Adaptive Integrated Revenue Governance for Strengthening Regional Fiscal Independence: A Comparative Study

Regional fiscal independence remains a challenge under Indonesia’s fiscal decentralization, particularly because Local Own-Source Revenue (PAD) management is often examined through separate dimensions such as taxation, digitalization, or administrative performance. This study aims to compare PAD management in Bandung Regency and West Bandung Regency and develop an integrated governance model based on comparative empirical evidence. A qualitative comparative case study was conducted using interviews with key informants, field observations, and document analysis. Data were analyzed through the interactive model of Miles, Huberman, and Saldaña, followed by cross-case analysis to identify common patterns, institutional differences, and mechanisms influencing PAD management. The findings reveal substantial differences between the two regencies. Bandung Regency demonstrates relatively stronger institutional governance, integrated digital tax administration, inter-agency coordination, and organizational capacity. West Bandung Regency has improved its revenue administration but continues to face constraints in operational human resources, taxpayer database completeness, geographical service coverage, digital literacy, and taxpayer adoption. Cross-case analysis indicates that organizational governance functions as a central mechanism connecting digital administration, human resource capacity, inter-agency coordination, and taxpayer participation. Based on these empirical relationships, the study proposes the Adaptive Integrated Revenue Governance (AIRG) Model, consisting of five interconnected dimensions: Input, Process, Supporting System, Output, and Outcome, reinforced by a continuous feedback mechanism. Its distinctive contribution is the conceptualization of PAD optimization as an adaptive governance process in which institutional capacity, digital systems, coordination, stakeholder participation, and organizational learning interact rather than operate as isolated components. The model provides an analytically transferable framework for strengthening integrated PAD governance and regional fiscal independence, while requiring further empirical testing in other local government contexts.