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ADMINISTRATIVE – TERRITORIAL REORGANIZATION


OF LOCAL GOVERNMENTS
Article 63

Administrative – Territorial Reorganization

The existing administrative-territorial division can be reorganized either with or without a change in boundaries, in compliance with the local economic, social interests, tradition, culture, and other local values for the efficient provision of functions to the benefit of the local community and the implementation of local, regional and national development policies.


Article 64

Reorganization with border change

Reorganization with border changes can take place when:

a) A unit of local government is divided into two or more units of local governments;

b) Two or more units of local governments are merged to form a territory of a single unit of local government;

c) A part of the territory of one local government unit is transferred to the territory and administration of another local government unit; or

ç) A combination of the cases listed above is necessary.


Article 65

Reorganization without border change

Reorganization without borders change can happen in the cases of a change of the name of the local government unit or of a change of the geographic center of a local government unit.


Article 66

Legal support and the initiation of the reorganization

The reorganization of the existing territorial – administrative division with or without changing borders can be made effective only by a special [separate] law.


Article 67

Justification and documentation of the reorganization process

The proposal for reorganization of one or more units of local governments for each separate case shall be submitted to the Parliament accompanied by the following facts and justifications:

a) The economic, social, cultural, demographic, administrative reasons in favor of the need and advantages of reorganization proposed;

b) The methods, materials or documents used to inform the public on the reorganization and the issues related to it;

c) The opinion of the community resident in the local units that shall be affected by the reorganization as well as the opinion “For” and “Against” expressed directly or indirectly by various interested subjects or stakeholders in this reorganization;

ç) The methods used to collect the opinions of the community such as public hearings, open meetings, surveys certified by the competent organ and expressed opinion through referenda or in any other adequate and reliable way;

d) The administrative territorial maps, in which are reflected the changes which would result from the reorganization;

dh) The expected economic, financial, social, demographic impacts that will result from the reorganization, as well as the civil and administrative liabilities or obligations which will result, will be inherited or will be shared:

e) Agreements and proposals for regulation of the existing financial, property, liabilities to third parties or to one another of the units of local government participating in the reorganization.

Article 68

The requirement to express the opinion

1. The communal, municipal and regional Councils which are directly involved in this reorganization as well as their chairpersons shall give their official opinion on the reorganization and as well as, if exists, the opposing opinion of a part of the councilors of respective council.

2. The Council of Ministers, when it has not made the proposal, and other state institutions which are not under the jurisdiction of the Council of Ministers, but are interested in the specific reorganization, shall also express the opinion in favor, against or abstention to the reorganization.

3. The above mentioned organs should give their opinion no later than sixty days after the receipt of the request for an expression of opinion by the initiator.


Article 69

Rights and obligations of the reorganized units

1. In each case when the reorganization affects the financial, property rights or obligations to third parties and other civil rights of the local government units the issues that might arise shall be regulated [solved] in conformity with legislation in force as rights and obligations between juridical persons, as a general rule, through agreement between the parties concerned.

2. In case of disagreements of the issues anticipated in paragraph 1 of this article, the conflicts will be resolved in the court.
Article 70

Guarantee of continuation of the basic governing functions

1. In the case of reorganization affecting boundary changes that results in new units of local governments, or when this reorganization causes incompatibility to the mandate of the majority members of the council of a local government unit which loses part of its territory, partial local elections shall be held in these territories, in compliance with the methods and schedule stipulated in the Election Code of the Republic of Albania.

2. The new local government units, as well as other competent central and local government bodies have the authority to take necessary measures, so that the local government units created or affected by the reorganization, can function normally, according to this Law, ensuring the provision of the basic public services for the population in the transition period.

CHAPTER XI



TRANSITIONAL AND FINAL PROVISIONS
Article 71

Application of the Law

Functioning of the units of local government, in accordance with the manner set forth in this Law, is realized in compliance with the time limits established in the articles of this Chapter.


Article 72

Functioning and Organization of Local Government Units

1. With the entry into force of this Law, communal, municipal and regional Councils will exercise their full rights and competencies for:

a) Approval of decisions, orders, and ordinances for their organization in the manner as set forth in this Law;

b) The right of fiscal competence;

c) The right to undertake initiatives in the interest of their respective communities;

ç) Approval of personnel regulations and procedures;

d) Exercise of any other right and competence set forth in this Law and other laws in relation to property and performance of functions.

2. Communes, municipalities and regions shall acquire ownership on public [state owned] enterprises in accordance with the deadlines determined by separate law.

3. Communes, municipalities and regions shall acquire ownership on public [state owned] enterprises in accordance with the deadlines determined by separate law as well shall exercise the right for the establishment of juridical persons in compliance with this Law.

4. Starting from January 1, 2001, communes and municipalities shall be fully responsible for performing the following exclusive functions:

I. In the field of infrastructure and public services:

a) Construction, rehabilitation and maintenance of local roads, sidewalks and squares;

b) Public lighting;

c) Public transport;

ç) Administration of cemeteries and funeral services;

d) City/village decoration;

dh) Administration of parks, greeneries and public spaces;

e) Waste management [collection, disposal, treatment];

g) Urban planning, land management and housing according to the manner set forth in the law.

II. In the field of social, cultural and recreational services:

a) Preserving and promoting the local cultural and historic values, organization of activities and management of relevant institutions;

b) Organization of sports, recreational and amusement activities and management of relevant institutions;

c) Social services and administration of institutions such as day care, elderly homes, orphanages, etc.

III. In the field of local economic development:

a) Formulation of local economic development programmes;

b) The establishment and functioning of public market places and trade network;

c) Small business development as well as the running of promotional activities, as fairs and advertisement in public places;

ç) Performance of services in support of the local economic development, as information, necessary structures and infrastructure;

d) Veterinary service;

dh) The protection and development of forests, pastures and natural resources of local character.

5. Starting from January 1, 2002 communes and municipalities shall be fully responsible for the performing of the following exclusive functions:

I. In the field of infrastructure and public services:

a) Water Supply;

b) Management of sewage and drainage system and [flood] protection canals in the residential areas;

c) Urban planning, land management and housing according to the manner set forth in the Law, with exception of the competence for approval of construction grounds and issuance of construction permits, which shall be transferred to communes and municipalities from January 1, 2001.

II. In the field of public order and security:

a) The protection of public order to prevent administrative violations and enforcement of the commune or municipality acts;

b) Civil security.

6. Starting from January 2002 shall be determined by law the level and method of sharing the following joint [shared] functions and competencies:

a) Pre-school and pre-university education;

b) Primary health care and public health protection;

c) Social welfare and poverty alleviation and ensuring of the functioning of relevant institutions;

ç) Certain functions for public order and civil security;

d) Environment protection;

7. The communes and municipalities shall also exercise other functions, shared according to the manner determined by law.

8. No later than January 1, 2001, the regions shall perform all the functions and competencies granted by this Law.


Article 73

Fiscal competencies of Local Government Units

1. Starting from January 2001, communes, municipalities and regions shall have the right to impose local taxes and tariffs, determined by separate law.

2. Starting from January 2001, communes, municipalities and regions shall have full autonomy to impose local taxes and tariffs [fees] on the following categories:

a) Fees for public services;

b) Fees for the use public goods, with the exception of those produced by the central government;

c) Administrative fees for licenses, authorizations, certificates and official documentation.

3. Communes, municipalities and regions shall have the right of transfer and giving in use of property and use the revenues generated in compliance with the respective laws on local property.

4. Starting from January 2002, communes, municipalities and regions shall have the right to apply for loans for investments, in compliance with procedures and criteria set forth by separate law.

5. Starting from January 2002, Communes, municipalities and regions will receive shall have the right to generate funds as set forth by a separate law from the following sources:

a) General and equalization unconditional transfers;

b) Shared national taxes;

c) Conditional transfers to achieve national objectives;

ç) Funds transferred from the central government to communes, municipalities and regions for performing the delegated functions.

6. Starting from January 2001, communal, municipal and regional Councils shall approve their budget, based on the principle of local autonomy and the unique national accounting standards with zero budget deficits.

7. Starting from January 2001, communes, municipalities and regions shall institutionalize internal financial control.

8. Starting from January 2001, communes and municipalities will transfer their dues to the regional budget.


Article 74

Duties of Council of Ministers


1. The Council of Ministers is responsible for drafting the laws and by-laws to enable the compliance with the application schedule set in this chapter of this law.

2. This process shall be done in collaboration and consultation with representatives of units of local government, local communities and civil society in general.
Article 75

Dissolution of District Councils

1. District Councils shall be dissolved on the date when local elections of year 2000 will take place. The administration of the District Council shall be a subordinate of the Prefect.

2. The Prefect shall be responsible for the performance of the functions of former District Councils not been transferred to communes and municipalities according to this Chapter.
Article 76

Abolitions

With entry into force of this Law, Law no. 7572, date 06.10.1992 “For the Organization and Functioning of Local Government” including its adopted amendments and whatever other legal provisions contrary to this law are repealed.


Article 77

Entry into force

This law is effective 15 days after publication in the Official Journal.


VICE-CHAIRMAN

Namik Dokle

REPUBLIC OF ALBANIA

ASSEMBLY
L A W

No.8756, dated 26.3.2001

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