(4) Rationalization of subsidies
1： Subsidies should be drastically rationalized, by means of abolition, integration, itemization, etc., after careful reconsideration of the administrative sphere of responsibility, the burden of expense on the public sector and administrative effectiveness.
2： Local authorities should work systematically to reduce the amount of subsidies by setting the expiry date, reviewing constantly, and setting out subsidy reduction plans.
<In this case, the setting up of new subsidies should be curbed as far as possible; and when a new subsidy is set up, there should be an attempt to reorganize existing subsidies.>
3： Deskwork involved in subsidies should be made as simple as possible.
(5) Devolution of powers to municipalities and Regional Amalgamations
In order to improve services and to conduct affairs more efficiently, prefectures should devolve power to municipalities or Regional Amalgamations for prefectural tasks which can be done effectively by the municipalities or Regional Amalgamations from the viewpoint of decentralization and conditions. Prefectures should actively devolve power in line with the size and organization of the municipality.
(6) Pursuit of simple, efficient and comprehensive administration for decentralization
With the promotion of decentralization, involvement by the national government will be reduced and local authorities will be able to make decisions on their own initiative over a wider administrative area. To cope with this, local authorities should work towards a simpler and more efficient administrative system, and implement innovative ideas to meet the circumstances of the region, in order to provide a comprehensive administrative service and policy development.
2 Organization
(1) To cope with changing social and economic conditions such as the aging of society, internationalization and computerization, local authorities should work to revise their organization and structure in order to carry out comprehensively and efficiently new administrative tasks and policies in line with the diversified needs of residents.
(2) Local authorities should promote reorganization making full use of the scrap-and-build method and reshuffling the existing organization drastically to make a new efficient organization which can work smoothly and practically.
(3) Branch offices and councils should be rationalized in line with regional circumstances.
Local authorities should take note of the reorganization of national government and carry out a comprehensive review of their own organization.
(4) It should be noted that national reforms such as the abolition of the delegated duty system and reorganization of requisite regulations will raise the autonomy of local authorities with regard to organization and structure.
