ALTERNATIF STRATEGI MENEKAN KESENJANGAN KEMANDIRIAN FISKAL ANTAR DAERAH DI INDONESIA

Abstract

Regional autonomy in a climate of democratization of governance in the regions, with the initial
momentum of the birth of decentralized policies through Law Number 22 of 1999 concerning
Regional Government which was later changed to Law Number 32 of 2004, most recently with Law
Number 23 of 2014, which had also undergone a change, the essence of which was to strengthen
the Autonomous Region. In supporting (the implementation of regional autonomy, among other
things, adequate budget support is needed. Therefore, regional autonomy needs to be supported by
regional fiscal independence. One approach used in the review of regional fiscal independence is to
assess the implementation of fiscal decentralization in local governments. Fiscal decentralization
is the delegation of responsibility and authority over central expenditures and revenues to local

governments. This fiscal decentralization aims to enable local governments to exercise government
authority, among others, with the assistance of funds from the center (balancing funds). The results
of the review on fiscal independence show that there are 88.07% of local governments which are
not yet independent (443 of 503 local governments) and there are 93.04% of local governments
whose status has not changed/stagnant (468 of 503 local governments).The results of the review of
the implementation of fiscal decentralization in 4 samples of local governments show a very good
category, this is i shows that funds from the central government (balancing funds) are well absorbed
and create dependence of local governments on these balancing funds in managing their regions.
The results of the study conclude that there are several alternative strategies that can be carried
out in an effort to reduce the deficit of fiscal independence and in order to increase PAD including
intensifying and extensifying regional taxes / levies, building infrastructure that invites objects
of taxes / levies, increasing the capacity of human resources for managing PAD and performing
accurate calculations. to the potential of the region, increasing community participation to support
the increase in PAD by using short videos / infographics, increasing and encouraging investment
and supervision from local governments in every activity carried out.