Abstract

The state recognizes and respects customary law community units that still live in society. In Law Number 23 of 2014 concerning Regional Government (hereinafter abbreviated as the Regional Government Law) it is emphasized that Regional Governments in the administration of government affairs have a relationship between the Central Government and other Regional Governments. Village Administration, hereinafter referred to as Nagari Government, is the administration of government affairs and the interests of the local community in the government system of the Unitary State of the Republic of Indonesia. Nagari is the smallest administrative division of the Province in West Sumatra. One form of village development policy is the existence of Nagari-Owned Enterprises (BUMNag) applicable in West Sumatra Province. As mandated in Law Number 6 of 2014 concerning Villages, Article 87 paragraph (1) states "Villages can establish Village-Owned Enterprises, hereinafter referred to as BUM Desa". . ). One of the BUMNag that was established was the Salayo BUMNag. The existence of this BUMNag is expected to become an organization that can be used as a pioneer in generating economic power in the Selayo village and in Solok Regency, the BUMNag located in Nagari Selayo, there are deviations from the laws and regulations including not having a work plan, the revenue budget is not written down, supervision is not functioning, there are no regular meetings.

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