10th Daegu Metropolitan Council’s Special Committee on Budget and Accounts Approves Its First Budget and Settlement Reviews as Originally Proposed

【Financial News Daegu=Reporter Kim Jang-wook】Daegu Metropolitan Council held the first Special Committee on Budget and Accounts of its 10th council and reviewed the 2025 fiscal-year settlements of Daegu Metropolitan City and the Daegu Metropolitan Office of Education, as well as Daegu Metropolitan City’s second supplementary budget proposal for 2026. The proposals were approved as originally submitted.
Daegu Metropolitan Council said its Special Committee on Budget and Accounts reviewed the 2025 fiscal-year settlements of Daegu Metropolitan City and the Daegu Metropolitan Office of Education, along with Daegu Metropolitan City’s second supplementary budget proposal, from the 10th to the 14th. Each item was approved as originally proposed.
Kim Ju-beom, chair of the Special Committee on Budget and Accounts and a council member representing District 6 of Dalseo District, said, "If local governments’ financial resources shrink, livelihood projects and essential initiatives that need to be carried out swiftly will inevitably be scaled back. As external fiscal conditions are rapidly deteriorating, please bear in mind that the budget is a valuable resource directly tied to residents’ lives, and ensure that projects are implemented so residents can feel their benefits without wasting public funds."
The Special Committee on Budget and Accounts closely reviewed three items referred by the respective standing committees: the proposed approval of the 2025 fiscal-year settlements and reserve-fund expenditures of Daegu Metropolitan City and the Daegu Metropolitan Office of Education, and Daegu Metropolitan City’s second supplementary budget proposal for 2026.
For fiscal 2025, Daegu Metropolitan City recorded revenue of 12,625,283 million won, expenditures of 12,069,545 million won, and a surplus of 555,738 million won. The Daegu Metropolitan Office of Education recorded revenue of 4,508,586 million won, expenditures of 4,388,699 million won, and a surplus of 119,887 million won.
The committee commended Daegu Metropolitan City and the Daegu Metropolitan Office of Education for their efforts to manage finances efficiently despite limited resources. It also carefully examined whether the budgets for major projects carried out in fiscal 2025 were properly allocated and executed, while reviewing projects that generated excessive unused or carried-over funds.
In particular, the committee urged the Daegu Metropolitan Office of Education to make proactive efforts to respond to changing fiscal conditions and ensure stable management of education finances, as reforms to the local education finance grant system could increase uncertainty surrounding education finances in the future.
The second supplementary budget proposal for 2026, submitted along with the settlements, was the first supplementary budget drawn up since the launch of the ninth popularly elected administration. It was set at 12,605,248 million won, an increase of 406,450 million won from the original budget, to fund key initiatives such as revitalizing neighborhood commercial districts and traditional markets and supporting infertility treatment costs for couples.
The committee assessed that the supplementary budget reflects a policy direction aimed at addressing the urgent challenges of stabilizing people’s livelihoods and covering mandatory expenses despite difficult revenue conditions, while continuing investment in future-oriented new industries. However, given the funding structure’s substantial reliance on net surplus carried forward and local government bonds, it said particular attention must be paid to maintaining fiscal soundness going forward.
Meanwhile, in response to the government’s recent creation of the Future Response Fund, the committee proposed and adopted a committee resolution titled “Proposal Urging Reconsideration of the Future Response Fund That Undermines Local Autonomy.” The resolution calls on the government, the National Assembly, and other relevant institutions to reconsider the fund system in order to secure autonomy in local fiscal management. All committee members agreed to submit it to the plenary session.
The settlements, supplementary budget proposal, and resolution approved by the committee are scheduled to be submitted to the third plenary session on the 16th for final approval.

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