Developing New Rules in the Old Environment
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Developing New Rules in the Old Environment Edited by Igor Munteanu and Victor Popa Local Government and Public Service Reform Initiative DEVELOPING NEW RULES IN THE OLD ENVIRONMENT L OCAL GOVERNMENT AND PUBLIC SERVICE REFORM INITIATIVE O PEN SOCIETY INSTITUTE Address Nádor utca 11. H–1051 Budapest, Hungary Mailing address P.O. Box 519 H–1357 Budapest, Hungary Telephone (36-1) 327-3104 Fax (36-1) 327-3105 E-mail [email protected] Web Site http://lgi.osi.hu ISSN: 963 7316 72 8 ö ISBN: 963 0049 89 9 The collection of country information was completed in February 2001. © OSI/LGI, 2001 All rights reserved. Copies of the book can be ordered by e-mail or post of OSI. Printed in Budapest, Hungary, February 2002. Design & Layout by Createch Ltd. 2 LOCAL GOVERNMENTS IN EASTERN EUROPE, IN THE CAUCASUS AND IN CENTRAL ASIA LOCAL GOVERNMENT AND PUBLIC SERVICE REFORM INITIATIVE Local Government and Public Service Reform Initiative Local Government and Public Service Reform Initiative (LGI), as one of the programs of the Open Society Institute (OSI), is an international development and grant-giving organization dedicated to the support of good governance in the countries of Central and Eastern Europe (CEE) and the Newly Independent States (NIS). LGI seeks to fulfill its mission through the initiation of research and support of development and operational activities in the fields of decentralization, public policy formation and the reform of public administration. With projects running in countries covering the region between the Czech Republic and Mongolia, LGI seeks to achieve its objectives through: • development of sustainable regional networks of institutions and professionals engaged in policy analysis, reform-oriented training and advocacy; • support and dissemination of in-depth comparative and regionally applicable policy studies tackling local government issues; • support of country-specific projects and delivery of technical assistance to the implementa- tion agencies; • assistance to Soros foundations with the development of local government, public administration and/or public policy programs in their countries of the region; • publication of books, studies and discussion papers dealing with the issues of decentraliza- tion, public administration, good governance, public policy and lessons learned from the process of transition in these areas; • development of curricula and organization of training programs dealing with specific local government issues; • support of policy centers and think tanks in the region. Apart from its own projects, LGI works closely with a number of other international organizations (Council of Europe, Department for International Development, USAID, UNDP and the World Bank) and co-funds larger regional initiatives aimed at the support of reforms on the subnational level. Local Government Information Network (LOGIN) and Fiscal Decentralization Initiatives (FDI) are two main examples of this cooperation. For additional information or specific publications, please contact: LOCAL GOVERNMENT AND PUBLIC SERVICE REFORM INITIATIVE P.O. Box 519, H–1397 Budapest, Hungary Phone: (36-1) 327-3104; Fax: (36-1) 327-3105 E-mail: [email protected]; Web Site: http://lgi.osi.hu 3 DEVELOPING NEW RULES IN THE OLD ENVIRONMENT 4 LOCAL GOVERNMENTS IN EASTERN EUROPE, IN THE CAUCASUS AND IN CENTRAL ASIA CONTENTS Contents List of Tables and Figures ................................................. 7 Foreword ........................................................................17 1. Local Government Reforms in the FSU: between Hope and Change ......................................19 Victor Popa, Igor Munteanu 2. Local Government in Belarus ....................................45 Miroslav Kobasa, Alexander Karamyshev, Valentin Dritz 3. Local Government in Ukraine ............................... 109 Yury Navruzov 4. Local Government in the Russian Federation ......... 161 Galina Kourliandskaia, Yelena Nikolayenko, Natalia Golovanova 5. Local Government in Georgia ................................ 265 David Losaberidze, Konstantine Kandelaki, Niko Orvelashvili 6. Local Government in Armenia ............................... 323 David Tumanyan 7. Local Government in Azerbaijan ............................ 371 Meriban Mamedova, Hasanov Hafiz Bashir ogly, Bairamov Abil Nazir ogly, Huseinov Mirali Asad ogly 8. Local Government in Kazakhstan .......................... 403 Meruert Makhmutova 9. Local Government in Uzbekistan .......................... 469 Kuatbay Bektemirov, Eduard Rahimov 5 DEVELOPING NEW RULES IN THE OLD ENVIRONMENT 10. Local Government in the Kyrgyz Republic ............ 521 Emil Alymkulov, Marat Kulatov 11. Local Government in Tajikistan ............................. 601 Mamadsho Ilolov, Mirodasen Khudoiyev Contributors ................................................................ 649 6 LOCAL GOVERNMENTS IN EASTERN EUROPE, IN THE CAUCASUS AND IN CENTRAL ASIA LIST OF TABLES AND FIGURES List of Tables and Figures Tables CHAPTER 1 Table 1.1: The Situation of Mayors in the CIS ................................................. 34 Table 1.2: The Statute on Local Government Employees ................................. 35 Table 1.3: Relative Size of Central and Local Government Expenditures........... 37 Table 1.4: Share of State and Regional Transfers in Local Budgets ..................... 38 CHAPTER 2 Table 2.1: Community Organizations of Self-government by Region ............... 58 Table 2.2: Degree of Public Trust in Institutions of Government and Society.... 61 Table 2.3: Local Election Results for the 23rd Convocation (4–16 April 1999) .......................................................................... 67 Table 2.4: Relative Size of Central and Local Expenditures, 1996–1999 .......... 82 Table 2.5: Local Budget Revenues, 1997–1999 .............................................. 84 Table 2.6: Local Budget Expenditures, 1997–1999 ........................................ 85 Table 2A.1: Settlements by Population Size Categories in Belarus (1 January 1999) ..........................................................100 Table 2A.2: Municipalities by Population Size Categories in Belarus .................100 Table 2A.3: Administrative-territorial Structure in Belarus .................................101 Table 2A.4: Specific Functions of Government Tiers in Belarus ........................106 CHAPTER 3 Table 3.1: Political Parties in the Verkhovna Rada of Ukraine ..........................125 Table 3.2: Size of Local Councils According to Population Size .......................126 Table 3.3: Local Government Responsibilities in Public Service Delivery.........128 Table 3.4: Local Revenues and Expenditures..................................................132 7 DEVELOPING NEW RULES IN THE OLD ENVIRONMENT Table 3.5: Structure of Subnational Local Budget Revenues ...........................134 Table 3.6: Structure of Local Budget Revenues Excluding State Transfers .......135 Table 3.7: Structure of Local Budget Expenditures by Type of Local Government, 1997 .............................................136 Table 3.8: Structure of Local Budget Expenditures ........................................137 Table 3A.1: Population in Ukraine by Place of Residence and Gender, 1989–1999..............................................................147 Table 3A.2: Population in Ukraine by Age and Place of Residence, 1999 ..........148 Table 3A.3: Major Social and Economic Indicators ...........................................149 Table 3A.4: State and State-guaranteed Foreign Debt .......................................149 Table 3A.5: Consumer Price Index ...................................................................150 Table 3A.6: Number of Administrative-territorial Units by Region ....................151 Table 3A.7: Number of Government Employees Paid from the State Budget, 1994–1999.......................................152 Table 3A.8: Specific Functions of Government Tiers in Ukraine .......................155 CHAPTER 4 Table 4A.1: Main Social and Economic Indicators of Russian Regions ...............224 Table 4A.2: Major Ethnic Groups in Russian Regions, 1989 ............................231 Table 4A.3: Territorial Units and Municipalities in the Russian Federation at Sub-regional Levels ............................236 Table 4A.4: Settlements by Population Size Categories in Russia .......................244 Table 4A.5: Specific Functions of Local Government Tiers in Russia .................250 Table 4A.6: Decentralization of Public Services: Regional and Local Proportion of Total Sub-national Expenditures on Four Major Functions, 1999 ...............................253 Table 4A.7: Federal, Regional and Local Shares of Total Budget Expenditures, 1999..............................................257 Table 4A.8: Structure of Local Government Revenues in the Russian Federation, 1999 ....................................................257 Table 4A.9: Sources of Local Government Revenues, 1997–1999 ....................258 8 LOCAL GOVERNMENTS IN EASTERN EUROPE, IN THE CAUCASUS AND IN CENTRAL ASIA LIST OF TABLES AND FIGURES Table 4A.10: Structure of Local Government Expenditures by Function and Type of Settlement, 1998 and 1999 .................259 Table 4A.11: Own Revenue Sources of Local Governments, 2000 ................... 260 CHAPTER 5 Table 5.1: Number of Local Council Members According to Population Size .......................................................276 Table 5.2: Local Election Results in 1998 ....................................................279