ABSTRACT

The financial difficulties of the Arab local authorities have generated much public interest. The heads of Arab local authorities have placed the issue before the Ministry of the Interior and various other ministries, the Knesset interior and Finance Committees, and with the Center for Local Government. This chapter aims to attempt an understanding of the various aspects of Arab local authority budgets by analyzing data published by the Ministry of the Interior, the Central Bureau of Statistics and the State Comptroller, in combination with our interviews with the heads of Arab local authorities. Analysis of the budgets of Arab local authorities as compared with Jewish local authorities shows that overtime, both qualitative and quantitative changes have occurred. In a public statement circulated by the National Committee, the Arab local authorities were asked to raise property and business taxes to the maximum rate allowed by law.