Part of Chisinau budget deficit will be covered within projects

The budget of the Chisinau municipality for 2011 is scarce, as the previous years. During the last four years, the budget has been declining. Mayor Dorin Chirtoaca considers this is because of the pressure exerted on the municipality. According to Dorin Chirtoaca, the Chisinau Coty Hall annually sustains losses because it allocates money to institutions that logically should be supported by the central authorities. The municipal police and education system for example should be financed by the central public administration, as in other countries, Dorin Chirtoaca said, expressing his dissatisfaction with the way the municipal institutions manage the money. General Finance Division head Veronica Herta said Monday that the budget deficit this year is projected to be 334 million lei. 200 million lei will be covered within projects, while the other 134 million lei will be covered with money coming from the sale of municipal property. The Chisinau administration will request the Parliament to allow using the VAT levied in the municipality for local necessities, as earlier, and to allocate 70% of the road fund tax to Chisinau. Deputy mayor Vlad Cotet said the collections into the municipal budget will increase if the parking or other taxes in the municipality are adjusted. The municipal budget for 2011 provides for revenues of 1.87 billion lei and an expenditure of 2.204 billion lei. It has not been yet approved by the Chisinau Municipal Council.