EUROPEAN ECONOMIC AREA FORUM OF LOCAL AND REGIONAL AUTHORITIES Ref: 1127453 1 ANNEX JOINT MEETING OF THE EFTA FORUM OF LOCAL AND REGIONAL AUTHORITIES AND THE EFTA PARLIAMENTARY COMMITTEE Brussels 18-19 November 2013 BACKGROUND PAPER – DIVISION OF POWERS BETWEEN THE EUROPEAN UNION, THE MEMBER STATES AND REGIONAL AND LOCAL AUTHORITIES In recent years, the EU has seen a growing trend towards decentralisation, leading to changes in the structure and responsibilities of local and regional authorities (LRAs) in its Member States. In 2012, the European Commission acknowledged that “there is a widespread trend across advanced economies, including many EU Member States, to increasingly shift the responsibility for key public sector functions from the central government to sub-national sectors of government”. The European Union is currently made up of more than 90.000 LRAs. Their size, population, responsibilities and structure vary significantly from one country to another. The Committee of the Regions (CoR) has long been calling for an examination of the division of responsibilities between the EU, national authorities and LRAs and of measures to strengthen regional and local self-government. To this end a study on the “Division of Power between the European Union, the Member States and Regional and Local Authorities” was completed in late 2012. The study covers 36 countries; the 27 EU Member States, Croatia and the eight remaining enlargement countries, including Iceland. Searchable information for each country is accessible at the CoR internet portal Division of Powers. A brief overview of the situation in Norway is given in Annex 1, using the same criteria as the CoR-study, where for each country, the following elements of its internal organization are investigated: • • • General Organisation: Constitutional and parliamentary system, institutional framework at subnational level, key legal sources, principles of governance, overall outlook; Systems of Multilevel Governance: Mechanisms for representation, information, consultation and coordination; the position of sub-national authorities in national and EU policy making; Relations with the EU: CoR membership, participation in Council, territorial associations; Subsidiarity The study also looks into the internal division of powers in each state, covering 17 policy areas: Transport, employment, social, educational, vocational training, youth and sport, culture, public health, trans-European networks, regional, economic, social and territorial cohesion, environment and the fight against climate change, energy, agriculture, fisheries, immigration and asylum, tourism and civil protection. -2- THE VIEWS OF THE COMMITTEE OF REGIONS In its opinion on Devolution in the European Union and the place for local and regional selfgovernment in EU policy making and delivery, the CoR makes reference to the study. The CoR observes among others that: • • Regions which are primary financed from their own resources manage the available funds in a responsible manner and therefore have solid public finances; The economic and financial crises has proved to be a catalyst for reform and change, with local authorities in some countries having faced a local restructuring process and institutional power structures also having changed considerably. EUROPEAN ECONOMIC AREA FORUM OF LOCAL AND REGIONAL AUTHORITIES Annex I to Ref. 1127453 ANNEX 1 – BRIEF REVIEW OF THE DIVISION OF POWERS IN NORWAY Norway is a constitutional monarchy and a parliamentary democracy under the Constitution. The Parliament (Stortinget) is unicameral, meaning that it is consisting of a single chamber as a legislative assembly. The legislative process was until October 2009 handled in two chambers that the Parliament was divided into when new laws or alteration of laws where on the agenda; first in Odelstinget consisting of three quarters of the MPs, and then in Lagtinget. This is no longer the case, since the Constitution was altered to the current system which prescribes political consideration twice in plenary sessions in the Parliament. The country is a unitary State organised on a decentralised basis. It has three levels of governance: central, regional and municipal, meaning the State, the Counties and the Municipalities. Norway comprises 19 counties including Oslo which has both county and municipality functions, and 428 municipalities. Local and regional authorities are responsible for matters of their interest which are not expressly conferred to the State. The Counties and the municipalities do not hold legislative powers and must act within the confines of the applicable law. Supervision over the local and regional authorities is performed by regional state administrations. Moreover, the Ombudsman is in charge of the supervision over the whole public administration. Local self-government is not so far enshrined in the Norwegian Constitution although the Parliament in 1989 ratified the Council of Europe’s Charter of Local Self-Government unanimously and unconditionally. Unlike what’s the case in most European countries, “municipality” is not mentioned with a single word in the Norwegian Constitution. Last year, the Parliament rejected a proposal to include selfgovernment/local democracy into the Constitution. This is the fifth time such a proposal is rejected since the nineteen eighties. The main argument of those advocating incorporation is that then State and the central government politicians would have to be more aware of the possible implications of central government decisions on local self-government. Those opposed to implementation argue that incorporation could result in a static framework for self-government, which could in turn lead to a limitation of self-government. The flexibility of the State-Municipality relations could thus be hurt if the principle self-government would be enshrined in the Constitution. NATIONAL LEVEL – STATE RESPONISIBILITIES The central government has general legislative powers in the following areas of national sovereignty: police, defence, administration of justice, public health, foreign affairs and development aid. Moreover, it is responsible for: • • • • • • • • • Higher education, research policy and divided responsibility with the County Councils regarding vocational training Sick pay, child benefits and elderly pensions Hospitals Divided responsibility with the municipalities regarding child welfare Unemployment insurance and labour inspections Employment policies (local job centres) Certain cultural activities Trade and industry subsidies National roads -2Annex I to Ref 1127453 • • • Citizen services regarding taxation and collection in cooperation with the municipalities Food control Administration at national level, over and above administrative responsibilities exercised at regional and local level REGIONAL LEVEL – RESPONISIBILITIES OF THE COUNTIES • • • • • • • • • • Secondary education Dental health Regional development Environment Tourism Culture Planning County roads Certain social services, for example regarding foster homes Transport LOCAL LEVEL – RESPONISIBILITIES OF THE MUNICIPALITIES • • • • • • • • • • • • • • • • Specialised social services Social welfare (social services) Divided responsibility with the State regarding child welfare Education (first to tenth grade) Kindergartens Care for the elderly Public healthcare Integration and language education for immigrants Civil protection Environment Planning Tourism Transport Municipality roads Culture Sports SYSTEM OF MULTIGOVERNANCE Representation: The Norwegian Association of Local and Regional Authorities (KS) represents the Municipalities and County Councils before the central authorities. Information: During the legislative process, information is provided to the LRAs to the extent that information is published on the Parliament’s website Consultation: A formal framework regulating consultation procedures between the Government and KS in in place. This consultation scheme is the Government’s main arena for formal dialogue with the municipality sector represented by KS. The main tasks, among others, are cost estimates of reforms initiated of the Government, bilateral agreements and involvement in law making procedures. Coordination: The Association of Local and Regional Authorities – KS – cooperates with the ministries in the improvement of the public administration system. Furthermore, there is coordination with regard to the national economic policy and municipal and regional financial needs. -3Annex I to Ref 1127453 RELATIONS WITH THE EU/REPRESENTATION NATIONAL LEVEL–STATE RESPONISIBILITIES AT EU/EEA LEVEL The Norwegian EU-delegation in Brussels represents the Government in connection with EU on all areas influencing Norwegian interests. Norway is associated with important parts of EUs justice- and national policies through agreements and arrangements. The most important of these agreements is the association with the Schengen cooperation. As Norway is not a member of the EU, the cooperation is based on the EEA agreement, which also gives Norway access to the internal market. Local and regional authorities cooperate with various EU territorial associations via their national associations. KS is a member of the Council of European Municipalities and Regions (CEMR), the Congress of Local and Regional Authorities of Europe (CLRAE), the United Cities and Local Government (UCLG) and the European Centre of Employers and Enterprises providing Public services (CEEP). SUBSIDIARITY Public management in Norway is based on the so called subsidiarity principle, which indicates that responsibility for social affairs shall be placed on lowest effective administrative level. Based on the subsidiarity principle and the current municipality structure, it appears that three levels of public administration are necessary. Norwegian municipalities are generally small, and the span between the national and local level is often too large for effective public management. Much is therefore left for the municipalities and County Councils to deal with. Most State agencies are divided into regional units with considerable autonomy. This allows for flexibility to adapt policies to regional conditions, but also for planning and implementation of necessary restructuring processes, in where some communities will fare better than others.
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