The total debt of the Municipality was reduced thanks to the consolidation measures of public finances

A new high level of transparency of public finances was achieved

At the 22nd regular session of the Rožaje Municipality Assembly, the Decision on the Final Account of the Rožaje Municipality Budget for 2020 was adopted. Secretary of the Secretariat for Finance and Economic Development Ismet Hadžić explained how the budget funds were spent.

We transmit the reasoning in its entirety:
In the opinion of the audit, the Proposal for the Final Account of the Budget of the Municipality of Rožaje for 2020 was drawn up, in all materially significant aspects, in accordance with the legal regulations governing public revenues and public expenditures, as well as other regulations relevant to Municipal Budgets.

We tried to comply with the execution of the budget, fulfill the obligations towards the users of the budget, as well as the obligations of financing the work of local government bodies.

The decision on the budget of the Municipality of Rožaje for 2020 was adopted at the session of the Municipal Assembly on December 26, 2019, in which revenues and expenditures were planned in the amount of 8,081,000 euros. adopted at the session of the Municipal Assembly on September 15, 2020, which planned revenues and expenditures in the amount of 6,904,000 euros.

The planned budget for 2020, in the amount of 6,904,000 euros, was realized in the total amount of 7,060,560.52 euros, that is, the realization is 2,27% higher than the planned budget.

Budget revenues, which are shown in the balance of receipts in the amount of 7,060,560,52 euros, consist of: own revenues, ceded revenues, Equalization Fund, European Union funds, transfers from the state budget, loans and credits, and funds transferred from the previous period. Own revenues are revenues which the Municipality determines by its decisions in accordance with the Laws and collects the same. They include: real estate tax, personal income tax surcharge, local administrative fees, local utility fees, fees for using municipal roads, income from the sale of property, other income and other fees-communal fees. They were planned in the amount of 955,000.00e and realized in the amount of 559,563.40, which makes 8,11% of the total planned budget.

The Law on Financing of Local Self-Government stipulates that the Municipality shall earn income from the incomes ceded by the Law and fees introduced by the State, namely: personal income tax, real estate sales tax, fees from concessions and income from the annual fee for motor vehicle registration. As it is a matter of the Law on Assigned Revenues, the determination, collection and control of these taxes are carried out by competent state authorities. They were planned in the amount of 1,883,000 euros and were realized in the amount of 2,141,326.71 euros, which is 31,02% of the total planned budget. EUR 945.77, which is 55,88% of the total planned budget. Transfers from the State budget were planned in the amount of EUR 350,000, and were realized in the amount of EUR 60,000,00, which relate to transfers for the construction of the water supply system (the Jablanica water supply system, the Šušteri water supply system and the water supply system Grope) which makes 0.87% of the total planned budget.

The funds of the European Union were planned in the amount of 16,000,00 euros, and they were realized in the amount of 51,205.18 euros, which refers to donations from the European Union and the Kingdom of Norway. The funds transferred from the previous year amount to 280,519.46 euros. Budget planned expenditures of 6,904,000.00 euros were realized in the amount of 6,658,095.81 euros, which is 3,561 TP3T less than the total planned budget. On December 31, 2020, 402,464.71 euros remained in the budget account of the Municipality, and these funds will be spent in 2021.

Of the total realized expenditures in the amount of 6,658,095.81 euros, i.e. 96,44% of the total planned budget, 5,664,372.03 or 82,05% of the total planned budget expenditures refer to current expenditures, and for the capital budget, 993,723.78 euros, or 14,39% in total of planned budget expenditures, the Municipality paid a total of 13 net salaries in 2020, of which three salaries relate to 2019, and 10 salaries to 2020.

Funds in the amount of 619,361.14 euros were planned for the capital budget, while they were realized in the amount of 993,723.78 euros, which is 60,451 TP3T higher than the planned budget. The production of project documentation, local communal infrastructure, other capital expenditures, and expenditures for equipment and forest park Brezovacko brdo were financed from the capital budget.