dc.description.abstract | Decentralization as one of the principles of local government and a sub system
in Unity State formation such as those which embraced by the State Republic of
Indonesia. As logical consequences, hence the Central Government has to delivered
various governance business to Local Government which is generate all rights and
obligations to Local Government to carry out governance business become
autonomous legacy.
In practice of decentralization, how governance business can be carried out to
regionals must be according to Indonesia regulation. Continuity of the Unity State
Republic of Indonesia remain to be looked after or awaked as well as possible, so that
governance effectiveness and development remains to take place and spread over
flattened in the effort of realizing prosperous and fair society is primary element.
The succeeding of local autonomous in practice of decentralization, hence one
of the important criterion to know local ability in arranging and managing is ability in
the field of finance. In other word, financial factor has represented essential factor in
measuring to execute its autonomy. Its means that in management local affairs are
require money or fund. Thereby a local government cannot execute its function
effectively and efficiency without capital for giving services and developments to
citizen.
With the above consideration, Act Number 32 Year 2004 concerning Local
Government then followed with Act Number 33 Year 2004 about Monetary Sharing
between Central Government and Local Government has given to several sources of
finance to local autonomous in several areas, e.g. (i). Original Local Finance (PAD);
(ii). Source of sharing and balancing between Central and Local Government, and
(iii). from the other sources must be recognized as legally sources. Original Local
Finance is intrinsically represent the source of earnings having strategic position if
compared with the other sources with obtained by local government to evaluate
succeeding process in local ability to explore the potency its owned finance, and at the
same time can be made one of curcial indicator to do the principles of decentralization.
On the other hands the sharing and balancing finance has represented instrument
policy in Central Government to divide it proporsionally and justiciably with the
natural resources to be balanced between fiscal ability with fiscal requirement which
caused by differential background of natural resources potency and economic
resources from each local.
The result of this research, can be laid open that from various sources has
obtained from original earning sector (PAD) shows local ability to explore the sources
of earning is only focused by at result of Local text and retribution, however from
result of management of properties especially from result of profit company has not
yet become pledge to source of Local earnings. Meanwhile finance balancing and
sharing from various natural resources having the character cannot be renewed which
on an ongoing basis can be made by the source of local and center earnings in the long
term not yet been arranged proporsionally and justiciably between the two governance
levels.
To strengthen of autonomous practices are require to be suggested by legal
policy from Central Government to strengthen acceptance of many sources of original
local earnings especially from local text sector, as well as from quantitative and
qualitative facet. The text retribution is essential from decentralization policy.
However, financial acceptance between L9cal and Center is not only to depend on
natural resources sharing holder having which renewed, but also is extending in natural
resources which can be renewed or known as economic resources an be reproduced
while for the sharing holder of tax and retribution has required to be allowed by
proportionally to regionals. | en_US |