Strategic Evaluation for Increasing Reception of Market

Retribution of Industrial, Trade and Cooperative

Services: Case Study in Paya Ilang Market, Aceh Central

District

Yushita Marini

, and Johnli

Departement of Economics, Universitas Terbuka, Indonesia

Departement of Public Administrations, Universitas Terbuka, Indonesia

Abstract. Strategies to increase market revenue receipts always planned every

year, especially in Central Aceh District. This research was conducted to evaluate

the strategy of receiving market levies in Central Aceh District, especially in the

Paya Ilang Market. The data obtained from interviews with the goverment

officials and local market officials, secondary data in the form of PAD data,

market levies, market potential, wage fees and the Market Retribution Perda. The

results of the study that in 2016 the market retribution revenue has not been

managed optimally, the achievement of the retribution revenue target of Rp.

948,000,000, - to the realization of Rp. 774,689,000. Positive and negative

factors that affect the receipt of retirement market fees in Aceh Tengah Regency.

First, the organizational structure in implementing the levy policy is related to

SOPs or work procedures. Second, the resources and facilities in the

implementation of market levies. Third, communication in conveying

information the official of the government to the market staff regarding the

implementation of market retribution rules. Fourth, the disposition of policy

makers in carrying out market levies activities of commitment and honesty in

implementing a program.

Keyword: Evaluation∙Strategy∙Market Levy

1 Introduction

Market levies management is interesting in terms of Local Revenue (PAD). Based on

data available at the Central Aceh District Office, Industry, Trade and Cooperatives,

during the last 4 years the receipt of Market Levies has always been prepared

fluctuating. The data can be seen in 2013 Rp. 1,136,354,000, in 2014 Rp.

1,280,041,000, in 2015 Rp. 1,970,849,594 and in 2016 Rp. 1,520,966,424. This shows

that the acceptance of market fees has not been able to increase revenue of the PAD

well. This research was conducted because no research had been conducted on Market

Levy in Central Aceh District. This research is expected to have an important meaning,

because the research will be a useful input for the Central Aceh District in increasing

Local Revenue (PAD).

Regional autonomy is one of the instruments that is considered effective in the

implementation of equitable development in each region, which hopes that efficiency

Marini, Y. and Johnli, .

Strategic Evaluation for Increasing Reception of Mar ket Retribution of Industrial, Trade and Cooperative Services: Case Study in Paya Ilang Market, Aceh Central District.

DOI: 10.5220/0010609500002900

In Proceedings of the 20th Malaysia Indonesia International Conference on Economics, Management and Accounting (MIICEMA 2019), pages 929-941

ISBN: 978-989-758-582-1; ISSN: 2655-9064

929

and effectiveness in the implementation of governance in the region and be able to be

a solution to the needs of the region. The policy is of course to reduce regional

dependence on central subsidies and on the other hand regions are required to be able

to carefully answer fundamental problems, identify development resources, explore and

exploit the potential of the region in the context of governance, development and

services to the community. Law Number 33 of 2004 concerning Financial Balance

between Central and Regional Governments, in this case the regions are demanded to

be more independent in managing resources optimally. Law No. 23 of 2014 concerning

Regional Development, explains that regional development as an integral part of

national development is an effort to optimize the use of human resources and other

potentials to realize prosperity and welfare of the people as the aspirations of the

Indonesian Nation in accordance with Pancasila and the 1945 Constitution Another

factor that is crucial for the success of regional development in addition to human

resources is the availability of adequate finance, both sourced from central subsidies

and extracted from Regional Original Revenues (PAD) such as local taxes, regional

companies, regional levies and other regional original revenues.

The original source of regional income was not yet able to support the

implementation of regional development because the source of funds from the central

subsidy was still greater than the potential extracted from Regional Original Revenues

(Benyamin Haris, 1995). As the data available in Central Aceh District, namely in 2012

the Original Regional Income of Rp. 10,983,027,828 while the state budget funds of

Rp. 520 Billion. The contribution of the Regional Own Revenue (PAD) to the current

regional revenue and expenditure budget is still relatively very low. Thus it still depends

very much on the balance coming from the central government, which in this case is

more dominated by the General Allocation Fund (DAU) which is quite large in number.

Facing the phenomenon of low regional financial capability, which is characterized by,

among others, the still low taxes and regional levies.

Efforts to optimize Local Revenue, Regional Retribution sector is a sector that has

the potential to be explored and expanded its management. Regional retribution in

Central Aceh Regency is a significant source of revenue, which will also determine the

level of independence of a region in the sense that the region is able to fund all regional

autonomy matters. Regional Retribution contributes significantly to regional revenue

in Central Aceh District. The Central Aceh District Government continues to strive to

increase Local Revenue through intensification and extensification of subjects and

objects of income. These efforts include increasing supervision, coordination and

simplifying the collection administration process. Levies in Central Aceh District show

a significant contribution to PAD because they are supported by five leading levy

sectors, namely: (1) Health service levies (2) Market levies (3) Regional wealth levies

(4) Building permit levies. (Source: Data from the Central Aceh Regional Financial and

Wealth Management Office)

Paya Ilang Market has a very strategic place in the center of the city of Central Aceh

District. The community is a coffee farmer and vegetable farmer and also the

availability of freshwater fish which is a merchandise that can be traded at the Paya

Ilang market. Paya Ilang Market is a wholesale center for agricultural products, thus

enabling Paya Ilang Market to continue to increase market revenue retribution, with

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this phenomenon Paya Ilang Market should be able to generate maximum retribution

revenue. But the acceptance of Market Levy until 2016 is still not optimal.

Some identification problems that underlie this research include:

a. The small realization of market retribution receipts can be seen from the calculation

of the difference between the target and the realization of market charges that are

included in the postal revenue.

b. The efforts of intensification and extensification by the Central Aceh District

Government are not yet optimal in increasing market revenue retribution.

c. The unclear management of market levies is carried out by the Government of

Central Aceh District in order to boost local revenue.

From some of the above identification, the researchers feel interested in evaluating the

issue of market charges to increase market retribution acceptance because of the

availability of an area (take base) at the center of Paya Ilang Market through

extensification activities and what are the inhibiting factors or supporting acceptance

of Market Retribution Market Retribution Paya Ilang at the Central Aceh District

Industry, Trade and Cooperatives Office. With this research can be an evaluation and

input in increasing the acceptance of market charges can be improved management.

2 Literature Review

2.1 Evaluation

According to Mintzberg (1996) there are 4 (four) types of evaluations, namely: Single

after only program, which is a type of evaluation that measures conditions or evaluates

the program after examining each stage as program criteria. So the analyst does not

know the good or bad response of the target group to the program. Single program

before-after, is a refinement of the first type, namely the existence of data about the

target program at the time before and after the program takes place. Comparative after

only, is a refinement of the second evaluation but not for the first and the analyst only

looks at the state of the target rather than the target. Comparative before-after, is a

combination of the three designs so that the information obtained is the effect of the

program on the target group.

2.2 Strategy

Strategy is a tool to achieve the final goal or target to be achieved, but the strategy is a

unified plan and the strategy can bind all parts of the government organizer into one

strategy that is comprehensive and the strategy covers all important aspects of

governance and the strategy is integrated all parts of the plan harmonious with each

other and in accordance (Hunger JD, 2006). According to Minztberg (2002) the concept

of the strategy includes at least 5 interrelated meanings where the strategy consists of

several components, namely as follows:

a. Arrangement which is an effort to further clarify the direction of development to be

achieved by an organization in a rational and proportional way.

Strategic Evaluation for Increasing Reception of Market Retribution of Industrial, Trade and Cooperative Services: Case Study in Paya Ilang

Market, Aceh Central District

931

b. Reference with respect to the assessment of consistency or inconsistency of

behavior and actions taken by the organization in order to realize the objectives to

be achieved.

c. Positioning of employees or staff in accordance with the abilities and expertise

chosen by the organization when carrying out its activities.

d. A perspective concerns the vision of an integrated organization between the

organization and its environment that becomes the boundaries for the activities of

an organization.

e. Strategic issue strategy, its main function is to control the environment, both the

known environment such as the issue of an increase in retribution without

conducting field surveys about the ability of traders and situations that are not yet

known such as protests by traders due to the distribution of shanties where not

according to the rules because prefers close people to officers.

f. Strategy is a step that has really been calculated to achieve a desired goal.

2.3 Regional Finance

Based on Law Number 33 of 2004 concerning Financial Balance between the Central

Government and Regional Governments, regional finance is managed through regional

financial management. Regional financial management is the organization and

management of resources or wealth in an area to achieve the desired goals of the region.

In order to achieve these results, a good and perfect regional financial management is

needed which is essentially an embodiment of regional financial administration. One

indicator to determine the ability of the region to regulate and manage its household,

Regional financial management is motivated by the following things:

a. Increasing public demands for transparent management of public finances.

b. The system, formal procedures and APBD structure that have been in effect so far

have been unable to support the demands for change so a systematic and structured

planning is needed.

c. There is an effort to synergize the relationship between the regional budget, the

system and procedures for regional financial management, management institutions

and public service management units in policy making (Mardiasno, 2002).

2.4 Locally-generated Revenue

Regional Original Income (PAD) is all regional revenue that comes from regional

economic sources. The types of Regional Original Income consist of four types of

income:

1. Local Taxes: compulsory contributions made by individuals and entities to the

regions without balanced direct benefits, which can be imposed based on the

applicable laws and regulations, which are used to finance regional government

implementation and regional development.

2. Regional levies: regional levies as payments for certain services or permits provided

or granted by local governments for personal or corporate interests.

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3. Results of Separated Regional Wealth Management: regional revenue derived from

the results of companies belonging to separated regions and management of

separated regional assets. (Halim, 2004)

2.5 Regional Retribution

Regional levies are regional levies as payments for the use of services or for

obtaining employment, business or property owned by the area concerned or

due to services provided by the region. Law Number 34 of 2000 concerning

Regional Levies, regional levies are regional levies as payments for certain

services or permits that are specifically provided and or granted by local

governments for the benefit of individuals or entities according to statutory

regulations. There are three regional user fees: (a) public service fees; (b)

business service fees; (c) licensing service fees.

Regional levies are regional levies as payments for the use of services or for

obtaining employment, business or property services in an area of interest or due to

services provided by the region. Local user fees have the following main

characteristics:

a. Levies are levied by the regions

b. In the levy there are achievements given the area that can be directly appointed.

c. A levy is imposed on anyone who utilizes or receives services provided by the local

government.

2.6 Market Retribution

Market levies are levies imposed on traders by local governments as payment for the

use of places in the form of shops / kiosks / counters / booths, bases and market pages

provided in the market or other traders who are around the market (Mardiasno, 2009).

There are two principles for the imposition of user fees, the first is that those who

receive direct benefits from a service must be paid according to their needs. Second is

the imposition of fees based on the ability of the required fees. The lower the income,

the smaller the price charged.

3 Research Methods

3.1 Development of Hipotesis

Regional user fees, hereinafter referred to as user fees, are compulsory contributions

made by individuals or entities to regions that receive a balanced direct benefit that can

be imposed based on applicable laws and regulations, which are used to finance the

implementation of regional government and regional development. The contribution of

market levies to local user fees contributed to the market retribution to the PAD

although it was relatively small but quite significant in financing the administration of

Strategic Evaluation for Increasing Reception of Market Retribution of Industrial, Trade and Cooperative Services: Case Study in Paya Ilang

Market, Aceh Central District

933

government. Regional Original Income is income derived from the Regional original

results to include Regional cash.

Fig. 1. Operational Concept.

The strategy to increase levies collection as well as management strategies includes

strategies that can be carried out by government management with a macro strategy

development orientation for market development strategies, in this case evaluating the

application of market development strategies to the contribution of its PAD.

3.2 Participants and Data Collection

The data collection in this study was conducted by interview, observation and

documentation methods carried out in several related organizations in this study,

namely at the Central Aceh District Industry, Trade and Cooperatives Agency, Central

Aceh District Financial and Wealth Management Agency, Central Aceh District

Sanitation Office .and the Central Aceh District Transportation Agency.

3.3 Model and Method Analysis

To analyze data about the management of market levies at the Central Aceh District

Industry, Trade and Cooperatives Office, a qualitative analysis method is used to

describe and explain the data that has been obtained and then describe it in the form of

an actual explanation. The analysis process or technique used is an interactive model

that uses a cycle method between data collection, data reduction, data presentation and

drawing conclusions.

4 Result

Strategies are things or steps companies / organizations that want to take to achieve the

goals (vision and mission) that have been set previously, namely increasing revenue

from Central Aceh Regency Market Levy. The strategies adopted by the Department of

Industry, Trade include the following:

1. Implementation of structuring in the Paya Ilang Market at the Central Aceh

Industry, Trade and Cooperatives Office in accordance with the National

Standardization Agency has established the Indonesian National Standard (SNI)

Number. 8152: 2015 concerning Development and Management of People's

Markets and Regulation of the Minister of Trade No. 48 of 2013 concerning

Guidelines for the Development and Management of Trade Distribution Facilities.

Based on the coordination of a number of legal products above, the Central Aceh

Regional Market

Retribution Strategy

Evaluation of

Contribution on

Market Levy

Strategies to PAD

Contribution of

Market Levy

Strategies to PAD

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934

District Office of Industry and Cooperatives made arrangements towards the

development and physical transformation of the people's markets:

a. Controlling proof of ownership documents and increasing the construction of

market facilities that are easily accessible, and in accordance with market spatial

planning.

b.Improved hygiene and health of the market and surrounding areas.

c.Increased market order and security.

d.Market spatial planning and market zoning for types of merchandise.

e. There are separators between parking areas and market areas.

f. Availability of a market management office that is in accordance with Standard

Operating Procedures that are documented and easily accessed by the authorities.

2. Structuring the Organization Structure of the Paya Ilang Market and the mechanism

of withdrawal of the right distribution to be able to test the vision and mission of

achieving the target of increasing revenue from Central Aceh Regency Market

Retribution.

From the strategy to increase market revenue from Central Aceh regency carried

out, an evaluation of the strategy can be carried out. Broadly speaking, it can be said

that evaluation is giving value to the quality of something. Apart from that,

evaluation can also be seen as a process of planning, obtaining and providing

information that is very necessary to make alternative decisions. The following are

the process / evaluation steps for strategies to increase market levies.

a.Evaluate the Market Levy Section which has the main task of carrying out the

preparation of market revenue targets, intensification of collection, supervision,

depositing, and reporting on the realization of market revenue receipts.

b.Evaluate the preparation of market levies management activity plans that include

management of market levies, management of public toilets, management of

market cleanliness, management of parking in the market environment, licensing

and regional wealth and targets for receiving market levies and regional wealth by

processing data on actual potential and evaluating material preparation / material

in the assessment of the determination and object / imposition of market fees.

c.Evaluate the management of market levies / collection fees, market MCK

management, market cleanliness management, parking management in the market

environment, licensing and regional wealth as well as the implementation of

intensification and extensification of market levies and regional wealth.

d.Evaluate the implementation of supervision and payment of market levies and the

reporting of the realization of market levies and the planning and supervision of

the procedures for collecting market levies and monitoring reporting in the

implementation of activities.

e.Evaluating the implementation of other tasks given by superiors in accordance

with the field of duties and functions.

Regional retribution in Central Aceh Regency is a significant source of revenue, which

will also determine the level of independence of a region in the sense that the region is

able to fund all regional autonomy matters. Market fees contribute to the second

regional retribution after receiving health services. Based on sources from the Central

Aceh District Financial Management Agency that the five largest components of the

regional levies sector we saw in 2016 were (1) health service levies Rp.1,995,503,680,

(2) market fees Rp.1,520,966,424, (3 ) retribution of regional wealth Rp.656,423,000,

Strategic Evaluation for Increasing Reception of Market Retribution of Industrial, Trade and Cooperative Services: Case Study in Paya Ilang

Market, Aceh Central District

935

(4) retribution of Rp.281,965,000 waste services, (5) retribution of parking services on

the edge of public roads Rp.218,952,000. For a period of 5 years, from 2012 to 2016,

market fees contributed less than other receipts. For more details, see Table 1 below:

Table 1. Acceptance of Market Levy and Market Contribution to PAD Central Aceh Regency in

2012 until 2016.

Year Regional Market

Retribution

PAD Contribution

(%)

1 2012 Rp 1.068.895.000 Rp. 10.983.027.828 1.5

2 2013 Rp 1.136.354.000 Rp 12.854.703.986 1.5

3 2014 Rp 1.280.041.000 Rp 16.395.126.122 2.1

4 2015 Rp 1.970.849.594 Rp 17.027.948.531 3.4

5 2016. Rp 1.520.966.424 Rp 16.421.171.841 2,5

Table 1 shows the market retribution receipt every year the sudden increase in revenue

is so good that it needs efforts to increase in revenue. Market levies in Central Aceh

Regency are classified into two categories, namely (1) Market Kiosk Levies, (2) Market

Stalls / Excise Levies. Based on data sources from the Central Aceh District Revenue

and Assets in 2016. The weak acceptance of this levy is due to several factors which

include the reduction of traders who rent the places or shanties provided, this condition

can occur because the economic capacity of the buyers has weakened . The decline in

the community's economy was also caused by the production of superior commodities

of the people of Central Aceh, which is coffee as the majority income of the people of

Central Aceh. This decrease in market retribution was also influenced by the lack of

services provided by the officers in the field, although they were often given supplies

to the officers in the field.

The people (buyers) at certain times do not want to go to the market to shop because

now goods such as fish and vegetables brought from other districts such as from Bireun

Regency are directly brought to the villages. So the public will benefit more from

shopping like this, it doesn't have to cost a lot of transportation costs. This is also one

of the obstacles to revenue collection.

Table 2. The plan and realization of revenue for the retirement market in 2016 is based on the

Central Aceh Regency Qanun / Regional Regulation.

Number 35 of 2016 concerning Regional Retribution

NO LAPAK/ KIOS

AMOUNT

LAPA

PLAN A

YEAR (R

)

PLAN A

MONTH (R

)

REALIZATION

1 Lapak Chicken

2 Lapak

etable

3 La

ak Fish 13

4 La

ak Meat 10

Lapak Tumpah - 300.000.000 253.689.000

5 Kios 48 3.500.000 168.000.000 161.000.000

6 Ruko 16 30.000000 480.000.000 360.000.000

JUMLAH 125 948.000.000 774.689.000

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936

Table 2 above shows the 2016 target for one year of Rp. 948,000,000, based on

these data that the Paya Ilang Market realized revenue in 2016 of Rp.774,689,000, this

means that the receipt of the Paya Ilang Market retribution was not optimal. We can

clearly see this from the low rate of receipt of fees compared to existing targets. This

can be caused by the fact that there are still lapak users who do not want to pay on time

for various reasons. And also there are some shop houses and stalls that are still empty

or there are no tenants.

To find out the level of efficiency in the management of Paya Ilang Market

retribution revenue can be done by utilizing data information in the form of how much

operational costs the Paya Ilang Market requires and the realization of market

retribution revenue in the relevant year. By comparing the two, we will get information

on the efficiency of market retribution management by Pasar Paya Ilang. This means

that the smaller the costs incurred compared to the results obtained means more

efficient activities carried out at Paya Ilang Market. The following will be presented in

Table 3.

Table 3. Operating Costs and Realization of Retribution Revenues Paya Ilang Market in 2016.

No Information Operating Costs Realization Efficiency

1 Electricit

Rp. 36.000.000

2 Wate

Rp. 12.000.000

3 Wifi Rp. 6.000.000

4 Contract Worker

14 people

Rp. 11.200.000

Total Rp. 65.200.000 Rp. 774.689.000 5.05

Table 3 shows that the average efficiency value over the past five years shows a rate

of 5.05%, meaning that the Paya Ilang Market to realize market revenue receipts of one

rupiah requires a fee of 5.05 rupiah (thirty-four cents). Ideally, if the smaller the value

of e fficiency produced, the better the level of efficiency in managing market charges,

because the smaller the market charge, the more efficient it will be. In determining the

classification of high and low levels of efficiency of market levies management is to

look at the trend of efficiency figures obtained by comparing the cost of collection

levies with the realization that can be achieved by the Paya Ilang Market within a certain

period of time and if the smaller the value of efficiency, the more efficient the

management of retribution is done by Paya Ilang Market.

The strategic issues faced by Pasar Paya Ilang in realizing the organization's mission

are as follows:

a. The low ability and skills of Paya Ilang Market Employees in regional financial

management especially in the management of market retribution which is reflected

in the lack of formal and functional education of employees in the Paya Ilang Market

environment, resulting in a gap between the personnel resources in the Paya Ilang

Market and the development of good scientific disciplines technical knowledge and

management of regional financial management and the use of computer technology

in managing regional finances especially the management of market fees. The low

performance of the Paya Ilang Market, for example both in service and in an effort

to increase market retribution acceptance is a result of the low ability of employees

currently owned by the Paya Ilang Market which in turn will affect the work of the

Strategic Evaluation for Increasing Reception of Market Retribution of Industrial, Trade and Cooperative Services: Case Study in Paya Ilang

Market, Aceh Central District

937

organization. The low ability and skills of Paya Ilang Market employees in this

study is the first strategic issue that must get the attention of the organization, in an

effort to improve organizational performance, so that the organization's mission to

increase acceptance of market retribution will be realized.

b. Lack of supervision and law enforcement in the Paya Ilang Market environment,

thereby affecting the performance of the organization and efforts to optimize the

acceptance of market fees. Weak organizational oversight carried out in the Paya

Ilang Market environment, the Central Aceh District Office of Trade, Industry and

Cooperatives. Unauthorized head of the Market assesses that DP3 at the end of each

year on Paya Ilang market staff is one proof of the weakness of supervision

conducted by the organization so that it will greatly affect the performance of the

management of market retribution receipts because of the low supervision

procedures will allow leakage in the management of market retribution receipts.

Supervision from structural officials is also difficult to implement because officials

who assess do not supervise every day the process of implementing market levies

collection. This condition is not conducive to the efforts to optimize the acceptance

of market charges, because preventive supervision is difficult.

c. The still low level of awareness and sensitivity of the community and traders

towards the norms / rules that apply. The low level of awareness of traders about

the obligation to pay market fees as a logical consequence of the facilities and

services received is a strategic issue that must be immediately anticipated by the

organization because the impact will be directly related to the level of market

retribution acceptance. If the organization fails to respond to this issue then efforts

to increase acceptance of market retribution. If the organization fails to respond to

this issue, efforts to increase acceptance of the Paya Ilang Market retribution will

be hampered.

d. The lack of awareness of traders and the public about the norms and rules can also

be seen from the way they dispose of garbage, most of the traders dispose of waste

improperly even though they have provided garbage bins near them to sell. If it

continues to be carried out, the impact will affect the process of achieving

organizational goals, because if rubbish littered will look dirty and dirty thereby

reducing the comfort of visitors / buyers to shop at Paya Ilang Market.

Paya Ilang Market Organization as a public organization is difficult to adjust or adapt

to changes that occur in the community, this is all because of the long bureaucracy in

making changes as happened in Perda No. 35 of 2014 concerning Levitation of Auction

Points, Market Service Levies and Terminal Levies. To make changes to changes in

market levy rates many must be involved with the relevant agencies, this was justified

by the Head of the Central Aceh District Revenue Service. This opinion explains that

to make changes to the structure of the market levy tariffs require a long time and can

not adjust at any time to changes in the community. This shows that often the

regulations are not very suitable with the current conditions, the Pasar Paya Ilang

organization is difficult to adjust to these changes. This relatively long procedure and

relatively long time are coupled with poor planning to make adjustments to the changes

that should have been made to realize the mission of the Central Aceh District Paya

Ilang organization. One of them is by increasing market retribution revenue which is

hampered.

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The implementation of market services provided by the market technical service

apparatus in general has not been going well, this is due to the attitude of the apparatus

who are not yet aware of their role as traders' servants and tend to be arrogant and

oriented towards superior officials, this situation has caused delays in the service

process because the apparatus tend to meet the target demands through the formal report

to the supervisor, so that consideration of the interests of the community is disregarded.

The perception of bureaucracy (apparatus) towards the service process to the

community (traders) is still limited to a normative understanding of the process which

is more likely to show a rigid and task-oriented understanding in order to achieve

targets, this kind of thing was also said by the Head of Trade, that generally government

organizations often face several problems, namely, less effective, less efficient and poor

service quality.

Based on the opinion above, it was revealed that attitudes and management practices

that lack reference to results, as well as culture which has become a factor causing the

low quality of services provided by government bureaucracy. To overcome this culture,

the attitude of view that is too oriented towards activities and accountability needs to

be combined with the orientation of results that is in accordance with the needs of the

community.

The level of effectiveness of market charges between 2013 and 2016 can be seen in

table 4 below:

Table 4. Effectiveness of market.

From the results of the calculation of table 3 it can be seen that the effectiveness

level of the overall market retribution is less effective. This is reflected in the realization

of revenue that is always less or lower than the target set. The average value of

achieving the target for the past 4 (four) years is 90.5%. This shows that the level of

effectiveness of market levies is still less effective.

5 Discussion

From the results of the research and discussion that has been described behind it can be

concluded that the effectiveness level of the overall market retribution is less effective.

This is reflected in the realization of revenue that is always less or lower than the target

set. In general, government organizations face several problems in fulfilling plans

(targets) to increase market retribution revenue, namely, less effective, less efficient

and poor service quality. Bureaucratic perception (apparatus) of the service process to

the community (traders) is still limited to normative understanding of the process which

is more likely to show a rigid understanding.

No Year

Realization of

Market’s Retribution

Planning of Market’s

Retribution

Efectiveness

(%)

1 2013 1.136.354.000 1.200.000.000 95

2 2014 1.280.041.000 1.520.000.000 84

3 2015 1.970.849.594 2.000.000.000 98

4 2016 1.520.966.424 1.800.000.000 85

Strategic Evaluation for Increasing Reception of Market Retribution of Industrial, Trade and Cooperative Services: Case Study in Paya Ilang

Market, Aceh Central District

939

Pasar Paya Ilang organization as a public organization is difficult to adjust or adapt

to changes that occur in society, this is all because of the long bureaucracy in making

changes. The low ability and skills of Paya Ilang Market Employees in the management

of regional finances, especially the management of market retribution acceptance,

which is reflected in the lack of formal and functional education of employees in the

Paya Ilang Market environment, resulting in a gap between personnel resources in the

Paya Ilang Market and the development of good scientific disciplines technical

knowledge and management of regional financial management and the use of computer

technology in managing regional finances especially the management of market fees.

Based on the results of the study it can be concluded that the collection strategy to

increase market revenue retribution in the Central Aceh Regency Market Office

includes five indicators, namely: 1. expanding the revenue base, 2. strengthening the

collection process, 3. increasing supervision, 4. increasing administrative efficiency

and 5. suppressing collection costs and increase capacity through better planning.

6 Conclusion

Conclution from this study that:

1. For payers of levies (traders), they should always pay market service fees, because

the levies will basically be used by payers of levies (traders) themselves, namely as

funds to repair damaged market facilities.

2. For officers, levies should be carried out in a meaningful way done with the correct

procedure, so that it does not cause intake leakage. Concrete steps that can be done

are by raising awareness to attract retribution always provide proof of payment, and

report honestly earned retribution.

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