Ways To Increase Transparency In The Execution Of Public Expenditure At The Level Of Local Administration

This paper proposes an analysis of the organization of public finances in local government in Romania, the share of local revenues and expenditures in order to establish the place of the local budgets in the general consolidated budget, the level and structure of local budgets revenues and expenditures, how to consolidate their sources of funding and the destination of the money. The allocation of resources at the local level must be in line with the preferences and needs of the community. Finding a compromise between limited public resources and an unlimited range of needs that required to be met through public spending will be the key to developing balanced, sustainable budgets in any policy option. Thus, local budgets must follow a dichotomous evolution, from financial planning and control tools to performance measurement tools, fiscal discipline and results management. The paper contains a comparative study between two territorial administrative units in Prahova County, one located in urban areas and the other in rural areas. The adoption of digitalization in financial-budgetary management will counteract the negative effects of the lack of transparency in the execution of budgets. To these must add an honest management of the execution and an increased transparency in the spending of public money, doubled by stable and predictable legislation, with unequivocal rules of application.