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    • ABSTRACT City administration in Turkey gained some impotance after 1950 's due to migrations from rural areas to urban areas. The problems of cities started to be the point of interest. Irrespective of the financial and managerial precautions that were taken, the Local Administrations were found to be unsuccessful. The public is seeking solutions to their problems in Ankara instead of their home town and the bureaucrats are chasing these peoples problems rather than looking into governmental issues. This brings the necessity to review the interrelations of local and central authorities in terms of effectiveness, democratic participation and job sharing. Administration at the origin gives more authority to municipalities in terms of allocation of resources between central and local authorities. It is unavoidable that the interrelation between local authorities and various divisions of central authorities effect the financial issues. In todays local administration system, to come up with administrative and financial proposals and allocation of resources would only be possible with an effective municipal budgeting. The managers of local administration can only be successful in solving the local peoples problems if they become entrepreneurs in terms of creating resources, budget their expenses and do a cost analysis of the services they are providing. vm (1)
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