President Vladimir Putin believes there is a need to revise interrelationships between the federal state power and local level officials. "You know how much populism were in the area of charges concessions in the last years… I hope this is left in the past", said Putin at the Congress of Municipal organizations. President also pointed out that many aspects of the local governing law were developed in a "rough dialog with the state government", and now the government is "afraid" of those aspects.
Putin thinks that regional heads who do not perform the job well enough had to be resigned by the state: "If local officials rule their city or town to ruins, it is better to make them leave than wait until people will lynch them". However, as he added, "even though some of them need to be resigned, none was".
In regards to the budget and tax codices, president noted that discussions are not finished yet. According to his words, it is difficult for government to substitute for the "revenues left out after lowering value-added tax by 2% in 2004 year". "You can see it better at the place", told Putin to the auditory.
He also expressed a hope that the federal government will be receptive to opinions of their local colleagues.