Silviase/jgov_v1.4_full_ann huggingface dataset:
## 平成19年度一般歳出の概算要求基準の考え方

## 財務省作成資料

※年金・医療等以外の経費については、一体として見直し、メリハリある要求・要望。

※経済成長戦略推進要望（経済成長戦略大綱に掲げられたもののうち、新規性の高い事業・技術開発等に必要な経費に係る要望）を行う場合、各省庁の要望の上限に、要望基礎額の100分の2を加算（3,000億円程度）。

(参考)19年度概算要求基準の増減額
年金・医療等の経費	+5,500億円
公共事業関係費	▲2,200億円
その他経費	▲1,400億円
特殊要因加減算等	+2,000億円
重点化促進加算	+500億円
合計	+4,400億円
# 中郷温水池 (なかざとおんすいち)

全景

南端より望む水辺の風景

## ため池の概要

## ☐ ため池の所在地 静岡県三島市

## ☐ ため池の特徴

中郷温水池は、富士山の湧水を水源とする源兵衛川（農業用水路）の終点に位置し、昭和28年から50年以上にわたり、冷たい湧き水を太陽光で温めて水田約186haに配水している温水ため池です。

自然植生が再生され、市の中心部にありながら自然とふれあえる貴重な水と緑の景観をつくりだしており、18年度には静岡県景観賞最優秀賞を受賞しました。

また、鳥類のために造られた中州2箇所が今では多種多様な動植物の生息場所となり、メダカやトウヨシノボリなどの清流性の生物が新たに確認されるようになりました。

NPO法人「グランドワーク三島」が、ため池の管理者や市と共同し、市民とともに様々な保全活動を行っています。

また、池は源兵衛川とともに観光マップに掲載され、観光客増加による地域活性化にも大きく貢献しています。

## 関連情報
# FY 2007 Settlement White Paper on Local Public Finance, 2009 - Illustrated -
## The Role of Local Public Finance

The State of Local Public Finance (FY 2007 Settlement) 4
Overall Condition of FY 2007 Settlement 4
Scale of Account Settlement 5
Revenue and Expenditure Settlement 5
Revenue 6
1 Revenue Breakdown 6
2 Revenue Trends 7
3 Local Taxes 8
4 Local Allocation Tax 11
Expenditure 13
1 Expenses by Function 13
2 Expenses by Character 16
Flexibility of the Financial Structure 19
1 Ordinary Balance Ratio 19
2 Real Debt Service Ratio and Debt Service Payment Ratio Used for Permission to Issue Local Bonds 20
Outstanding Local Government Borrowing (Ordinary Account) 21
1 Trends in Outstanding Local Government Borrowing 21
2 Outstanding Borrowing of Local Finance 22
Local Public Enterprises 23
1 Ratio of Local Public Enterprises 23
2 Number of Businesses Operated by Local Public Enterprises 24
3 Scale of Financial Settlement 24
4 Management Conditions 25
Promotion of Soundness of Local Public Finance 26
1 Law Relating to the Financial Soundness of Local Governments, etc. 26
2 State of the Ratio for Determining Soundness and the Financial Shortfall Ratio 29

Trends and Issues in Local Public Finance 32
Promotion of Decentralization Reforms 32
Creation of Regional Power 34
Promotion of Administrative Reform 36
(1) Intensive Reform Plans 36
(2) Further Promotion of Administrative Reform 36
(3) Promotion of Local Public Accounting Reform and Information Disclosure 38
# The Role of Local Public Finance

Prefectures and municipalities (cities, towns, and villages) are principal actors in various administrative areas, including school education, welfare and public health, police and fire services, and the construction of such public works as roads and sewerage systems. They play a major role in national life. This brochure will introduce the state of local public finance, which is an assemblage of the finances of individual local governments, with particular focus on the state of settlements for fiscal 2007 and efforts toward financial soundness of the local public entities centered on the ordinary account.

## Classification of the Accounting of Local Governments Applied in the Settlement Account Statistics

Although the accounts of local governments are divided into general accounts and special accounts, the account classification of each local government is not uniform. Therefore, we have adopted a uniform method in the settlement account statistics by classifying accounts as an ordinary account, which covers the general administrative sector, and other accounts (public business accounts). This enables us to clarify the financial condition of local governments as a whole and to make a statistical comparison among local governments.

## Accounts of Local Governments

## Ordinary account

## Public enterprise account

Water supply business, Transport business, Electricity business, Gas business, Hospital, Sewerage business, Residential land development project Etc.

## Other accounts

(Public business accounts)

National health insurance account

Elderly medical care account

Nursing care insurance account

Etc.
## How large is local public finance compared with central government finance?

Looking at the scale of local public finance to gross domestic expenditure, we see that the ratio of the local government sector is 11.2%, which is about three times larger than the ratio of the central government.

Gross Domestic Expenditure and Local Public Finance
## I n which fields are local expenditure ratios high?

Local expenditure ratios are higher in the areas that have a close relationship with our daily lives, such as public health and sanitation, school education, social education, and police and fire services.

## Shares of National and Local Governments in Main Expenditures by Function (final expenditure base)
# The State of Local Public Finance

## Overall Condition of FY 2007 Settlement

## Drastic Cuts in Expenditures Under Severe Fiscal Circumstance (eighth consecutive year of reduction)

## 1 Expenditure – Continuation of Cuts in Expenditures

The total expenditure declined for the eighth consecutive year to ¥89.1476 trillion.

While there were many factors that increased expenditures, such as the expanded child allowance system and the full-scale enforcement of the Services and Supports for Persons with Disabilities Act, there were drastic cuts in other expenditures such as employee salaries (a reduction of 1.5% in comparison to the previous fiscal year), investment expenses (6.2% reduction), and so on.

## 2 Revenues – Greater Decline in Revenues than in Expenditures

The total revenue declined for the eighth consecutive year to $ \backslash91.1814 $ trillion.

While local tax revenues (10.3% increase in comparison to the previous fiscal year) and so on increased, local transfer tax revenues (80.8% decrease), local allocation tax revenues (5.0% decrease), special local grants revenues (61.8% decrease), and so on decreased.

## 3 Flexibility of the Financial Structure

## 4 Trends in Outstanding Borrowing that Should be Shouldered by the Ordinary Account – Still Remains at a High Level

1. Outstanding public enterprises bonds (borne by the ordinary account) are estimates based on settlement account statistics.

2. Outstanding local government bonds excludes special fund public investment bonds.
## Scale of Account Settlement

As a result of the fact that, on the revenue side, the local allocation tax and special local grants and so on declined and, on the expenditure side, employee salaries and investment expenses centering on ordinary construction expenses and so on declined, both revenues and expenditures decreased for the eighth consecutive year.

## Revenue and Expenditure Settlement

Both the real single fiscal year balance and the single fiscal year balance turned into a deficit.

Category	Settlement figure	No. of deficit organizations
FY 2007	FY 2006	FY 2007	FY 2006
Real single FY balance	$ \triangle $ ¥13.7 billion	¥423.9 billion	899 (1,586)	750 (1,446)
Single FY balance	$ \triangle $ ¥161.3 billion	¥220.4 billion	1,024 (1,723)	768 (1,445)
Real balance	¥1,359.7 billion	¥1,524.5 billion	25 (26)	25 (27)

## Notes:
## Revenue

# Where does the funds for local government activities come from?

## 1 Revenue Breakdown

The revenue of local governments comes mainly from local taxes (about forty percent), local allocation tax, national treasury disbursements, and local bonds, in that order.

## General Revenue Resources

Revenue resources for which the use is not specified, such as local taxes and the local allocation tax, are called general revenue resources. Here, the total of local taxes, local transfer taxes, the local allocation tax, special local grants, and so on is treated as general revenue resources. It is extremely important for local governments to ensure sufficient general revenue resources in order to handle various administrative needs properly.

Prefectures Total ¥48,245.9 billion

Municipalities Total ¥49,499.5 billion

Local transfer tax Collected as a national tax and transferred to local governments. Includes local road transfer tax, etc.

Special local grants A revenue source with the character of a substitute for local taxes, including the special child allowance in response to the increased local burden as a result of the expanded child allowance system in FY2006 and FY2007.

Local allocation tax An intrinsic revenue source shared by local governments in order to adjust imbalances in tax revenue among local governments and to guarantee revenue sources so that local governments in whatever region can provide a certain level of administrative services. Calculated as a certain ratio of five national taxes. (See 4 Local Allocation Tax)

National treasury A general name for funds disbursed from the central government to local governments for specified uses.

1. The figures here are mainly for the ordinary account. (For the accounts of public enterprises, such as water supply and sewerage businesses, transportation businesses, and hospitals, see Local Public Enterprises)

2. The figures for each item are rounded off under the given unit. Therefore, they do not necessarily add up exactly to the total.
●

## Revenue Trends

While the shares of local taxes to total revenue increased, the shares of local allocation tax, national treasury disbursements and local bonds are on a downward trend.

Nationwide

FY

1997

Local transfer tax 1.1% (¥1.1 trillion) —

Local taxes 36.2% (¥36.2 trillion)

General revenue resources 54.4% (¥54.4 trillion)

Local allocation tax 17.1% (¥17.1 trillion)

National treasury disbursements 14.3% (¥14.3 trillion)

Net Total ¥99.9 trillion

Local bonds 14.1%

(¥14.1 trillion)

Other revenue resources 17.2% (¥17.1 trillion)

●

●

###### Local transfer tax 0.7% (¥0.6 trillion) □ Special local grants 0.9% (¥0.9 trillion)

FY

2002

Local taxes 34.4% (¥33.4 trillion)

General revenue resources 56.0% $ ¥54.5 $ trillion

Local allocation tax 20.1% $ ¥19.5 $ trillion

Net Total ¥97.2 trillion

National treasury disbursements 13.5% (¥13.1 trillion)

Local bonds 13.7% (¥13.3 trillion)

Other revenue resources 16.8% (¥16.3 trillion)

###### Local transfer tax 0.7% (¥0.7 trillion) □ Special local grants 1.1% (¥1.0 trillion)

FY

2003

Local taxes 34.4% (¥32.7 trillion)

General revenue resources 55.3% (¥52.4 trillion)

Local allocation tax 19.0% (¥18.1 trillion)

National treasury disbursements 13.8% (¥13.1 trillion)

Net Total ¥94.9 trillion

Local bonds 14.5%

(¥13.8 trillion)

Other revenue resources 16.4%

(¥15.6 trillion)

###### Local transfer tax 1.2% (¥1.2 trillion) □ Special local grants 1.2% (¥1.1 trillion)

FY

2004

Local taxes 35.9% (¥33.5 trillion)

General revenue resources 56.5% (¥52.8 trillion)

Local allocation tax 18.2% $ ¥17.0 $ trillion

Net Total ¥93.4 trillion

National treasury disbursements 13.2% (¥12.4 trillion)

Local bonds 13.2% (¥12.4 trillion)

Other revenue resources 17.1% (¥15.8 trillion)

## FY 2005

###### Local transfer tax 2.0% (¥1.8 trillion) ☐ Special local grants 1.6% (¥1.5 trillion)

Local taxes 37.4% $ ¥34.8 trillion $

General revenue resources 59.3% $ ¥55.1 $ trillion

Local allocation tax 18.2% (¥17.0 trillion)

Net Total ¥92.9 trillion

National treasury disbursements 12.7% (¥11.8 trillion)

Local bonds 11.2% (¥10.4 trillion)

Other revenue resources 16.8% (¥15.6 trillion)

FY

2006

###### Local transfer tax 1.4% (¥3.7 trillion) ☐ Special local grants 0.9% (¥0.8 trillion)

Local taxes 39.9% (¥36.5 trillion)

General revenue resources 62.3% $ ¥57.0 $ trillion

Local allocation tax 17.5% $ ¥16.0 $ trillion

Net Total ¥91.5 trillion

National treasury disbursements 11.4% (¥10.4 trillion)

Local bonds 10.5% (¥9.6 trillion)

Other revenue resources 15.8% (¥14.5 trillion)

###### Local transfer tax 0.8% (¥0.7 trillion) — Special local grants 0.3% (¥0.3 trillion)

FY

2007

Local taxes 44.2% $ ¥40.3 $ trillion

Local allocation tax 16.7% (¥15.2 trillion)

General revenue resources 62.0% (¥56.5 trillion)

Net Total ¥91.2 trillion

National treasury disbursements 11.2% (¥10.3 trillion)

Local bonds 10.5% (¥9.6 trillion)

Other revenue resources 16.3% (¥14.8 trillion)
## Local Taxes

Local taxes consist of prefectural taxes and municipal taxes. (In the case of the special wards of Tokyo, the Tokyo Metropolitan Government collects some municipal taxes.)

Composition of Revenue from Prefectural Taxes (FY 2007 settlement)

Total ¥18,664.2 billion

Composition of Revenue from Municipal Taxes (FY 2007 settlement)

Total ¥21,602.6 billion

The municipal tax revenue figure includes municipal taxes collected by Metropolitan Tokyo.
Both prefectural tax revenue and municipal tax revenue increased for the fourth consecutive year due to such factors as an increase in individual inhabitant tax, which resulted from the transfer of tax revenue sources and the abolishment of temporary tax cuts, as well as increases in the two corporate taxes (corporate inhabitant tax and corporate business tax).

Prefectural Tax Revenue Trend

Figures in parentheses are the component ratios of the business tax and prefectural residents tax.

Municipal Tax Revenue Trend

Figures in parentheses are the component ratio of the municipal residents tax.

The municipal tax revenue figure includes municipal taxes collected by Metropolitan Tokyo.
In order for local governments to provide administrative services in response to local needs with responsibility and at their own discretion, it is necessary to expand and secure local taxes so as to build a local tax system in which the uneven distribution of tax sources is limited and the stability of tax revenue is ensured.

Index of Per Capita Revenue in Local Tax Revenue (with national average as 100)

1. The local tax revenue total amounts do not include excess taxation, non-statutory ordinary taxes, or non-statutory special purpose taxes.

2. The revenue of the individual resident's tax is the total of the prefectural individual resident's tax (taxation on per capita basis and taxation on income basis) and the municipal individual resident's tax (taxation on per capita basis and taxation on income basis) and excludes excess taxation.

3. The revenue of the two corporate taxes is the total of the corporate prefectural resident's tax, the corporate municipal resident's tax and the corporate business tax and excludes excess taxation.

4. Calculations are made from the basic residents' register population as of March 31, 2008.
## 4 Local Allocation Tax

From the perspective of local autonomy, it would essentially be the ideal for each local government to ensure the revenue sources necessary for administrative activities through local taxes collected from their residents. However, there are regional imbalances in tax revenue, and many local governments are unable to acquire necessary tax revenue. Therefore, the central government collects financial resources that should fundamentally be attributable to local tax revenue through national taxation and reallocates them as the local allocation tax to local governments where financial resources are insufficient.

## 1 Determination of total amount of local allocation tax

The total amount of the local allocation tax is determined on the basis of certain ratios for national taxes (32% for income tax and liquor tax, 34.0% for corporate tax, 29.5% for consumption tax, and 25% for tobacco tax) as well as estimates of standard revenue and expenditure of local public finance as a whole. The total amount of local allocation tax in fiscal 2007 was ¥15.2027 trillion, down 5.0% from the previous fiscal year.

## 2 Method of calculation of regular local allocation tax for each local government

The regular local allocation tax for each local government is calculated by the following mechanism:

## Notes:
## 3 Function of the local allocation tax

The function of the local allocation tax is to adjust imbalances in revenue among local governments in order to guarantee revenue so that local governments can provide standard administrative services and basic social infrastructure to their residents in whatever region.

Accordingly, as a result of the revenue adjustment mechanism through the local allocation tax, few differences in such factors as size of population have been found in the ratio of general revenue resources to total revenue.

## Ratio of General Revenue Resources to Total Revenue for Municipalities

A “midsize city” refers to a city with a population of more than 100,000 persons among cities excluding large cities, core cities, and special cities, and a “small city” refers to a city with a population of less than 100,000.
## What is revenue being expended for?

## Expenditure

## Expenses by Function

When expenses are classified by function, we see that a lot of revenue is expended for such items as education expenses, public welfare expenses, and civil engineering work expenses. In prefectures it is mainly expended for education expenses, debt servicing, and civil engineering work expenses, in that order. In municipalities it is primarily expended for public welfare expenses, civil engineering work expenses, and debt servicing, in that order.

Public welfare expenses : Expenses for the construction and operation of welfare facilities for children, the elderly, the mentally and physically disabled, etc. and for the implementation of livelihood protection, etc.

Education expenses : Expenses for school education, social education, etc.

Civil engineering work expenses : Expenses for the construction and improvement of public facilities, such as roads, housing and parks.

Public debt payment : Expenses for the payment of principal, interest, etc. on debts.

Composition of Expenditure by Function (FY 2007 settlement)

Other expenses
## Breakdown of Public Welfare Expenses by Purpose

¥16,976.1 billion

Livelihood protection

Disaster relief

Net total

¥5,169.7 billion

¥13,544.9 billion

## Breakdown of Educational Expenses by Purpose

Prefectures

¥16,431.8 billion

¥11,333.0 billion

¥5,167.5 billion

Elementary school

Junior high school

Educational general affairs

Senior high school

Social education

Health and physical education

Other

## Breakdown of Civil Engineering Work Expenses by Purpose

Net total

Prefectures

Municipalities

¥7,059.1 billion
In recent years, welfare expenses, public debt payments and so on have been increasing, while there has been a decline in such items as agriculture, forestry and fishery expenses and civil engineering work expenses.

## Trends in Breakdown of Expenditures by Function (ordinary account net total)
## 2 Expenses by Character

Classified by character, expenses can be divided into "obligatory expenses" (personnel expenses, social assistance expenses and public debt payments), which are mandatory and difficult to cut down at the discretion of individual local governments; "investment expenses," including ordinary construction expenses, etc.; and "other expenses."

Composition of Expenditure by Character (FY 2007 settlement)

Net total ¥47,488.3 billion

Net total ¥48,223.3 billion
In recent years, social assistance expenses, public debt payments and so on have been increasing, while there has been a decline in such items as ordinary construction expenses.

## Trends in Breakdown of Expenditures by Character (ordinary account net total)

Social assistance expenses :

Expenses which include child welfare expenses, livelihood protection expenses, etc., aimed at assisting the needy, children, the elderly, mentally and physically disabled, etc., as a part of the social security system.

Ordinary construction expenses : Expenses necessary for the construction of social capital, such as roads, bridges, parks, schools, etc.
## Flexibility of the Financial Structure

## How can local finance respond to the demand toward local governments?

In addition to revenue sources allocated to obligatory expenses required every year, it is necessary for local governments to ensure revenue sources for measures to respond properly to social and economic trends and changes in the demand of the residents. The extent to which these revenue resources can be ensured is called the flexibility of the financial structure.

## 1 Ordinary Balance Ratio

The national average of the ordinary balance ratio (the ratio of ordinary revenues allocated to expenses recurring every fiscal year to the total of ordinary revenues recurring every fiscal year, centered on local taxes and the local allocation tax, as well as the special portion of tax reduction supplementary bonds and extraordinary financial countermeasures bonds) increased by 2.0 percentage points from the previous fiscal year to a record-high level of 93.4%.

Tax-reduction supplementary bonds and extraordinary financial countermeasures bonds were added from fiscal 2001 to fiscal 2006.
## 2 Real Debt Service Ratio and Debt Service Payment Ratio Used for Permission to Issue Local Bonds

It is necessary to keep a close watch on trends in public debt payments at all times, since public debt payments, payments of the principal and the interest on the debts of local governments, are expenses especially lacking flexibility.

The real debt service ratio, which is an index indicating the extent of the real debt payment burden, was calculated for the first time on the basis of the fiscal 2005 account settlement.

Past trends can be seen in the debt service payment ratio used for permission to issue local bonds. The national average declined by 0.4 percentage points from the previous fiscal year to 11.2%.

## State of the Real Debt Service Ratio

For information on the state of the real debt service ratio, please refer to the “State of the Ratio for Determining Soundness based on Fiscal 2007 Account Settlements” (on page 26).

## $ ^{*} $ Real debt service ratio

The real debt service ratio indicates the ratio of the principal and interest repayments on local bonds (excluding advanced redemption, etc.) and the real debt service amount, including items corresponding to debt service expenses, such as disbursements to public enterprise bonds, minus that portion of the local allocation tax allotted for this purpose to the total of the standard financial amount and the issuable extraordinary financial countermeasures bond amount. It is used to determine organizations that require consultations or permission to issue bonds. If the ratio is over 18%, the organization needs permission to issue bonds; if it is over 25%, the issue of certain kinds of local bonds is restricted; and if it is over 35%, the restrictions are tightened even more. It is also considered as a Ratio for Determining Soundness in “Law Relating to the Financial Soundness of Local Governments.” The early financial soundness criterion and the financial rebuilding criterion account for 25% and 35%, respectively.

Trends in the Debt Service Payment Ratio Used for Permission to Issue Local Bonds

## $ ^{*} $ Debt service payment ratio used for permission to issue local bonds

The debt service payment ratio used for permission to issue local bonds indicates the ratio of the total of local debt principal and interest and expenditure relating to debt-burden acts corresponding to debt service expenses, excluding the amount of advanced redemption, and also excluding the amount of general revenue resources calculated for this purpose that includes the local allocation tax, to the total of the standard financial amount and possible issue of extraordinary financial countermeasures bonds (excluding the amount of local allocation tax calculated for service payment).
# Outstanding Local Government Borrowing (Ordinary Account)

## What is the state of debts in local public finance?

## Trends in Outstanding Local Government Borrowing

Outstanding local government borrowing, the debts of local governments, amounted to approximately ¥138 trillion at the end of fiscal 2007. This figure has been increasing in recent years because of such factors as the need to supplement tax revenue as a result of tax cuts and the issue of extraordinary financial countermeasures bonds.

The figure is 1.5 times larger than total revenue and about 2.3 times larger than the total sum of general revenue resources, such as local taxes and local allocation tax.

Notes:

1. Outstanding local government borrowing excludes special fund public investment bonds.

2. Economic-stimulus figures are estimates.