Finance, Markets and Valuation
Not found
Title: Analysis of extra-budgetary payments in the most populated municipalities in the province of Valencia, Spain
Authors: María Segura Belmar
DOI: Not found
Abstract:
One of the easiest options for Spanish local governments to spend the tax payers’ money discretionally regardless of what is approved in the yearly budget is using the so-called "reconocimientos extrajudiciales de crédito" (extrajudicial credit recognition). The use of this figure reflects a lack in the municipal management. This paper explains what is meant by "extrajudicial credit recognition", how it manages to avoid all the controls created by the budgetary accounting system and what problems does this figure create in order to achieve an efficient public administration. Then, the use made of this figure by the Local Governments of the most populated cities in the Province of Valencia is studied and conclusions are drawn.
Keywords: Not found
