Equal partner of the State
The basic units of local self-government are municipalities. Many municipalities are too small or have insufficient means to provide all public services on their own. They join forces in order to use their financial, human and organisational resources in the most efficient way. They establish associations, joint bodies and joint municipal administration bodies, funds, and public companies and institutions, and pool resources.
Municipalities are an equal partner of the State. They are governed by three independent bodies – a mayor, a municipal council and a supervisory committee. Mayors and members of the municipal council are elected by the residents in local elections every four years. Supervisory bodies are appointed by municipal councillors.
A municipality is financed from various revenues – personal tax, property tax, concession fees, other fees, fines, etc. The State provides additional funds for the less developed municipalities that cannot themselves finance the necessary projects in full.
The Constitution envisages another sub-system of local self-government at the level between the State and municipalities, i.e. regions. It defines them as legal entities with original competences, assets and financing resources, and a directly elected representative body. Due to absence of political consensus regions have had not been established yet.