Local Self- Government in Hungary

Republic of Hungary Capital-city: Capital-city: Budapest Government: Government: parliamentary republic Neighbouring countries: Neighbouring countries: Slovakia, Ukraine, Romania, Serbia, Croatia, Slovenia, Austria Area: Area: km 2 Population: Population: 10 million inhabitants

Local Government System A two-tier system: Communes 19 Counties + the capital-city with a special status Major acts of parliament dedicated to local government: 1949 Constitution (article 20) 1990 Act on Local Self-Government

Local authorities Level of Local Government OrganDescription Communes 22 Cities with county status 19 county-towns and 3 other cities Manage tasks of both commune and county Entitled to create districts within their area Own deliberative assembly 3231 towns and villagesThe deliberative assembly is elected for a 4-year term The mayor is directly elected for a 4-year term (S)he adopts deliberations on local government management, local government organization and local administration structure for the communes City of Budapest (special status) Counties 19 countiesThe County Assembly (deliberative body) is directly elected for a 4-year term under a proportional representation system. The President (executive) is elected by the County Assembly for a 4-year term

The capital-city of Budapest A special legal status with a two-tier system: –23 districts  each one follows the municipal model The Deliberative Power The Deliberative Power : - a general assembly  88 members are directly elected for a 4-year term The Executive Power : - the General Mayor is directly elected for a 4-year term

Internal political structure Local Council Local Council  the deliberative organ issues decrees Committees Committees  delegated tasks from the local assembly; they prepare decisions, organize and oversee implementation Mayor Mayor  the political and administrative head of local government office; he/she represents the assembly; is responsible for implementing local policies Vice-mayor(s) Vice-mayor(s)  perform their duties under the mayor’s control Local Councillors Local Councillors  assess the discharge of self- government duties that are determined by the local assembly

Internal political structure + The Mayor and the Chief Executive: both manage local government departments  the mayor runs them in accordance with decisions made by the council, whilst the chief executive heads local government staff The mayor represents the political side of local government, whilst the chief executive represents proficiency and permanence in public administration The chief executive is appointed by the local council for an undetermined period; candidates must have the qualifications that are required by law

Local authorities’ responsibilities Mandatory responsibilities First category: Defined by 1990 Act on Local Government Same in each commune e.g. drinking water purification, health care and welfare system, public lightning Second category: Can only be enacted if any specific law determines and guarantees the needed financial means Optional responsibilities Implemented upon the local council’s decision or a local referendum Based on the local community’s requirements and depend on financial means e.g. public safety, employment incentives, support for scientific, artistic and sport activities I. Communes:

Local authorities’ responsibilities II) Counties: Either mandatory or optional responsibilities Counties enact responsibilities that municipal councils are not obliged to implement; these responsibilities are not determined by governmental statutes A less important role  the main duty is to maintain bodies that provide public services III) The Capital-city: District councils fulfil the duties of municipal authorities The council of the capital-city enacts responsibilities that deal with the whole city or more than one district

Financial means – Local revenues Four categories: 1.Own revenues: 1.Own revenues: local taxes are determined and imposed by municipal councils 2.Shared revenues: 2.Shared revenues: a portion of national taxes is annually determined by Parliament and devolved to local authorities 3.Mandatory grants from the national budget: 3.Mandatory grants from the national budget: are determined by Parliament in proportion to demographic characteristics of each commune 4.Capital investment financing: 4.Capital investment financing: targeted grants, deficit financing

Financial means – Local expenditure They are exceptionally high due to the number of local responsibilities especially in the social policy sector Local expenditure include: 1.Staff expenditures 2.Employers’ contributions 3.Material expenditures