MANAGEMENT OF FINANCIAL RESOURCES OF UNITED TERRITORIAL COMMUNITIES UNDER THE CONDITIONS OF ADAPTIVE CHANGES IN LEGISLATION DURING MARTIAL LAW

Abstract

The decentralization reform created prerequisites for increasing the level of meeting the citizens' needs and satisfying their interests. In the pre-war period, the process of decentralization ended with a clear division of functional powers between state and local budgets. Medium-term budget planning is decisive to ensure the program-target method of managing financial resources. The improvement of budget planning, execution, and reporting was ensured by the automation, in particular, the use of information and program complex "Local Budget" by united territorial communities (UTC). However, the war led to the emergence of financial risks for UTC. After the beginning of the aggressor country’s full-scale invasion, the redistribution of planned amounts of financial resources was necessary for the majority of Ukraine’s territory, therefore, in 2022, the regulatory and legal framework was improved to ensure that the financial needs of communities are met during wartime. The role of public and volunteer organizations and charitable foundations in solving communities’ urgent problems is considered. First of all, the created conditions for the participation of civil society institutions in competitive bidding and grant programs to attract additional financial resources are analyzed. The rules for calculating local budgets’ revenues from the excise tax are studied. The mechanism of allowing for the necessary amount of funds for the uninterrupted provision of social guarantees to individuals in need of external assistance is analyzed. The sources of financing for the uninterrupted and full functioning of invincibility points and the possibilities of providing state financial assistance to communal enterprises that provide accommodation for temporarily displaced persons are studied. Much attention is paid to educational subvention. The main directions and rules for using the remainder of the educational subvention to finance the additional protection of UTC’s members following the regulatory and statutory documents of the Ministry of Education and Science of Ukraine are considered. Thus, the rapid changes in regulatory and legal documents that affect the UTC’s financial resources management made it possible to create conditions for meeting the needs and satisfying the interests of communities during martial law.