Since the change in government in 2009, the Democratic Party of Japan (DPJ) has implemented a number of policies and measures. Here are some of the DPJ’s achievements in the areas of eliminating wasteful spending and regional revitalization.

Eliminated Wasteful Spending and Changed Budget Usage

[Transferred power from the public to the private sector. Transferred spending from construction to people. Reformed budget formation through checks and reviews]

Two basic principles of the 2009 DPJ Manifesto involved changing the way in which tax payers’ money was used and eliminating waste. Based on these principles, the establishment of the Government Revitalization Unit was proposed and approved by a Cabinet Decision on September 18, 2009, just after the change in government. As part of the Unit’s framework, the DPJ launched a budget screening process and a review of administrative projects. Through repeated verification and checks to decide whether certain projects are required or not, the DPJ has succeeded in reducing wasteful budget use.

Over the three years since the change in government, the DPJ has cut public works spending by 32%, and allocated the budget to priority areas such as social security, education and childrearing. The DPJ has insisted on transferring money from construction to people, and we have realized a reallocation of the budget that focuses on people.

[Cut waste and reformulated the budget]

The DPJ promoted the efficient usage of the national budget and eliminated wasteful projects as outlined in the 2009 DPJ Manifesto pledge to secure the required financial resources. Regarding this pledge, in 2009 the first phase of budget screening by the Government Revitalization Unit was carried out on 449 projects, resulting in approximately 2 trillion yen being freed up for the fiscal 2010 budget. The DPJ were able to implement priority policies relating to child allowance and free tuition for public high schools by reducing spending on public projects by 1.3 trillion yen and spending on subsidies by 0.7 trillion yen. In fiscal 2011, the DPJ raised a budget of 6.9 trillion yen and utilized 3.3 trillion yen thereof on the implementation of policies related to issues listed in its Manifesto.
In 2010 the second phase of screening was carried out on 233 projects conducted by independent administrative institutions and governmental public service institutions. As a result, 76 projects were abolished and approximately 2 trillion yen was repaid to the national treasury.

During the third phase of screening, carried out in 2010, 112 projects funded by special accounts were rescreened. Furthermore, since 2010, the review of administrative projects has been introduced. In addition, the DPJ thoroughly disclosed information, with some projects being discussed publicly, thus ensuring transparency in the flow of money and the results of reviews.

[Measures for prohibition and elimination of amakudari mediation]

The DPJ made the decision to strictly prohibit re-employment support (amakudari mediation) by the Center for Personnel Interchanges between the Government and Private Entities, on September 2009, just after the change in government.

In addition, the DPJ introduced a job posting system. These initiatives helped to promote the elimination of amakudari, a source of wasteful spending of taxpayers’ money involving government-initiated bid-rigging and single tendering.

[Realized 10% cut in civil servant payroll with new aim of 20% cut]

The DPJ outlined a goal in the 2009 Manifesto to cut total personnel costs among civil servants by 20% (5300 billion yen). Through the enactment of the Act on Revision of and Special Interim Measure for the Remuneration of National Public Servants in February 2012 that cut civil servants’ wages by an average of 7.8%, the DPJ achieved a 10% reduction (520 billion yen) of the labor budget. The DPJ will steadily implement a further 10 percent cut.

Measures for Regional Revitalization

[Replaced conditional subsidies from the national government to provide regional governments with budgets to be used at their own discretion]

Toward the establishment of local sovereignty, the DPJ reviewed conditional subsidies where usage is specified by the national government, and established general-purpose lump sum grants. Under this new subsidy system, the DPJ took measures to provide 512 billion yen to local prefectural governments as part of the fiscal 2011 budget. In the following year, the total amount of grants was increased to 832.9 billion yen. Furthermore, in order to ensure high quality government service, the DPJ revised the national restrictions imposed on the autonomy of local governments in their conducting of general affairs. These measures are helping to enhance the availability of financial resources that local governments can use freely, improve the degree of freedom enjoyed by local governments, and enable local governments to make their own decisions on local affairs.

[Established a forum for consultations between national and regional governments]

The Act on the Forum for Consultation between the National and Regional Governments was enacted in April 2011, which institutionalized the consultation forum between national and regional governments to discuss regional matters. The Act also provides opportunities for national and regional governments to carry out consultations on the planning and implementation of national policies that influence local autonomy. The forum has been held 11 times.

In fiscal 2010, the DPJ banned road and waterway maintenance charges, which were part of the financial burden imposed on the regions under the Liberal Democratic Party (LDP) and LDP-New Komeito administrations. This forum has accelerated measures toward promoting local sovereignty from numerous perspectives.