" The villages and towns are subsidizing this is not normal . "This is the declaration of Hervé Aimée, Minister of Local Government, made ??at a meeting with advisors of Black River, at the headquarters of the board, Bamboo, in the afternoon of Tuesday, April 17, 2012.
Minister Hervé Aimée wonders about the logic that the rural residents pay for expenses incurred in the cities. " We spend Rs 3000 with Portlouisien. The money raised licenses only covers 37% of this budget. The rest comes from the Grant-in-Aid which is taxpayer money , "he says. Adding that the expenditure for each inhabitant of Black River amount to only Rs 900.
" Do you think it is normal that we pay to subsidize the people of the city. Ones who have all the facilities such as hospitals, universities, recreation centers at hand? "he says.
The law on local government provides a state subsidy to local councils and district councils. A senior ministry said the goal is to reduce the gap between cities and villages but that officials are still looking for the right formula.
In urban areas, property tax is another source of income. Building owners pay an annual fee to the municipality.Allowing cities do not rely solely on state subsidies.
Impose a rural tax would not be the solution, as part of the Department. " These regions are already deficient in terms of the Grant-in-Aid. Impose a rural tax would amount to further widen the gap , "he says.
Regarding the meeting with advisors of Black River, Aimee Minister took the opportunity to provide explanations about the new laws governing local authorities. It is in a calm with a very attentive assistance Hervé Aimée spoke of the creation of eight villages as recommended by the New Local Government Bill which was presented to Parliament on 15 December 2011.