GOLD Report I - UCLG

EURASIA108United Cities and Local GovernmentsIn Russia and mostof the Europeanpart of theregion,main localgovernmentfunctions areeducation, publichealth, socialsecurity, culture,local economy,sport and physicaltraining and youthpolicy. In most ofCentral Asia, suchfunctions areexercised by stateexecutive entitiesintegrated in ahierarchicallycentralized systemthe countries of the region, economic indicatorsare volatile; important differences interms of GDP, and percentage of GDP mayoccur from one year to the next. Furthermore,changes in proportions may have differentmeanings, depending on othercharacteristics of the situation. For example,a diminution of the share of local governmentexpenditure may be due to the centralizationof expenditure, or to a sharpincrease of GDP caused, for example, by anincrease in oil prices.Functions. The functions of local authoritiesare not clearly defined by law. Suchambiguity is explained primarily by anongoing process of redistribution of powersamong different levels of government.Nevertheless, it is possible to distinguishseveral models of function allocation.Main functions. The main functions of localself-government in Russia and Armeniaare to: provide participation of the populationin local matters, ensure effectivedevelopment of territories, provide publicservices, represent and protect the rightsand interests of local self-government,manage municipal property and finances,protect public order and organize publictransportation.In Russia, in the course of the reform oflocal self-government, the functions ofmunicipal units were enlarged, thus limitingregulation by subjects of the Federation.The law has reshaped the functions ofmunicipal units, taking into account theirnature and status. Law has also prescribedmore clearly the economic basis of localself-government and specified the responsibilitiesof bodies and officials. Further, thelaw has introduced new schemes of economicinter-municipal cooperation and regulatedmore precisely the procedures fortransferring certain state functions to localself-government. Today, the main responsibilitiesof local self-government are education,public health, social security,culture, local economy, sport and physicaltraining and youth policy.The same functions are transferred to thelocal level in several other states of theregion. For instance, in Ukraine, healthservices, education and social protectionrepresent more than 80% of local publicexpenditures. Furthermore, Ukrainian localauthorities manage communal propertyand local finances, ensure development ofappropriate territories, provide services tothe population, ensure participation of thepopulation in civic life, and protect publicorder.In the majority of the states of CentralAsia, such functions are exercised by stateexecutive entities integrated in a hierarchicallycentralized system. Accordingly, statefunctions are distributed between differentlevels of the vertical structure. Regulatoryfunctions belong to central administrations.The execution of laws is reserved forlocal authorities. As an example, inKazakhstan the role of local government inhealth care and social aid remains significant.Kazakhstan local government expendituresin 2004 were: administrativefunctions 4%, defense 2%, police 4%,education 31%, health care 20%, socialaid 7%, local economy 12%, transportation6% and 14% for other lesser functions.In Uzbekistan, regional and citybudgets represent 64.4% of all socialspending, including 69.6% of all spendingon education and 61.4% of all healthcarespending.III.2. Main trends in selected competencesPlanning. Planning is an important endeavorin all the states of the region. In Russia,it serves as a basis for federal, regionaland municipal programs aimed at thedevelopment of municipal units. Instead ofthe former strictly centralized methods ofgovernance that were characteristic of theSoviet period, Armenia and Russia applynew approaches to planning that excludeadministrative mandates. The states ofCentral Asia retain, as a rule, centralizedsystems of planning for economic and socialdevelopment.