Ministry of Property of the Russian Federation or to the regional property management committee on the need to transfer the objects to the ownership of the municipality , on whose territory they are located;

2) if the initiator of the transfer of state property to municipal property is a municipal entity, then a slightly different procedure is provided. Local government bodies independently prepare, review and approve the List of objects subject to transfer to municipal ownership. At the same time, it is mandatory to maintain the technological integrity of the facilities, ensure their safe operation and centralized management;

3) if state property objects are transferred for the purpose of comprehensive socio-economic development of a municipality, then the transfer is carried out by the Government of the Russian Federation or the government of a subject of the Federation;

4) the transfer of federal facilities when vesting local government bodies with certain state powers provides for a special procedure. Chirkin V.E. State and municipal management M.: Infra-M, 2009 - P.158.

Thus, a municipal economy differs from a state economy in having fairly broad rights in the field of production activities, and primarily in the area of managing its own resources, and from a private economy in the public nature of using the results of activities.

The methodology proposed in defining the very concept of “municipal economy” offers an approach based on the fact that:
1. Municipal economy is a set of enterprises and institutions operating on the territory of a municipality.

2. The activities carried out by these enterprises and institutions are aimed at satisfying public interests.

3. Since activities are carried out by subjects of this activity that are heterogeneous in nature, a subject is also needed to coordinate their activities.

Based on this analysis, the main feature by which we can classify the elements of the municipal economy is the role and place of this or that element in the implementation of public needs.

And from this point of view we can highlight the following elements:

municipal enterprises (since their activities are completely subordinated to the interests of the population of the municipality);

other enterprises and institutions whose activities are partially related to the implementation of the public interests of the population of municipalities;

local government bodies.

The role of each of these elements is different. Municipal enterprises, being by their nature a social phenomenon, direct all their results, be it profit or specific goods and services, to public needs. Other enterprises and institutions are forced to participate in the implementation of public interests due to regulatory (in the form of responsibilities imposed on them in a regulatory or legislative manner) or public (voluntary in form) coercion.

The value of this classification is that it allows, based on the identification of these three groups, to determine not just the role and place of each of them in resolving issues of local importance, but also, depending on this, the goals of the activities of these elements in the process of municipal management, and take into account their characteristics.

Thus, from this classification it is clearly clear that when building relations between the population of a municipality and economic entities on issues of local importance, it is most profitable to have relations with municipal enterprises, since they not only sell goods and services to the population, but also the profit received as a result of their activity is also the property of this local community. Therefore, a well-functioning municipal enterprise is, in principle, always more profitable for the municipal economy.

2. Models of municipal economy

A systematic approach to analyzing the essence of a municipality makes it possible to interpret it as a complex socio-economic system, which is localized in a certain territory and which is simultaneously a subsystem of the regional and national economic systems. Analysis of the elements that make up the system, the nature of their interrelation and interaction make it possible to interpret the essence of the municipal formation as a complex system in its structure. This is a socio-economic system that has developed within certain territorial boundaries, appearing as a set of interacting and interdependent elements, the locality of which in relation to the regional and national economic systems is determined government agencies and local governments. A municipal entity as a socio-economic system is characterized by system-wide and specific properties:

Integrity as internal unity and irreducibility of the properties of a system to the sum of the properties of its constituent elements;

Integrity as a property of a system to include system-forming elements that have lost individual individual properties, the change of which leads to a change in the operating conditions of the system as a whole;

Multivariance as a diverse organization of system elements, which in practice manifests itself through the variety of forms of use of material and personal factors of production and is determined by the dynamics of economic development;

Adaptability as the property of a system to constantly adapt to changes in the external and internal environment;

Isomorphism as a correspondence to the territorial structure of the economy of a municipality territorial structure the economy of the region and the national structure of the economy as a whole;

Synergy - as the unification of financial, material, human resources of a territorial local community in order to effective solution inter-settlement problems, issues of local importance through joint efforts and generating additional income.

To the specific properties of a municipality as economic system it is necessary to include different degrees of activity of the elements that make up the municipality as a socio-economic system, which characterizes the different degrees of their participation in the reproduction process; the presence of basic, supporting elements in the structure of the municipality and intermediate elements associated with the basic ones. The combination of basic and non-basic elements in the structure of the socio-economic system makes it possible to identify the locomotive sector within the municipality, which creates the bulk of the gross municipal product, and the manufacturing and social infrastructure, providing assistance to enterprises of basic industries located in a given territory and providing the population with public goods and social services.

The municipality's need for property and financial means interdependent. This is explained by the fact that municipal property objects can be budget-filling (bringing income to the budget) and budget-absorbing (not bringing income to the budget or requiring budgetary funds for their maintenance in an amount exceeding the income received). Yes, municipal non-residential premises, rented out, is a budget-filling object. Most social facilities are budget-absorbing. For example, a fee in kindergarten compensates only part of the costs of maintaining a child, while the bulk of the costs are covered from local budget funds. In different situations, a municipal enterprise can turn out to be both budget-filling and budget-absorbing. Since the municipality, on the one hand, is a non-profit organization, it does not aim to make a profit. On the other hand, he must have a balanced budget.

One of the key issues in determining the ways for the further development of local self-government in Russia is the question of the permissible extent of participation of local government bodies in economic activities and, as a consequence, the required composition of municipal property. On this issue, three models of municipal economy are distinguished Voronin A. Municipal economy and management: problems of theory and practice. M.: 2006.. p.41 -42..

1. Communal model.

Residents themselves pay providers for the municipal services they individually consume, including socially significant ones, and bear the costs of financing public services in the form of taxes.

The municipality does not participate in economic activities and does not have income-generating property. The competitive market for municipal services is so developed that the task of the municipal government is only to identify the optimal service providers based on the ratio of price and quality indicators.

2. The communal-rent model differs from the previous one in that it provides for the participation of local governments in providing residents with a number of free or partially paid services, mainly social.

The higher need of the municipality for financial resources in this model is ensured by the fact that tax revenues supplemented by rental payments. For this purpose, the main economic resources of the territory are transferred to municipal ownership: land and real estate.

However, the municipality does not participate in direct economic activities. There should be no municipal enterprises, as in the communal model.

3. The municipal rent model is characterized by the fact that local governments bear a significant part of the financial burden for resolving issues of life support for the population. To do this, they must have as sources of income not only tax income and rent payments, but also large incomes from the economic activities of municipal enterprises and, therefore, must be full-fledged economic entities in their territories Utkin E.A., Denisov A.F. State and municipal management - M.: EKMOS, 2007 - P.139.

It is obvious that the communal model of municipal government is possible only in an economically developed countries with a high standard of living of the population.

For Russia, this model is premature, because “the low solvency and mentality of the population force the municipal authorities to provide residents with a large number of partially paid or not paid for by them services, which is typical for the municipal rental model.

However, the municipal rent model contradicts the government’s policy of limiting the economic activities of municipalities. Therefore, the conclusion naturally suggests itself that for Russia the most acceptable is the intermediate one - the communal-rental model.

The key, the most controversial issue in the formation Russian model municipal administration is the question of the admissibility and feasibility of economic activity.

In a market economy, the functions of municipal government have significantly changed and expanded. Thus, local authorities have previously performed the function economic analysis, planning and forecasting the development of the territory, however, in the conditions of a market economy and diversity of forms of ownership, the methods of analysis, forecasting and comprehensive planning of the socio-economic development of the territory have changed significantly. Investment activity local authorities carried out only within the framework of plans approved at higher levels and within the limits of centrally allocated allocations. Now there is an opportunity to independently take investment decisions and use both own and borrowed (credit) resources for these purposes. New functions have also appeared: municipal property management, tax, tariff, price regulation, economic regulation of business activities (previously such activities were simply absent), foreign economic activity Chernyak V.Z. Housing and communal services: development, management and economics. M.: KNORUS, 2008. - P.97.

Consolidated financial planning for the development of a territory in modern conditions has become an order of magnitude more complex, since it must take into account the multi-channel nature of the formation and use of the territory’s financial resources.

Conclusion

Based on the results of the work, the following conclusions were drawn:

1. The municipal economy can be considered as a set of enterprises and institutions belonging to municipal property and as the entire set of farms located on the territory of the municipality.

2. There are three models of functioning of the municipal economy:

Communal model. Residents themselves pay suppliers for the municipal services they individually consume, and the authorities only have to identify the best suppliers in terms of price and quality ratio.

The utility-rent model provides for the participation of local governments not only in the distribution of municipal orders for public services, but also in the area of use economic resources territory and provision of individual budget services.

The municipal rent model is characterized by the fact that the main burden of solving life support issues for the population is borne not by the residents themselves, but by local governments.

The approach that exists in modern Russia is something between the second and third models. The low solvency and mentality of the population force the municipal authorities to provide residents with a large number of services partially paid for by them. But municipal enterprises are for the most part not sources of income, but consumers of budget funds. This imbalance is caused by an excess of municipally owned property, especially social facilities that require large maintenance costs, as well as a chronic shortage of financial resources to cover local budget expenses.

List of used literature

municipal economy property

Federal Law of the Russian Federation of October 6, 2003 No. 131-FZ “On the general principles of organizing local self-government in the Russian Federation” (with subsequent amendments and additions)

Voronin A. Municipal economy and management: problems of theory and practice. M.: 2006 - 378 p.

Resin V.I., Popkov Yu.S. Development of large cities in a market economy. Systems approach. M.: Editorial URSS, 2007. - 279 p.

Suslova Yu.Yu. Market infrastructure of the city: theory, methodology, practice: monograph - M.: Creative Economy, 2007. - 176 p.

Utkin E.A., Denisov A.F. State and municipal management - M.: EKMOS, 2007 - 304 p.

Chernyak V.Z. Housing and communal services: development, management and economics. M.: KNORUS, 2008. - 280 p.

Chirkin V.E. State and municipal management M.: Infra-M, 2009 - 400 p.

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Municipal government. Self-test

12. Resource provision of the municipal economy.

25. The municipal rent model of the municipal economy provides...

26. The following types of urban infrastructure are distinguished:

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