Local Self-G overnment in Hungary

1. Local Self-Government in Hungary

2. Republic of Hungary • Capital-city: Budapest • Government:parliamentary republic • Neighbouring countries:Slovakia, Ukraine, Romania, Serbia, Croatia, Slovenia, Austria • Area: 93 030 km2 • Population: 10 million inhabitants

3. Local Government System A two-tier system: • 3 152 Communes • 19 Counties +the capital-city with a special status • Major actsof parliament dedicated to local government: • 1949 Constitution (article 20) • 1990 Act on Local Self-Government

4. Local authorities

5. 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: - 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

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

7. 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

8. 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 Local authorities’ responsibilities I. Communes:

9. 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

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

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