1. HL Project’s Results and pilot implementations in the Pskov Region Marina Makhotaeva Pskov State Polytechnic Institute Project part-financed by the European Union

2. The Pskov Region  The Pskov region is located in the north-west of the Russian Federation. It covers about 55,4 ths. sq. km.  The Pskov region borders the Novgorod, Leningrad, Tver and Smolensk Regions and shares an external border with Estonia (270 km.), Latvia (214 km.) and Belarus (305 km. long).  The population of Pskov Region is about 700 thousand people.  There are 2 big cities in the region: Pskov (200,000 people) and Velikie Luki (100,000 people).

3. Pilot territories 3 HL territories were singled out as pilot ones in the Pskov Region. They are the main actors in the project: Vasilievskaya Volost’ (the Palkino Municipal District); Gavrovskaya Volost’ (the Pytalovo Municipal District); Pogranichnaya Volost’ (the Krasnogorodsk Municipal District).

4. Project’s Partners Regional institutions so far involved in the project are: The Pskov Region Administration (The Committee for Development of Local Self-Government); The Centre on Sustainable Development of the Pskov Region; Pskov State Polytechnic Institute

5. Operating Hinterland-Vorderland partnerships/networks: Within the project the partnership between regional and local actors of the project can be considered as HL-VL networks: The Pskov Region Administration, The Committee for Development of Local Self-Government, The Centre on Sustainable Development of the Pskov region, Pskov State Polytechnic Institute, Pytalovskiy District Administration, Krasnogorodskiy District Administration, Palkinskiy District (V) - Vasilievskaya Volost', Gavrovskaya Volost’, Pogranichnaya Volost’ (H)

6. Main Activities and Objectives achieved so far (1): Data on social and economic development of pilot areas is collected and analyzed; HL typology is worked, revised and applied; Key development priorities are singled out; Major pilots’ potentials are studied; Foresight scenarios worked out; Strategies are worked out; HL projects are drafted;

7. 10 meetings of the representatives of Pskov State Polytechnic Institute with Pskov Region Administration, a project partner and coordinator; Regular meetings and information exchange at the Pskov Region Administration, Pskov State Polytechnic Institute and pilot territories on the results of the decline surveys and their interpretation; Scientific and practical conference «Strategic planning and development sources of municipal institutions» is held (21- 22 December 2006); Main Activities and Objectives achieved so far (2):

8. 45 participants from Pskov Region (including participants from 3 pilot territories), Pskov Region Administration, Pskov State Polytechnic Institute, the Ministry of Economic Development and Trade of Russia, Russian scientific centre on state and municipal management, Saint- Petersburg Academy of Management and Economics The following questions were discussed at the event:  Federal policy in strategic planning in regions and municipalities of Russia  Strategic planning in municipalities in new legal conditions  Innovative resources in strategic development of settlings  Municipalities’ cooperation as an instrument of strategic development As the result, drafts of the development strategies of the pilots were worked out during the conference. Scientific and practical conference «Strategic planning and development sources of municipal institutions» (Pskov, 21-22 December 2006)

9. 3 HL study visits; 3 expert meeting; 3 HL-VL meetings; Participation in 6 Hinterland Forums; Newsletters are prepared and published (1000 copies in Russian and English ); Information on the project is disseminated through TV, radio, Internet etc. Main Activities and Objectives achieved so far (3):

10. Rural municipality “Pogranichnaya volost” Negative tendencies: High decline in population (by 17% for 4 years) Increase in number of the unemployed (the number of registered unemployed comprise 30.6% of the number of economically active population) Low level of development of social sphere (there is only 1 school with 70 students, 4 clubs and 2 medical points for 29 villages)

11. Rural municipality “Gavrovskaya volost” Negative tendencies: Decrease in population (by 3.8% for 4 years) Increase in number of the unemployed (the number of registered unemployed comprise 26.8% of the number of economically active population) Relatively low level of development of social sphere (there are 2 schools with 170 students, 2 clubs, 2 medical points with only 7 persons of personnel and 1 bank department for 63 villages)

12. Rural municipality “Vasilievskaya volost” Negative tendencies: Decrease in population (by 6.6% for 4 years) Increase in number of the unemployed (the number of registered unemployed comprise 12% of the number of economically active population) Low level of development of social sphere (there is only 1 school, 2 clubs and 2 medical points for 60 villages)

13. HL statistical data (1)

14. HL statistical data (2)

15. HL statistical data (3)

16. Low level of economic development and entrepreneurships in the pilots Rural municipality “Pogranichnaya volost” 2 medium enterprises (34 workers), 1 farm. Majority of the population employed in their own households (259 households) Rural municipality “Gavrovskaya volost” 1 medium enterprises (42 workers), 6 small enterprises and entrepreneurs. Majority of the population employed in their own households (551 households) Rural municipality “Vasilievskaya volost” 6 small enterprises and entrepreneurs. Majority of the population employed in their own households (247 households)

17. HL’s typology Stable structure Sensitive structure Instable structure Low decline Gavrovs- kaya Volost’ Medium decline Vasilievs- kaya Volost’ High decline Pogranich- naya Volost’

18. Rural municipality “Vasilievskaya volost” Rural municipality’s potential:  two deposits of sand and gravel mixture, three deposits of peat, significant deposits of crushed stone and rubble plates;  significant forest resources;  many picturesque landscapes and lakes;  the church of Cosma and Damian built in 1901;  near the village Veretje there is a hill for development of hang-glide and mount skiing

19. Rural municipality “Pogranichnaya volost” Rural municipality’s potential:  21 deposits of peat;  significant resources of sand and gravel mixture;  significant forests (more than a half of the territory is covered by forests where coniferous are the prevailing ones);  great tourist and recreational potential;  Lyamonovo park near the river Lzha where Russian famous poet Pushkin used met with his lyceum friend Gorchakov

20. Rural municipality “Gavrovskaya volost” Rural municipality’s potential:  significant stock of mineral resources (construction stone, natural pit);  resources of energy (deposits of peat, residues from processed wood);  timber (forests cover about 1/3 of the territory of the volost);  cross-border point “Ubylinka” is situated on the territory of the volost;  great tourist and recreational potential (river, lakes, landscapes etc.)

21. HL’s key development priorities Name of pilot Description of key development priorities Remarks «Gavrovska ya volost’» 1. Establishing new enterprises on natural resources’ production and processing; 2. SME’s development in tourist infrastructure services; 3. Tourism development; 4. Participation in international joint projects 1. HL obtains peat, wood, sand and gravel supply that can be demanded by VL; 2. A part of the highways of federal importance run through the territory of HL; 3. HL/VL cooperation on tourism development; 4. HL/VL cooperation with Latvia. «Pogranich naya Volost’» 1. Establishing new enterprises on natural resources’ production and processing; 2. HL/VL cooperation on cultural issues; 3. HL/VL cooperation on agricultural development 1. The area obtains natural resources that can be used in road-building; 2. There is a park on the territory of HL that can be used for tourism development by HL/VL; 3. The area is famous for its flax production. This direction can be developed further together with VL. «Vasilyevsk aya volost’» 1. Establishing new enterprises on natural resources’ production and processing; 2. HL/VL cooperation on agricultural development; 3. Tourism development. 1. There is a wood supply in the area that can be demanded by VL as well; 2. Animal-husbandry should be developed together with VL; 3. HL/VL cooperation on tourism development.

22. Major pilot projects (1) Name of pilot Short pilot description Key priorities Co-operation issues/tools Pilot partner Web page "Database of the Pskov Region villages" general information, identification and marketing of rural life quality of rural life, local development vision, rural community web- presentation for every village Pskov Region Administ- ration Computer clubs at pilot villages‘ schools place where younger can spend their spare time rural community, youth issues focus on youthschools, authorities, sponsors Training of young people entrepre- neurship issues training courses on entrepreneurship skills development rural community, entrepreneur- ship issues, SMEs arranging coursesPskov State Polytechnic Institute, Pskov Region Ad- ministration

23. Major pilot projects (2) Name of pilot Short pilot descriptionKey priorities Co-operation issues/toolsPilot partner Development of pilgrimage tourism (Vasilievskaya Volost') special pilgrimage tourist routes should be arranged tourism, rural community, SMEs presentation of information to regional tourist companies Pskov-Pechory Monastery, tourist companies Development of sports tourism (Vasilievskaya Volost) sports tourist routes should be arranged, infrastructure development tourism, rural community, SMEs presentation of information to regional tourist companies, working out business projects business, tourist companies Arranging Russian Estate Museum (Gavrovskaya Volost) places to promote Russian culture tourism, rural community working out business projects, collecting historical items business, sponsors Arranging cafes (Gavrovskaya Volost) Infrastructure development SMEs, rural community working out business projects, collecting historical items consumers‘ co-operative Lyamonovskiy Park Reconstruction (Pogranichnaya Volost) Reconstruction of the park tourism, rural community working out park's design plan, inclusion of the park into the outs of tourist companies business, sponsors, tourist companies

24. HL study visits Vasilievskaya Volost’ Discussion of HL’ problems and possibilities for development: resources; tourism; agriculture. 7.02.2007 Participators: - 11 HL’s; - 1 VL’s; - 3 PPI experts.

25. Vasilyevskaya volost’ 1. Establishing new manufactures on production and processing of natural resources (timber production, pulp and paper production) 2. Creation of new farms and industrial units (animal husbandry, land plots to farmers and agricultural enterprises) 3. Tourism development (sport activities, recreational and cultural tourism) HL priority development directions

26. HL study visits Pogranichnaya Volost’ Discussion of HL’ problems and possibilities for development: small business; tourism; food processing. 17.04.2007 Participators: - 12 HL’s; - 1 VL’s; - 3 PPI experts.

27. Pogranichnaya volost’ It is planned to build a new customs terminal at the border with Latvia. It is planned to develop the following directions: 1.Increase of building materials/ production (including for road- building needs) 2.Cultural tourism (Lyamonov Park is a natural historical area connected with A. Pushkin.) 3.SMEs development 4.Flax production including for the needs of military-industrial complex of Russia. HL priority development directions

28. HL study visits Gavrovskaya Volost’ Discussion of HL’ problems and possibilities for development: manufacturing of construction materials; tourism; agriculture; international cooperation. 15.05.2007 Participators: - 4 HL’s inhabitants; - 3 PPI experts.

29. HL priority development directions Gavrovskaya volost’ Economic a.Effective use of natural resources (peat, sand, gravel, wood-felling, animal farming) b.Infrastructure development (cafes, service centres along the highway etc) Social (new jobs, income increase) Cultural (tourism) Ecological (environment protection programme) International cooperation with Latvia (Malnava)

30. Implementation mechanisms to work out strategies of pilot territories’ development; to approve the strategies by the Administration of the Pskov Region; to work out programs on municipalities’ development; to work out HL pilot projects; to disseminate the results of the HL project

31. Municipality district development Program is the basic element of the strategy’s implementation mechanism. Firstly, it helps to solve major problems of complex social and economic development of the municipality; Secondly, it helps to set out objectives (usually for the period of 2-5 years); Thirdly, it gives a chance to combine interests of various actors in the process of solution of the municipality’s development problems based on the idea of social partnership

32. Sample structure of the program (1) 1. Summary 1.1. Starting point and preconditions of municipality’s development 1.2. Program objectives and social and economic development priorities 1.3. Strategic choice 1.4. Program objectives and key priorities of economic development 1.5. Basic activities and projects 1.6. Financial sources of the program’s implementation 2. Life quality planning 2.1. health protection of the population 2.2. Protection of socially not protected groups of the population 2.3. Accomplishment and planting of greenery in the territory 2.4. Fire safety securing and liquidation of emergency situations 2.5. Education and culture 2.6. Housing services, energy and transportation 2.7. Communication, trade and services

33. 3. Realization of the development strategies 3.1. Measures on organizational, legal, information and staff securing 3.2. Origination projects 3.3. Investment projects 4. Economy’s planning and development 4.1. stimulation and development of municipal sector 4.2. development of the market economy directed at solution of issues of municipal importance 4.3. development and support of entrepreneurship 4.4. securing of realization of municipal economic policy 4.5. other 5. Spatial planning and land use 5.1. building up planning 5.2. zoning 5.3. land use control 5.4. other Sample structure of the program (2)

34. 6. Intermunicipal cooperation 6.1. creation of intermunicipal organizations 6.2. participation in network cooperation 6.3. other 7. Participation in international, national and regional programs and projects 8. Development management 8.1. staff training 8.2. regulation of relations with authorities 8.3. cooperation of interests of business, authorities and local population 8.4. creation of up-to-date image of the municipality and its marketing 8.5. scientific and research projects on municipality’s development 8.6. Other Sample structure of the program (3)

35. Possible sources for financing pilot projects local budget; budgets of other municipalities (within the intermunicipal cooperation); regional budgets; federal budget; Investing resources of enterprises, external and native investors; credits; sources of foundation and grants; other financing sources

36. Thank you for your attention!