Municipalities join efforts to provide better services

The Cabinet of Ministers on Oct. 30, 2013, approved the draft Law of Ukraine "On cooperation of local communities" (prepared by Ministry of Regional Development, Construction, and Housing-Communal Services of Ukraine), which will continue the transfer of central power authorities to local executive bodies carried out by the government. The document sets a legal platform for development of direct cooperation and interaction between the local government bodies, the Information-Analytical Bulletin of the Cabinet of Ministers of Ukraine informs.

Preparation of the bill is caused by the need to establish a legislative base for pooling the resources of local government bodies, more efficient solution of local problems, improved quality of rendering public services, and establishment of joint municipal infrastructure for several local communities. The document was prepared in the framework of National Economic Reform Program for 2010-2014 "Prosperous Society, Competitive Economy, Effective State."

According to experts, the more citizens use certain municipal services, the lower are their costs. In small regional communities, the cost of administrative service is usually very high  just because it is used by not so many people. If certain administrative services are provided by two or more municipalities, users of this service will grow in number. Budgetary costs for its rendering will be reduced accordingly.

For Ukraine, the need to join the efforts of local authorities is particularly relevant, as most of local communities in rural areas are financially unable to provide high-quality services to citizens. More than 70% of 5,419 local budgets in Ukraine are subsidized, and 483 territorial communities are supported by state budget by 90%, note the government analysts.

In the European Union, cooperation between territorial communities is very common, especially, in France and Italy. In some countries, they even have legal requirements, e.g., waste management, water supply, transport, and economic development shall be provided exactly in a format of inter-municipal cooperation.

International practice also shows that, most often, such pooling of local community resources means preparation of joint strategy for development, planning, transport, road infrastructure (including construction of roads), and development of public infrastructure  primarily aimed at provision of water supply, collection, and disposal of solid waste.