The council adopted a resolution at the second plenary session of its 429th extraordinary meeting on the 21st. The measure, proposed by council member Kim Se-hyeok (proportional representative), called for a system to return VAT tied to local gift certificates to the municipalities where the spending occurs.
Kim said local gift certificates have become “a key tool” for boosting small merchants’ sales and supporting local economies, but that “structural imbalances and fairness issues between regions” have been raised.
He said local governments shoulder significant costs, including subsidies for discounted sales and operating expenses, while VAT generated by certificate use “is fully allocated as a national tax.” He also said the way financial support is distributed — based on issuance volume and population — creates equity problems by favoring some municipalities with higher fiscal capacity.
In the resolution, the council called for: △a制度 to return a set share of VAT generated by local gift certificate use to the relevant municipality; △reasonable, fair return standards that reflect local fiscal conditions; and △comprehensive policies to expand fiscal decentralization.
Call to streamline procedures for installing traffic safety facilities
The council also said it adopted a separate resolution at the same session, proposed by council member Kim Dong-heon (Samcheon 1·2·3, Hyoja 1-dong), seeking improvements to procedures for installing traffic safety facilities and related equipment.Kim said current law requires local governments to obtain a review each time from a police station’s traffic safety deliberation committee before installing such facilities. He said even simple, low-impact installations requested through public complaints are delayed by review schedules, and that largely paperwork-based procedures do not adequately reflect conditions on the ground.
He said cutting unnecessary administrative steps and shifting to a practical, field-centered system is urgent to resolve complaints faster and improve the efficiency of budget execution.
Key proposals include: △revising relevant laws and enforcement rules to simplify reviews, ease bottlenecks and expand local autonomy; and △creating a fast-track system for areas requiring rapid safety measures.
The council said the adopted resolutions will be sent to the Cheong Wa Dae, the Prime Minister’s Office, the Ministry of the Interior and Safety, the National Police Agency, and the National Assembly’s Public Administration and Security Committee.
* This article has been translated by AI.
Copyright ⓒ Aju Press All rights reserved.