percentage be as low as possible, due to the character of CATV. Also, if local government is the main executor, it is desirable that as far as possible the control and running of the project should be entrusted to a public agency.
(2) Financial measures of local government with regard to CATV
1) Third sector CATV projects
Basically CATV should be run as a private enterprise, but at the same time, due to the fact that CATV is of public benefit as local information network infrastructure facilities, confidence in the CATV operator should be bolstered by local government investment if necessary and ways should be opened up using NTT non-interest loans and Regional Development Fund non-interest loans.
2) Public enterprise CATV projects
If the local government carries out the CATV project, in principle the project is run as a local public enterprise and it is possible to obtain funds for constructing the CATV facilities by means of local bonds (such as tourism).
Of the expenses required for CATV projects, the problem is to divide the expenses defrayed from general accounts and the expenses borne by users. In this regard, it is appropriate to regard the expenses defrayed from general accounts as basic expenses required to provide general administrative services and maintenance expenses. Financial measures are taken for expenses paid out by general accounts by means of special allocation tax.
3) General accounts CATV projects
a. Depopulation bonds and remote bonds
If a local government undertakes a CATV project, in principle it is made clear that it is according to the public enterprise system, but if it is difficult to carry out the project due to geographical conditions, it may be carried out by general accounts using depopulation bonds and remote bonds.
b. Leading project
Leading regional development undertakings by local government related to local information network measures are regarded as leading