Top �� What's up around the Prime Minister �� May, 2003

Submission of the Report of the Council for Decentralization Reform Wednesday, May 7, 2003 Prime Minister Junichiro Koizumi received a report on the state of implementation of the "Opinions on the Modality of Administrative Work and Projects" from Mr. Taizo Nishimuro, Chairman of the Council for Decentralization Reform at the Prime Minister's Official Residence. The Council for Decentralization Reform submitted the "Opinions on the Modality of Administrative Work and Projects" to Prime Minister Koizumi in October 2002 as a compilation of opinions on the modality of administrative work and projects in accordance with a division of labor between the central and local governments. The Council subsequently has conducted a follow-up upon instructions from Prime Minister Koizumi in April 2003 to report the state of implementation of the "Opinions on the Modality for Administrative Work and Projects." The Council has advanced the deliberation on the reform in trinity for the allocation of financial resources, including state subsidies, local allocation taxes and the transfer of tax and financial sources to local governments based on the division of labor between the central and local governments outlined in the Opinions, and intends to compile its opinions as early as the beginning of June.