We develop an approach that allows to construct semiorthogonal decompositions of derived categories of surfaces with cyclic quotient singularities whose components are equivalent to derived categories of local finite dimensional algebras.We first explain how to induce a semiorthogonal decomposition of a surface X with rational singularities from a semiorthogonal decomposition of its resolution. In the case when X has cyclic quotient singularities, we introduce the condition of adherence for the components of the semiorthogonal decomposition of the resolution that allows to identify the components of the induced decomposition with derived categories of local finite dimensional algebras. Further, we present an obstruction in the Brauer group of X to the existence of such semiorthogonal decomposition, and show that in the presence of the obstruction a suitable modification of the adherence condition gives a semiorthogonal decomposition of the twisted derived category of X.We illustrate the theory by exhibiting a semiorthogonal decomposition for the untwisted or twisted derived category of any normal projective toric surface depending on whether its Weil divisor class group is torsion-free or not. For weighted projective planes we compute the generators of the components explicitly and relate our results to the results of Kawamata based on iterated extensions of reflexive sheaves of rank 1. JOSEPH KARMAZYN, ALEXANDER KUZNETSOV, EVGENY SHINDER 4.3. Explicit identification of the Brauer group 35 4.4. Resolutions of twisted derived categories 36 4.5. Grothendieck groups of twisted derived categories 38 4.6. Semiorthogonal decompositions of twisted derived categories 41 5. Application to toric surfaces 42 5.1. Notation 43 5.2. The Brauer group of toric surfaces 43 5.3. Minimal resolution 45 5.4. Adherent exceptional collections 46 5.5. Special Brauer classes 48 6. Reflexive sheaves 49 6.1. Criteria of reflexivity and purity 50 6.2. Extension of reflexive rank 1 sheaves 52 6.3. Toric case 54 Appendix A. Semiorthogonal decomposition of perfect complexes 56 References 59 no. 4, 583-598.