The Independent Municipal Fund

December 01, 2011 | Arabic and English | Sami Atallah
The Independent Municipal Fund: Reforming the Distributional Criteria

LCPS’ first policy brief which argues that the distributional criteria – resident population and direct local revenues – used to allocate funds across municipalities are in fact increasing inequity among local units, provide no incentives for higher local tax collection, and do not properly allocate resources. The policy brief recommends that the criteria are altered to include resident population, socio-economic needs, and the efficiency of raising local taxes and that the transfers should be issued on time in order to facilitate planning and investment.