THEORETICAL PRINCIPLES OF THE FORMATION OF PUBLIC MANAGEMENT MECHANISMS OF THE STATE PROCUREMENT SYSTEM IN THE SPHERE OF HOUSING AND UTILITY SERVICES

Authors

DOI:

https://doi.org/10.35546/kntu2078-4481.2022.4.20

Keywords:

public management mechanisms, formation, public procurement system, housing and communal services

Abstract

The article formulates the characteristics of housing and communal infrastructure, which must be taken into account both when creating and implementing programs for the reform and development of public administration in this area, and when forming a system of financial support for its modernization. Among these characteristics, the following are defined: 1) the main importance of infrastructure facilities for the economic attractiveness of the territory and ensuring economic growth; 2) high capital intensity of residential and communal infrastructure objects, long terms of their creation and, accordingly, payback; 3) the nature of natural monopoly, which is characteristic of almost all infrastructure facilities in the housing and communal sphere; 4) the high social importance of centralized water supply, drainage and heat supply services, which imposes additional requirements on the activity of residential and communal infrastructure facilities, such as, for example, the impossibility of disconnecting consumers even in the event of non-payment, the presence of threshold indicators for setting tariffs, exceeding which leads to to serious socio-economic upheavals. It was found out that the described characteristics largely determined the fact that in most countries of the world the objects of housing and communal infrastructure belong either to the state or to the territorial community, as well as to the fact that the financing of the modernization of such objects is partially or completely carried out at the expense of state and/or local budget funds. It is argued that the state recognizes the importance of the presence and reliable functioning of such objects for every resident living in the relevant territory (macro or micro level). It was found that these same characteristics, as well as the demand for goods and housing and communal services produced by natural monopolies, make them attractive for private business, which must also be taken into account when forming a system of financial support for the development of public management of state procurement and modernization of housing and communal infrastructure in Ukraine.

References

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Published

2023-04-10

Issue

Section

PUBLIC MANAGEMENT AND ADMINISTRATION