Question 8263 — municipalities

Summary

The Government has chosen to put an end to the unilateral reduction in allocations. In fact, in 2018, the overall operating grant (DGF) paid to municipalities is stable at the national level. The finance bill for 2019 confirms this commitment to stability. Its distribution rules, which have not undergone any major changes compared to last year, may however lead to variations in the individual attributions of municipalities, upwards and downwards. The DGF is in fact a “living” endowment, calculated each year to take into account the reality of the situation of each community, based on objective criteria of resources and expenses. In addition, the strengthening of solidarity towards the most fragile territories, both rural and urban, has, in part, been financed by a capping of the allocation. flat rate for municipalities. This cap, which is distinct from variations in the flat-rate allocation linked to changes in the population between 2017 and 2018, is adapted to the capacities and resources of each of the municipalities. Thus, municipalities whose tax potential per capita is less than 75% of the average tax potential are exempt. For other municipalities, it is calculated taking into account the difference between the tax potential of the municipality and the average tax potential. In total, in 2018, 53% of French municipalities experienced an increase in their DGF. For municipalities whose allocations are decreasing, this reduction is, in the vast majority of cases, of limited magnitude compared to all operating revenue actually received. Furthermore, the Government has decided not to apply, in 2018, any reduction in the allocation of compensation for the professional tax reform (DCRTP) of the municipal block. This is how the draft finance law for 2019 confirmed that the DCRTP of public intermunicipal cooperation establishments (EPCI) would not be reduced. By amendment adopted at first reading in the National Assembly, it was also decided to return to the reduction in the DCRTP of the municipalities which had taken place in 2018. In 2019, the reduction of “ adjustment variables” will reach a historically low level which was 145 million euros when the finance bill was submitted, to which were added 15 million linked to the non-reduction of the DCRTP of the municipalities mentioned above, for a total of 160 million at this stage of the examination of the text. It should also be noted that the reduction in the DCRTP of the municipalities is also calibrated in a manner adapted to the resources and charges of each community. This reduction is in fact carried out in proportion to their actual operating revenue. Finally, state support for local investment has now reached historically high levels. This is how the equipment allocation for rural territories (DETR) saw its amount increased by 50 million euros concomitantly with the elimination of the parliamentary reserve to exceed one billion euros in 2018. At the same time, the local investment support grant (DSIL), created in 2016, was made permanent by the finance law for 2018. The finance bill for 2019 fully confirms this State support for local investment. These elements therefore clearly reflect that the Government has kept the commitments made to implement the “financial pact” between the State and all local authorities.

Machine translation from French. The official text remains authoritative.

Timeline

No timeline events have been ingested for this record yet.

Votes

No vote records are attached yet.

Versions

No version snapshots stored. Document URLs remain at the source.

Documents

No documents linked.

Sponsors

• Maurice Leroy · auteur

Related records

No cross-record relationships stored yet.