The complexity of the issue, which has many directions, suggests that there has not been and will not be a panacea. But it is necessary to move.
Prime Minister Alexandru Munteanu said that “there are moments when it is necessary to make a decision and move forward” – the government presented its reform concept, which is going to be implemented in record time. The main instrument is the voluntary merger process. And in November – the law that will consolidate the new administrative map of Moldova. And next year, local elections will be held in an already renewed format.
On the government website there is an interactive map, almost all in red, showing villages with a population of less than 1.5 thousand. Such villages are planned to be integrated into one administrative unit. The user can try to build his/her own map by clicking on villages and combining them into one territory, thus reassembling a new puzzle of Moldova.
“Two poor villages will not become rich when merged”
The main parameter emphasized by the government is the number of inhabitants. The authorities put the question as a matter of fact – according to the results of the reform, there should be no mayoralties in Moldova with less than 3 thousand people under their jurisdiction.
This approach raises numerous questions. At the end of May, a large round table “Towards a broad political and public consensus on the local public administration reform” was held. Representatives of all branches of government, the opposition, and experts were present.
The executive director of the Congress of Local Authorities of Moldova (CALM), Viorel Furdui, stated that in their concept the central authorities confused the causes of the “crisis of local administrations” with the consequences.
“Depopulation, lack of jobs, etc. – all these are consequences, not causes of the problem,” said Furdui.
According to CALM, the problem has other sources – in particular, the financial control of the center, which is becoming political. According to official data, only 47 out of 892 current mayoralties can cover their own expenses. The budgets of the rest depend on state budget transfers by 60.5%.
And the reform proposed by the government, according to CALM, does not solve the problem. Furduy notes that “merging two poor villages will not result in one prosperous one.” Just as it will not solve the problem of dependence of local authorities on the center.
DACIA Concept
CALM proposes its own concept called DACIA (Descentralizare administrativa cooperare inter-comunala amalgamare voluntara). The key condition is that the decision to merge should remain with the mayor’s office and be exclusively voluntary.
Here it is necessary to pay attention to the statement of the Chisinau general mayor made during the event: “All mayors who did not have a yellow party card were threatened with a truncheon (from Chisinau): if you do not go for a voluntary merger, you will have problems – financial, institutional or personal”.
DACIA also offers its own version of financial decentralization: for example, withholding up to 100% of the tax on the income of legal entities to the local budget. And its vision of future cooperation between communities: mayoralties of small villages are preserved, but united into consortiums to implement major development projects (water supply, etc.).
One of the main appeals of CALM is not to rush and to implement the reform step by step.
The “40 Cities” concept
So, financial decentralization as one of the main pylons. The parliamentary opposition is also talking about it.
In particular, the party “Civic Congress” (CC), which during the event presented its own concept of administrative reform called “40 cities”.
“Fiscal autonomy: the transition from dependency to sustainable development. Any administrative structure is dead if it does not have a systematic and predictable renewal of financial resources. The current government proposes to maintain the current, deeply flawed centralized financial system, adding to it promises of European aid and one-off bonuses to the mayoralties for voluntary mergers. Bonuses for eliminating the mayoralties. Such a consumer-parasitic motivation for receiving and distributing donor support will never become the basis for regional and local autonomy,” said Mark Tkachuk, one of the SC leaders.
Plus, the opposition (GC, MAN, “Our Party”) supports the idea of municipalization – there is no need to reduce the number of districts from 32 to ten, as proposed by the central government. Instead, it is necessary to give all district centers the status of municipalities, and the districts thus become municipalities, with the appropriate distribution of powers.
Movement for movement’s sake
There are many ideas, and all need to be discussed. But the center is adamant, for it has already reached the moment “when it is necessary to move on”.
However, the questions – where to go and why – remain. As well as what we will get in the end.
As a result of the reform, the government will take responsibility for the transition period, when the mayoralties will have to “merge” in reality, not on paper.
And this period will last for a year. After all, in the fall of 2027, the next local elections will be held.
Will the center be able to bear such a significant load against the background of other problems (high budget deficit, rising energy prices and progressive inflation)?
Or should we start with financial decentralization, so that finally the puzzle of Moldova could be put together into a functional country, which is what everyone wants, at least according to the statement of both the authorities and the opposition?
To put together first a new economic puzzle, to get a working functionality on the ground, with redistribution of the corresponding responsibility to the local authorities.
The issues will remain open until the fall of this year. After that, the post-reform period will come, which will bring even more uncertainty.
