‘This law lays the foundation for a European model of public governance in Ukraine – with a clear delineation of powers, the principle of subsidiarity and the real capacity of communities to perform their functions,’ said Oleksii Riabikin, Deputy Minister for Development of Communities and Territories of Ukraine.

The Cabinet of Ministers of Ukraine has approved the Draft Law ‘On the Principles of Delineation and Distribution of Powers between Levels of Public Administration’, which defines the framework rules for the delineation of powers between local governments of different levels and executive authorities, as well as approaches to their implementation, taking into account the principles of decentralisation and subsidiarity.

The Draft Law was developed by the Ministry for Development of Communities and Territories of Ukraine to implement local self-government reform, the Ukraine Plan, and the recommendations of the European Commission within the framework of the negotiation process on Ukraine’s accession to the EU.

The Draft Law approved by the Government is intended to lay the groundwork for eliminating one of the key systemic problems faced by communities: uncertainty and duplication of powers, as well as situations where local governments are given additional functions without adequate financial support.

‘For the first time, we are laying down clear principles at the level of framework law: which powers are inherent, which are delegated, at what level they should be exercised, and at what cost. This is a basic condition for the accountability and effectiveness of local self-government,’ said Oleksii Riabykin, Deputy Minister for Development of Communities and Territories of Ukraine.

The document defines:

• the principles of delineation and distribution of powers, in particular subsidiarity and decentralisation;
• levels and bodies of public administration for the purposes of the law;
• the classification of powers of local governments;
• criteria for delineating own and delegated powers;
• conditions for the delegation of state powers to communities;
• limits of the autonomy of local governments;
• resource provision for the exercise of powers;
• specifics of the exercise of powers in conditions of martial law or a state of emergency.

‘The next step is a broad discussion of the Draft Law at the Verkhovna Rada Committee on Organisation of State Power, Local Self-Government, Regional Development and Urban Planning. This will ensure that the proposed model for the delineation of powers is refined and clarified, taking into account the positions of all interested parties,’ emphasised Oleksii Riabykin, Deputy Minister for Development of Communities and Territories of Ukraine.

He also noted that work on the draft law is part of the implementation of indicator 9.3 of the Ukraine Plan within the Ukraine Facility, which creates the basis for attracting approximately EUR 440 million in financial support from the European Union.

The Draft Law was developed with the involvement of Members of Parliament, central executive bodies, local governments, their associations and international technical assistance experts. Consultations were also held in the ‘Strasbourg format’ moderated by the Council of Europe.

The Government’s approval paves the way for the Draft Law to be considered by the Verkhovna Rada of Ukraine. Its adoption should create conditions for the formation of a stable and predictable system of powers for village, settlement and city councils, their executive bodies, as well as district and regional councils.

There is a separate provision that after the law comes into force, the Cabinet of Ministers will prepare amendments to sectoral legislation within one year to bring it into line with the new principles.