Santiago - 11-29-2009 at 04:29 PM
Municipal governments, headed by a mayor or municipal president (regente ) and a municipal council (ayuntamiento ), are popularly elected for
three-year terms. Article 115 of the 1917 constitution proclaims the autonomy of local governments according to the principle of the free municipality
(municipio libre ). Although they are authorized to collect property taxes and user fees, municipalities have historically lacked the means to do so,
relying mainly on transfers from higher levels of government for approximately 80 percent of their revenues.
The above is from a web site on the structure of government in Mexico. I've been reading this in order to understand the structure of the local
government and my question is this: I do not understand how municipalities have the authority to collect property taxes but "do not have the means to
do so". Who is collecting the property taxes, the states?
I can not seem to figure out a municipality's sources of income other than the above quote that indicates 20% is from fees and local taxes they
generate for themselves and the balance coming from the state and the federal government. Is this correct and if so, how much from the state and the
DF?
More importantly to my interests, do the municipalities develop budgets on what the state and fed is required to send them, or so they develop a
request for funds and send that upstream and then wait to find out what will flow back down to them?
Anyone know how this works?