The Urban Dimension in Hungarian Operational Plans - an overview

1. The Urban Dimensionin Hungarian Operational Plans- an overview QeC-ERAN conference Prague, 18-19 March 2009

2. Content • Framework, urban dimension in the regional operational programmes • Types of rehabilitation: social urban regeneration • Manual on Urban Development, Integrated Urban Development Strategy

3. System of development documents Po National Spatial Development Concept (NSDC) Overall objectives - 2020 National Development Policy Concept (NDPC) Overall objectives - 2020 Other national strategies and policies Po Po New Hungary Development Plan (National Strategic Reference Framework) 2007-2013 ERDF + ESF + CF New Hungary Rural Development Strategic Plan 2007-2013 EAFRD + EAGF + EFF St St EU strategies and policies Po Regional Operational Programmes (7) ERDF Sectoral Operational Programmes (8) ESF + CF New Hungary Rural Development Programme EAFRD + EAGF + EFF National Development Programmes St St St St

4. EU Funds • National Development Plan (NDP) I. 2004-2006: 2.9 billion euro • New Hungary Development Plan - National Strategic Reference Framework (NHDP) 2007-2013: 22,4 billion euro (approx. HUF 7000 billion) • NDP II: 1/3 Cohesion Fund + 2/3 Structural Funds • Structural Funds: 78% ERDF + 22% ESF • ERDF: 50% regional + 50 % sectoral • 15 % national co-financing • + European Agricultural and Rural Development Fund (3.8 billion euro at current prices) + European Fisheries Fund (34. 3 million euro)

5. Indicative financial allocation plan of operational programmes

6. Decentralization and regionalism • 7 regional operational programmes (ROP) between 2007-2013 – regional specific elements • 7 ROPs under convergence objective, 1 ROP under the regional competitiveness and employment objective (Central Hungary) • Role of the regions has been strengthened: • proposals • participation in programming • participation in assessment and decision • Development policy and the portfolio of regional development belong to the same ministry (Ministry for National Development and Economy)

7. Urban dimension within the ROP

8. Urban development interventions in the ROPs Objective → solving concentrated social-economic problems in an integrated and sustainable way Types: • Social urban regeneration of deteriorated urban areas aim: improving the quality of life and chances of the local disadvantaged population, decreasing segregation • Function-enhancing urban rehabilitation – extension/reinforcement of the functions of city centres or sub-centres aim: ensuring quality environment for the population and businesses; extending efficient urban functions, public services;renewal of economic activities • Small—scale („spot-like”) urban rehabilitation projects – aim: solving of a specific problem, does not require an integrated approach

9. Integrated social rehabilitation • Social: targeting economically and socially deteriorated urban areas • Integrated: using various set of tools, cross-sectoral approach to a complex problem • Aim: improving the quality of life and chances of the local disadvantaged population, decreasing segregation on the action area • Wide-range international experiences: URBAN program

10. Socially sensitive renewal - features • It is implemented at delimited action areas according to a set of criteria(3 criteria) • Aim of the intervention: decreasing segregation (anti-segregation plan) • Target areas: housing estates constructed by industrial technology; traditionally built declining city districts including colonies inhabited by Roma population • Means: • Physical interventions: renovation of common parts of condominiums, rehabilitation of buildings owned by local governments, rehabilitation of public space • Social-type interventions (ESF): community development, social work, programmes for employment, education and training, support for local SMSs

11. Eligibility criteria and indicators • Areas over 1000population (except for Roma estates: areas over 150-250 residents) • The share of units demolishedorbuilt since 2001 cannot exceed the 20% of the current housing stock • Indicators: Census 2001, and municipal data • Difficulties: lack of data for a specific area of the city (target area, defined by the bordering streets) • Most of the indicators are from the Census 2001 – critics: these data are too old • Separate indicators for the housing estates and for the old urban areas

12. Indicators 1.

13. Indicators 2.

14. Indicators 3.

15. Calls for applications • No tender for projects of strategic importance - for cities of county rank, (submission is continous; one social rehabilitation project is necessary; IUDP needed; urban development company is compulsory) • Two-round call process- for cities with inhabitants of 6-8 thousand (opened in February 2008 (first round); assessment till January 2009; project development in the second round; subsidy contract till the end of 2009) • One-step call – for small towns less than 6 thousand people (small budget, spot-like; decisions already taken; no IUDP needed)

16. Manual on Urban Renewal • Methodological support for cities in elaborating their integrated development strategies and action plans, also a guide for applying successfully for the calls, October 2007 • Valuable information in a unified framework, valid nation-wide • Supplement the guides for applications (ROP), but does not substitute them • Objective: change of approach – integrated view • Common learning process, continous evolution of requirements (partnership) • → revision of the Manual after gaining experience

17. Manual on Urban Renewal Breakthrough in Hungarian urban planning • Integrated approach, not only physical/technical • A step toward proactive urban development led by municipalities • Forming the hierarchy of urban plans, • Encouraging municipalities to establish professional urban management companies • Manual includes: integrated urban development strategy; action area plan; urban development company

18. Integrated Urban Development Strategy (IUDS) • Policy requirement for all cities having a complex structure • Proposal of the European Union, requirement for social urban rehabilitation → calls for proposals of ROP 2007-2013 - necessary for cities of county rank and for larger cities • Medium term (7-8 years), strategic document, oriented to implementation • Long-term goals and medium-term programmes • Necessary to revise it in every 2-3 years • To be discussed and approved by a resolution of the body of representatives of the municipalities for ensuring legitimacy

19. Chapters of the IUDP • Analysis(structure of the city, economy, society, environment of the settlement, public services, experience gained in respect of the developments of the previous period) • Strategy • The vision of the city • Development objectivs for the city and city districts • Interventions- designation of action areas • Sustainability aspects (environment, anti-segregation programme) • External and internal correlation of the strategy • Major risks in implementing the strategy • 3. Implementation tools • Municipal activities of non-investment nature serving the achievement of the objective • Organisational requirements related to the implementation (company) • Mechanism for inter-settlement coordination • Elaboration of th ereal estate management concept • Partnership and monitoring

20. Anti-segregation plan Status assessment (included in the IUDS): Delimitation of segregates and areas threatened by segregation (indicator) Status assessment of the delimited areas Assessment of the segregational impacts of envisaged developments and individual sectoral policies Anti-segregation programmes (interventions) Defines a vision for the degraded areas whether it will be eliminated or will be integrated into the urban fabric by way of rehabilitation, determines the main directions of interventions Objectives: decreasing the degree of segregation and no increase of areas somewhere else as a result of intervention Complex system of tools: housing, education, social care, health care (soft programmes) Mobilisation programme: elaboration of guidelines

21. Revision of the Manual - January 2009 • Experiences gained in 2007-2008 – no major change is required, but improvements • 157 cities prepared Integrated Urban Development Strategy • There are needs for: • Clarification, exhange of experience • Defining the role of the IUDS (not only a tool for the calls but it is a general document serving urban development; but also defining it within the hierarhy of urban plans -legal legitimacy!) • More emphasis on sustainability (environmental and social); on the role of the municipalities as initiators; on attracting different financial resources including private capital; on integrating sectoral and territorial strategies. • Road show, worskshops to explain content in 2009 (eg. urban development company)

22. Distribution of funds for social rehabilitation by regions Source: National Development Agency

23. Distribution of funds for function-enhancing rehabilitation by regions Source: National Development Agency

24. Experience as regards social rehabilitation Renewal of infrastructures and of institutions dominating Low-scale housing component Weakness of „soft” elements although they are indispensable for the success of social rehabilitation There is no real partnership with the inhabitants The organisational background of implementation shoul dbe strengthened- especially regarding the soft elements Elaboration of programme is time consuming Unflexible national and EU rules concerning housing – view for post-2013 (renting, building social houses-roma)

25. Thank you for your attention! Andrea Iván Department of Regional Development Ministry for National Development and Economy E-mail: ivan.andrea@nfgm.gov.hu