Roads of local importance: parliamentarians propose to improve the mechanism for using money of the Road Fund

A group of MPs of Ukraine proposes to improve the mechanism of using the State and Territorial Road Funds. First of all, it goes about a slightly different distribution of the subvention from the Road Fund for local roads, streets and roads of communal ownership. The raft law, intended to change the subvention allocation, is registered in the Verkhovna Rada of Ukraine under number 10186.

It should be mentioned that road subvention funds in the regions are distributed by oblast state administrations.

A group of MPs proposes the following way to distribute subvention:

  • 10% of the total amount of the subvention, as it is now, remains in the budget of the city of Kyiv for the financial support of construction, reconstruction, repair and maintenance of streets and roads of communal ownership in the city of Kyiv (of which no more than 5% of funds – to ensure the development of production capacity of road organisations);

  • 55% of the total amount of the subvention is distributed between the respective oblast budgets and the budget of the Autonomous Republic of Crimea, depending on the length of motor roads of general use of local importance in the corresponding administrative territorial unit;

  • 35% of the total amount of the subvention is allocated between the respective local self-government budgets (except for the budget of the city of Kyiv), depending on the length of streets and roads of communal ownership in the corresponding administrative territorial unit.

In the comment to decentralisation.gov.ua MinRegion expressed its solidarity with MPs, who proposed such legislative changes and supported their initiative.

“It is correct that oblast state administrations distribute subvention funds from the Road Fund, since the problems of the local roads are better seen on the ground. But there are no limits for improvement, especially since the experience has confirmed the need to improve the existing mechanism of distribution of road subventions. Decentralisation is intended to provide high-quality and accessible services to people regardless of their place of residence. It’s hard to do without proper communal roads. If a hromada builds a modern school or outpatient clinic, and they are difficult to reach by people because of bad state of roads, then it’s hard to call them accessible educational and medical services. And it is necessary to work on this, to improve the legislative basis.” commented Vyacheslav Nehoda, First Deputy Minister of Regional Development, Construction, Housing and Communal Services.

The full version is available in Ukrainian – please click HERE

15.04.2019 - 16:00 | Views: 3929
Roads of local importance: parliamentarians propose to improve the mechanism for using money of the Road Fund

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