Federalism and Local Politics in Russia

278 Vertical or triangle?Given that the progress of Law 131 from its genesis in early 2002 through toits adoption in October 2003, with amendments beginning almost immediately(and becoming a regular feature as the implementation of the reformprogressed), straddled most of the electoral cycle, right up to the presidentialelection of 2004, it should be possible to test this hypothesis regarding whetherthe evolution of the law became more pro-regional as the electionapproached. Some commentators saw this effect at work as the draft law wasbeing finalized in late 2002.Why make people angry before an election? The fate of Dmitry Kozak’smunicipal reform is a very convincing example – first the reform wascarried out fast enough, however of late its tempo has considerablyslowed down. At present there are numerable consultations with regionalleaders. 57This comment was proved wrong regarding tempo, but there did seem to bea perceptible change in the style with which the reform was approached aftermid-2002. In early 2002 the rhetoric was very strongly in favour of localgovernment as a constitutional principle that was being denied by a substantialproportion of the Subjects of the Federation. 58 The impression wasvery much of a joint campaign by an alliance of the PresidentialAdministration (or rather a section of it – and not including the legal division)and the Congress of Municipalities, with the aim of promoting localgovernment and containing the power of regions to interfere with localauthorities. As a member of the working group on Law 131 put it,Municipalities will have fewer powers of their own than with the existing(1995) law – under which they already have more than in Europe.Delegated powers will be increased – so they will have more poweroverall. Small municipalities will lose those that they cannot deliver.However, it is hard to imagine greater dependence on the regional level thanat present. We have tried to remove any dependence on the regional levelaltogether … We can judge by the reaction of the regions. They’re not happy,so therefore what we’re doing must be right. Yes, they will be distributingmore money, but they will be having to do it according to new rules. 59However, by the autumn of 2002 there were signs of strain in this alliance.On a number of issues the Commission appeared to have different viewsfrom some of those (though not all) in the Congress who had previouslysupported the reform wholeheartedly. By June 2003, when Vladimir Putinattended the annual conference of the Congress of Municipalities, there wasno disguising the discontent of municipal leaders including leaders of theCongress and the project of building up local government as a counterweightto regional government seemed to have fallen into at best a reserve option(though clearly retained, as described above).