The Democratic Party of Korea and the government discussed revisions to the proposed 162.3 trillion-won Future Response Fund after local governments warned that its financing method could reduce their fiscal autonomy. The government plans to deduct the fund’s allocation from domestic taxes before applying the 19.24% local share tax rate, lowering next year’s fixed-rate allocation by about 30.5 trillion won compared with the existing formula. That figure does not represent a 30.5 trillion-won year-on-year decline in total local share tax, because domestic tax revenue is expected to rise; it represents growth that would otherwise have flowed automatically to local governments. Regional leaders said general local share tax revenue can be deployed flexibly, while Future Response Fund money would be tied to centrally defined projects. The government said local support would not weaken and outlined local accounts, expanded autonomous grants and preferential fiscal projects, but the meeting produced no final agreement. Legal amendments and further National Assembly budget reviews will address the fund’s revenue allocation, local guarantees, financial burdens and a possible adjustment to the 19.24% rate.