Decentralization is an important reform, due to which powers are transferred from the central level to a specific city, a specific place. Over the past 5 years, by the “efforts” of the previous power, decentralization has simply turned into a show.
The mayor of Mariupol from the OPPOSITION BLOC party, Vadym Boychenko, said about this during the talk show “Opposition” on the “Ukraine” TV channel.
“What do we see today in terms of decentralization? We see a well-advertised product, which, today starts stalling. Why is it stalling? Because the government continues to make decisions that, by definition, do not fall within its purview. For example, the Cabinet of Ministers recently made a decision regarding tariffs (established marginal tariffs for housing and communal services), which is in fact a deception. After all, such decisions must be made on the local level by those who will then compensate for this. For example, only the latest decisions of the Cabinet of Ministers on tariffs will cost the city of Mariupol 300 million,” Vadym Boychenko stated.
According to him, in order to achieve full-fledged powers and success in decentralization, it is necessary to leave taxes on the local level.
“Three years ago, when I took the post of mayor of Mariupol, I did an analytics. We reviewed the revenue structure of cities. For example, one of the taxes is a tax on personal income. That is, we get paid, and it is taxed. Accordingly, these fees should remain in the cities, because this tax is called a local tax. How much tax is now in local budgets? 60%. How much tax was left in 2012? 75%. So what kind of reform is it? Full decentralization is when all local taxes remain in the local level,” the mayor of Mariupol emphasized.