Strasbourg, 25 February 2010                                                              LR-FS(2009)11

                                                                                                                         

EUROPEAN COMMITTEE ON LOCAL AND REGIONAL DEMOCRACY

(CDLR)

COMMITTEE OF EXPERTS ON LOCAL AND REGIONAL

FINANCE AND PUBLIC SERVICES

(LR-FS)

DRAFT MEETING REPORT

10 – 11 December 2009

1.            Opening of the meeting

The LR-FS Committee met in Strasbourg on 10-11 December 2009 with Mr Marc Vanolst (Luxembourg) in the Chair. The list of participants appears at Appendix 1.

2.            Adoption of the Agenda

The agenda as adopted appears at Appendix 2.

3.            Workshop

As agreed at the previous meeting (6-7 april 2009), the LR-FS Committee held a workshop on the afternoon of Thursday 10 December. Two themes were addressed:

1. Economies of scale resulting from increasing the size of local authorities: what evidence?
2. The policy choice between promoting co-operation between or amalgamation (merger) of local authorities

The Committee agreed to examine the two themes together.

The first theme was introduced by Mr Jørgen Lotz (consultant expert, Denmark) who presented the paper he had prepared for the workshop entitled “Economies of scale and municipal amalgamations – a survey with special attention to the Danish experience” (LR-FS(2009)6).

A further introduction to the theme was made by Prof. Linze Schaap (The Netherlands) on the basis of the report “Innovations in sub-national government in Europe – a quick scan” (MCL-16(2009) Inf 2) he had been asked to prepare for the “fire-side chat” ministers responsible for local and regional government had held on the eve of the 16^th session of the Ministerial Conference in Utrecht (16-17 November 2009).

The discussions further drew on the replies that members had supplied to the questionnaire on the policy choice between promoting local co-operation or amalgamation (LR-FS(2009)7) as well as other written contributions, notably:

-              Multi-municipal mergers, Arto Koski (2008) From a skilful implementation to good practices, Acta Publications No.203. The Association of Finnish local and regional authorities. Helsinki (Summary);

-              Reforms to administrative boundaries: the example of the Netherlands, Auke van der Goot (2008);

-              The Hungarian system of local governments, Ministry of Local Government, Hungary (2009);

-              Nut van het instrument van de fusie in het kader van de versterking van de bestuurskracht van de Gemeenten, Hoge Raad voor Binnenlands Bestuur, Vlaanderen (2002);

-              Territorial consolidation reform in Europe, Pawel Swianiewicz (Ed.), Local Government and Public Sector Reform Initiative (2009);

-              Good practices in inter-municipal co-operation in Europe – Report of the CDLR (2008).

Following the in-depth discussion it was suggested that it could be recommended to the CDLR to draw up a document that would bring together in a clearly structured fashion the full range of issues, questions and options that can be identified on the basis of the material and discussion at the workshop. This document could than be the basis for a manual for policy makers and/or could be used to supplement or update Recommendation Rec(2004)12 on the processes of reform of boundaries and/or structure of local and regional authorities.

4.            Implementation of the Utrecht Declaration and Agenda

The impact of the economic crisis on local government

The LR-FS considered the way in which it would advise the CDLR to take forward the activity on the impact of the economic crisis on local government on the basis of document LR-FS(2009)8 and the note prepared by the Secretariat in consultation with the LGI (Local Government Initiative), the CDLR’s partner in preparing the report for the Ministerial Conference.

Prof. Ken Davey presented the proposal for future work which met with the approval of the Committee. It therefore agreed to recommend to the CDLR to take forward the work on this topic accordingly.

Proposals for other activities in the field of local and regional finance and services to implement the Utrecht Agenda

The Committee took note of the Utrecht Agenda that had just been adopted by the Ministerial Conference at its 16^th Session in Utrecht (16-17 November 2009), and particularly of the challenges as they had been prioritised by ministers.

Other than the proposals identified under 3. above further to the workshop, the activity on the impact of the economic crisis on local government and the work on the guidelines for the funding of new local competences (see item 5 below), the Committee recalled that the Forum for the Future of Democracy at its 2008 event in Madrid had suggested that the CDLR could look into the issue of participatory budgeting. Depending on the forms of the activity, the LR-FS could contribute to it.

Members were invited to contact their colleagues who are member of the CDLR in order to contribute to the response to the CDLR questionnaire on proposals for future activities to implement the Utrecht Agenda.

Draft check list for communication

The Committee was presented by Mrs Greta Billing (Norway) with a draft check-list for communication. She had prepared this list in consultation with the Secretariat, further to the adoption by the CDLR of a communication strategy (September 2009). The CDLR’s decision to adopt this strategy was one of the concrete results of the report by Minister Mari Kiviniemi (Finland) on the ways in which the Council of Europe could enhance its work in the field of local and regional democracy.

The Committee agreed that this check-list would be useful when designing new activities and agreed to inform the CDLR accordingly.

5.         Central funding of new competences for local authorities

The Committee examined the text proposals and discussion points for recommendations for the central funding of new competences for local authorities as prepared by the Consultant Expert Mr Jørgen Lotz and contained in document LR-FS(2009)10. Because of lack of time the Committee was not able to complete a full reading. It was therefore agreed that the Consultant Expert and the Secretariat would prepare a revised version taking account of the observations made so far. This revised version is to be sent to members with an invitation to provide further comments in writing, so that a further revised version can be presented to the Committee at its next meeting in June 2010.

6.         Other business

The Secretariat drew the attention of the Committee to the CDLR workshop that was to be held in co-operation with the Icelandic authorities in Reykjavik (Iceland) on "Local authorities' fiscal rules and finances - coordinating central and local economic policy” on 22 January 2010. All members were encouraged to take part in this workshop and to register their participation on the dedicated web-site.

7.         Date of the next meeting

The next meeting will be held in Strasbourg on 28-29 June 2010.

APPENDIX 1

LIST OF PARTICIPANTS

MEMBERS / MEMBRES

CHAIRMAN / PRESIDENT

M. Marc VANOLST, Attaché de Gouvernement, Direction des Finances communales, Ministère de l’Intérieur et de l’Aménagement du Territoire, 19 rue Beaumont, L –  2933 Luxembourg

Tél : (352) 478 4655; Fax : (352) 26 27 05 29 ; E-mail : [email protected]

ALBANIA /ALBANIE

Apologised for absence/ Excusé

AZERBAIJAN / AZERBAÏDJAN

Mr Kamran BAYRAMOV, Senior Adviser of the Department of Legislation and Legal Assessment, Office of President, 19, Istiglaliyyat Str., 1066 BAKU

Tel/Fax: (994 12) 492 53 11; E-mail: [email protected]

BELGIUM / BELGIQUE

Mme Annie BIEFNOT-VANBOTERDAL, Directeur général, Chargée de mission auprès du Gouvernement Wallon, 18/19 Rue de la Seuwe, 7000 MONS

Tél: (32) (0) 65 22 06 84; Fax: (32) (0) 65 22 06 99;

E-mail: [email protected]

Mr Johan IDE, Head of Division, Flemish Agency for Home Affairs, Boudewijnlaan, 30, 1000 BRUSSEL

Tel: (32) 32 2 553 40 03; Fax: (32) 32 2 553 40 02; E-mail: [email protected]

M. Xavier KALBUSCH, Ministerium der Deutschsprachigen Gemeinschaft, Gospert 1, 4700 EUPEN

Tél : (32) (0)87 59 63 00 ; Fax : (32) (0)87 55 28 91 ; E-mail : [email protected]; [email protected]

BULGARIA / BULGARIE

Mrs Julia SPIRIDONOVA, Director of Regional Development and Planning Department, National Centre for Regional Development, 14-16 Alabin Str., 1000 SOFIA

Tel/Fax: +359 2 980 10 84, E-mail: [email protected]

CYPRUS / CHYPRE

Mr Georgios ANTONIADES, Head of Local Administration Directorate, Ministry of the Interior, NICOSIA

Tel: (357) 22 867 673; Fax: (357) 22 867 654; E-mail: [email protected]

DENMARK / DANEMARK

Mr Nils Majgaard JENSEN, Senior adviser, Ministry of the Interior and Social Affairs, Holmens Kanal 22, DK - 1060 COPENHAGEN K

Tel: (45) 33 95 50 13; E-mail: [email protected]

FINLAND / FINLANDE

Mr Markku MÖLLÄRI, Senior Officer, Department for Municipal Affairs, Ministry of Finance, PO Box 28, FIN – 00023 GOVERNMENT

Tel: (358) 9 160 32210; Fax: (358) 9 160 32230; E-mail: [email protected]

GERMANY / ALLEMAGNE

Mr Uwe BEHRENS, Federal Ministry of the Interior, Department for policy issues, Europe and international developments, Division GI4, Alt-Moabit 101 D, 10559 Berlin

Tel: +49 (0)30 / 18 681 – 2153; Fax:+49 (0)30 / 18 681 - 5 2153

E-mail: [email protected]

GREECE / GRECE

Mr Grigorios GEORGANES-KLABATSEAS, Administrative Official, Directorate for the Organisation and Functioning of Local Authorities, Ministry of the Interior, 27 Stadiou Str., GR - 10183 ATHENS

E-mail : [email protected] / [email protected]

Mrs Dionysia POLIGENI, Directorate for the economic issues of Local Government Organisations, Ministry of the Interior, 27 Stadiou Str., GR - 10183 ATHENS

E-mail: [email protected] / [email protected]

HUNGARY / HONGRIE

Dr Judit HARASZTI, Senior Councillor, Ministry of Local Government, Jøzsef Attila St. 2-4, P.O.B. 314/9, H - 1051 BUDAPEST

E-mail: [email protected]

ITALY / ITALIE

Apologised for absence/ Excusé

NETHERLANDS / PAYS-BAS

Mr Thomas ZANDSTRA, Senior Adviser, Governance and Europe Division, Directorate-General for Governance, Ministry of the Interior and Kingdom Relations, P.O.Box 20011, NL - 2500 EA THE HAGUE

Tel : (31) 70 426 7704; Fax : (31) 70 426 7655 ; E-mail: [email protected]

Mr Auke van der GOOT, Senior Adviser, Europe and Local and Regional Governance Unit, Directorate-General for Governance and Kingdom Relations, Ministry of the Interior and Kingdom Relations, P.O Box 20011, NL - 2500 EA THE HAGUE

Tel: (31) 70 426 7386; Fax: (31) 70 426 7655; E-mail: [email protected]

Mr Henk SATTER, Directorate General for Governance and Kingdom Relations, Ministry of the Interior and Kingdom Relations, P.O. Box 20011, 2500 EA DEN HAAG

Tel: 31 70 426 6581; Fax: 31 70 426 7655; E-mail: [email protected]

NORWAY / NORVEGE

Mrs Greta BILLING, Deputy Director General, Department of Local Government, The Royal Ministry of Local Government and Regional Development, Postbox 8112 DEP, N - 0032 OSLO

Tel: (47) 22 24 72 14; Mobile: (47) 92 61 37 27; Fax: (47) 22 24 27 35;

E-mail: [email protected]

Mr Arild KORMESETH, Department of Local Government, The Royal Ministry of Local Government and Regional Development, Postbox 8112 DEP, N - 0032 OSLO

Tel: (47) 22 24 72 14; Fax: (47) 22 24 27 35; E-mail: [email protected]

Ms Kjersti BARSOK, Senior Executive Officer, Department of Local Government, The Royal Ministry of Local Government and Regional Development, Postbox 8112 DEP, N - 0032 OSLO

Tel: (47) 22 24 72 11; Fax: (47) 22 24 27 35; E-mail: [email protected]

PORTUGAL

Mr Rui Pedro Viveiros Pereira DIAS, Direction Générale des Collectivités Locales, Rua José Estevão, 137-7°, P – 1169-058 LISBOA

Tel : (351) 213 133 000; E-mail: [email protected]

ROMANIA / ROUMANIE

Apologised for absence/ Excusé

RUSSIAN FEDERATION / FEDERATION DE RUSSIE

Mrs Elena KOPNINA, Ministry of Foreign Affairs of the Russian Federation, MOSCOW

Tel: (7) 499 244 10 15; E-mail: [email protected]

SLOVENIA / SLOVENIE

Apologised for absence/ Excusé

SWEDEN / SUEDE

Ms Eva EKLUND, Local Government of Finance Division, Ministry of Finance, SE-103 33 STOCKHOLM

Tel: + 468 405 31 58; Fax: + 468 20 61 96; E-mail: [email protected]

TURKEY / TURQUIE

Mr Ilker HAKTANKAÇMAZ, Chief of EU and International Funds Section, Ministry of the Interior, Içişleri Bakanliği, Devlet Mahallesi, Inönü Bulvari No. 4, Bakanliklar 06644 ANKARA

Tel: (90) 312 425 72 14; Fax: (90) 312 418 90 11;

E-mail: [email protected]

UNITED KINGDOM / ROYAUME-UNI

Mr Paul ROWSELL, Deputy Director, Local Democracy, Department for Communities and Local Government, 3/J1, Eland House, Bressenden Place, LONDON SW1E 5DU, GB

Tel: (44) 303 44 42568; Fax: (44) 20 7944 4109;

E-mail: [email protected]

PARTICIPANTS / PARTICIPANTS

CONGRESS OF LOCAL AND REGIONAL AUTHORITIES OF THE COUNCIL OF EUROPE / CONGRES DES POUVOIRS LOCAUX ET REGIONAUX DU CONSEIL DE L’EUROPE

Mrs Lilit NIKOGHOSYAN,  Co-Secretary of the Institutional Committee / Co-Secrétaire de la Commission institutionnelle

Tel: (33) 3.88.41.35.04; Fax: (33) 3.88.41.27.51;  E-mail: [email protected]

CONFERENCE OF INGOS OF THE COUNCIL OF EUROPE / CONFERENCE DES OING DU CONSEIL DE L’EUROPE

M. Rémy BERTHIER, 2 rue des marronniers, 67310 Wasselonne, France

Tél : 06 30 52 34 53 ; E-mail: [email protected]

OBSERVER / OBSERVATEUR

COUNCIL OF EUROPEAN MUNICIPALITIES AND REGIONS (CEMR) / CONSEIL DES COMMUNES ET REGIONS D’EUROPE (CCRE)

Apologised for absence/ Excusé

OTHER PARTICIPANT / AUTRE PARTICIPANT

EUROPEAN COMMISSION / COMMISSION EUROPEENNE

Apologised for absence/ Excusé

HOLY-SEE / SAINT-SIEGE

Apologised for absence/ Excusé

EXPERT-CONSULTANTS / CONSULTANT-EXPERTS

Professor Jørgen LOTZ, Sonderengen 66, 2870 DYSSEGAARD, Denmark

Tel : (45) 33 92 26 68 ; E-mail: [email protected]

OTHER / AUTRE

Prof. Ken DAVEY, Local Government and Public Service Reform Initiative (LGI), Haymesbrook - Haymes Drive, Cleeve Hill – Cheltenham GL52 3QQ, UK

Tel : +44 (0) 124 25 26 232; E-Mail: [email protected]

Mr Prof Linze SCHAAP, Associate Professor, Tilburg School for Politics and Public Administration, Tilburg University, P.O. Box 90153, NL - 5000 LE TILBURG

Tel : (31) 13 466 8195; E-mail: [email protected]

SECRETARIAT

Mr Alfonso ZARDI, Head of the Department of Local and Regional Democracy and Good Governance / Chef du Service de la démocratie locale et régionale et de la bonne gouvernance - Directorate of Democratic Institutions/ Direction des institutions démocratiques, Directorate General of Democracy and Political Affairs / Direction générale de la démocratie et des affaires politiques

Tel : +33 (0)3 88 41 39 06; Fax : +33 (0)3 88 41 27 84; E-mail : [email protected]

Mr Frank STEKETEE, Administrator / Administrateur – Directorate of Democratic Institutions/ Direction des institutions démocratiques, Directorate General of Democracy and Political Affairs / Direction générale de la démocratie et des affaires politiques

Tel: +33 (0)3 88 41 39 61; Fax: +33 (0)3 88 41 27 84; E-mail: [email protected]

Mrs Gabriela MATEI, Division of Programmes for Democratic Stability / Division des Programmes pour la Stabilité démocratique – Directorate of Democratic Institutions/ Direction des institutions démocratiques, Directorate General of Democracy and Political Affairs / Direction générale de la démocratie et des affaires politiques

Tel: (33) 3 88 41 54 73; Fax: (33) 3 88 41 27 84; E-mail: [email protected]

APPENDIX 2

                                                                    AGENDA

                                                                          

1.	Opening of the meeting
2.	Adoption of the agenda	[LR-FS(2009)OJ2 rev.]
3.	Workshop Theme 1: Economies of scale resulting from increasing the size of local authorities: what evidence? Innovations in sub-national government in Europe Theme 2: The policy choice between promoting co-operation between or amalgamation (merger) of local authorities Good practices in intermunicipal co-operation in Europe	[LR-FS(2009)6] [MCL-16(2009)Inf 2] [LR-FS(2009)7]
4.	Implementation of the Utrecht Declaration and Agenda -      The impact of the economic crisis on local government -      Proposals for other activities in the field of local and regional finance and services to implement the Utrecht Agenda	[LR-FS(2009)8] [LR-FS(2009)9]
5.	Central funding of new competences for local authorities -      Discussion paper prepared by the consultant-expert, Prof. Jørgen Lotz	[LR-FS(2009)10]
6.	Other business
7.	Date of the next meeting