Journal of Intelligent Financial Management

Journal of Intelligent Financial Management

Formulation of a Strategic–Operational Plan for Municipalities Using a Spatial Econometric Approach: A Case Study of Mehdi Shahr Municipality

Document Type : Original Article

Author
Assistant Professor, Department of Accounting, Se.C., Islamic Azad University, Semnan, Iran
Abstract
The present study was conducted with the aim of formulating a strategic–operational plan for Mehdi Shahr Municipality using spatial econometric techniques. According to estimates provided by the Provincial Management and Planning Organization, Mehdi Shahr had an estimated population of 25,000. Therefore, understanding the structure, density, and spatial distribution of the population constitutes one of the fundamental bases for planning urban services and resources in this study. Accordingly, demographic indicators; the characteristics of the urban fabric and physical structure; ecotourism and nature-based tourism capacities; the economic situation; municipal revenues and expenditures; the extent of dependence on unsustainable revenues; and the potential for creating and strengthening sustainable financial resources were examined. Urban financial planning was also considered as one of the main pillars of the municipality’s operational plan, with emphasis on forecasting revenues and expenditures, prioritizing projects, increasing resource-use efficiency, reducing dependence on unsustainable revenues, and directing resources toward projects with sustainable economic and social impacts. By using statistical and spatial data and applying spatial econometric models, the study identifies and analyzes spatial relationships, direct effects, and spatial spillovers among the variables influencing urban development. The natural and tourism capacities of Mehdi Shahr were also considered as one of the potential axes of the city’s economic development, given the role of ecotourism in creating employment, strengthening the local economy, and protecting natural resources. Studies in the field of ecotourism likewise emphasize the importance of properly planning and managing these capacities in order to create economic opportunities and promote local development. The practical outcome of the study is the presentation of an executive framework for Mehdi Shahr Municipality, including the prioritization of construction and service projects; identification of priority zones and areas for investment; strengthening of sustainable revenue sources; medium- and long-term financial planning; development of ecotourism infrastructure; organization of the urban fabric; and alignment of urban service levels with demographic characteristics. Accordingly, the findings can be used by urban managers as an evidence-based decision-making tool for optimal resource allocation, increasing municipal budget efficiency, and directing the development of Mehdi Shahr toward a sustainable, balanced, and resilient future.In the formulation of the municipality’s strategic–operational plan, the development vision of Mehdi Shahr was established. Furthermore, using a spatial econometric model, the municipality’s financial plan was forecast for the period 1400–1404 based on the baseline data from 1396–1399 in the Iranian calendar, corresponding approximately to 2021–2025.
Keywords
Subjects

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