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Miaoli comes up with reform plan to seek bailout from Cabinet

Miaoli comes up with reform plan to seek bailout from Cabinet

Taipei, July 12 (CNA)
Having just come up with a financial reform plan, the magistrate of Miaoli County is expected to head for Taipei Monday for the second time in a week to seek a bailout from the central government, according to the county's Department of Finance.
County Magistrate Hsu Yao-chang's government drew up the reform plan at the suggestion of the Executive Yuan, Taiwan's top administrative branch, made during Hsu's visit to Premier Mao Chi-kuo in Taipei on July 10, said the department.
The Executive Yuan warned Hsu that without spending reforms and reforms on the county's financial structure, no central government bailout will be forthcoming.
In the reform plan, Hsu's team promises to review extra statutory expenditure and try to increase incomes by collecting entrance fees for public sites, raising the land value and reinforcing auditing measures. The local government also pledges to write a budget for next year that will help save a sum of NT$5.4 billion (US$174 million), according to the reform plan.
Miaoli County government is currently NT$64.8 billion in debt. It has to spend NT$600 million a month on staff salaries and has an additional NT$600 million in pension obligations for retirees in July alone.
Due to a shortage of funds, the local government could not pay salaries for July to its employees on July 10, which was supposed to be payday.
The county Department of Finance expressed hope that the reform plan will win the central government's goodwill response. "Must have the employees get their pay first," the department said. (By Kuan Jui-ping and Elizabeth Hsu)


Updated : 2021-09-20 13:24 GMT+08:00