Bulgaria : Issues in Intergovernmental Relations
Municipalities play a large role in the Bulgarian public sector. They provide primary and secondary education. They own and operate about one-third of the hospitals in the country. Until 2003, they administered all the major social assistance progr...
Main Author: | |
---|---|
Language: | English en_US |
Published: |
Washington, DC
2013
|
Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/2004/01/2953487/bulgaria-issues-intergovernmental-relations http://hdl.handle.net/10986/14359 |
Summary: | Municipalities play a large role in the
Bulgarian public sector. They provide primary and secondary
education. They own and operate about one-third of the
hospitals in the country. Until 2003, they administered all
the major social assistance programs (except pensions and
unemployment insurance). The municipalities of larger cities
own (wholly or partially) the water companies operating
within their territories. Throughout the 1990's and
into the first years of the present decade, problems in the
structure of intergovernmental relations undermined efforts
to achieve efficiency in public service provision and
generate savings for investment in public utilities.
Persistent deficits and bailouts undermined fiscal stability
at both the central and local levels. A fundamental reform
in intergovernmental fiscal relations went into effect in
2003. This has addressed many, although not all, of these
problems. This report evaluates the reform, identifies major
remaining issues, and recommends means to resolve them. The
report is structured as follows: After the Introduction,
which discusses existing government boundaries, functions,
regulation, and revenues, Section 1 parses the issues
regarding unfounded mandates, arrears, and fiscal autonomy;
incentives to overstaffing; arbitrary disparities in per
capita revenues; and infrastructure decline. Section 2
analyzes the 2003 Reform. Section 3 examines what remains to
be done immediately and in the long-term. |
---|