Local govts to be rewarded for streamlining

(Xinhua)
Updated: 2008-09-10 06:41

BEIJING -- China's county and local governments would be rewarded for streamlining administrative structures, cutting personnel and ensuring expenditures on key sectors.

County and village governments would be rewarded 500,000 yuan ($73,099) for removing each administrations and 4,000 yuan for reducing each work staff last year compared with the 2006 figures, according to a new policy notice on the website of the Ministry of Finance.

However, the local governments have to pay 500 yuan for the surplus of each staff, based on the country's average increase.

The increase in the proportion of expenditures on key projects, including educational, medical and agriculture projects, is also to be rewarded, but the amount would be decided in accordance to the local financial difficulty.

Local governments are required to use the reward money "properly", which should be used to improve the government's services and must not be embezzled for government building construction or buying luxurious cars.

The central government would inspect the data, reward distribution and using reported by local governments, the ministry said. If any irregularity is confirmed, the reward would be cancelled, while in some serious cases, the local government would be disqualified from the reward.