Course code Ekon4091

Credit points 4.50

Performance of Local Governments

Total Hours in Course120

Number of hours for lectures24

Number of hours for seminars and practical classes24

Independent study hours72

Date of course confirmation19.12.2018

Responsible UnitInstitute of Economics and Finance

Course developer

author Sociālo un humanitāro zinātņu institūts

Jānis Ķusis

Dr. hist.

Prior knowledge

Ekon2119, Regional Economics

JurZ2005, Basics of Law

Course abstract

The study course helps to understand the principles of local government activities and organization, to learn the skills necessary for preparation of decisions. Students are acquainted with the basic principles of local government activities included in international legal documents, as well as with the normative acts of the Republic of Latvia governing the general, economic and social activities of local governments.

Learning outcomes and their assessment

Students will be able to demonstrate:
KNOWLEDGE of
1) the way a local government is organised and the specifics of functioning of the local government. Examination.
2) the concept and nature of a local government. Test.
3) work organisation of the council of a municipality. Test.
4) the economy of a municipality and budgeting in the local government. Test.
5) socio-economic development problems in a municipality and potential solutions to the problems. Independent work.
SKILLS
Professional skills to
1) Model a decision-making process for a council meeting, develop alternative solutions and reasonably present them. Case study, a study trip.
2) Analyse the concept and basic functioning principles of a local government. Test.
3) Analyse the work organisation of the council of a municipality. Test.
4) Independently find and analyse necessary information on the website of a local government and assess the availability and quality of the information. Independent work.
5) Analyse economic development in a municipality and the budget of the local government. Test.
Soft skills to
1) Engage in group work and assume responsibility for the results and an analysis of the work. Group work, development of a summary.
2) Build up social interaction, cooperative and organisational skills. Discussions in classes, a study trip.
3) Present the results of group and independent work. Independent work, group work.
COMPETENCE to
1) Independently draft legal documents for a local government. Practical assignments.
2) Independently define and critically analyse complicated and dynamic problems and challenges at the local level. Practical assignments.

3) Make decisions and, if necessary, perform an additional analysis and develop alternative decisions. Tests, practical assignments.

Course Content(Calendar)

Lectures (24 hours)
1. Concept and types of local governments. The concept and principles of local government. International legal documents on local governments. The European Charter of Local Self-Government. The Law of the Republic of Latvia “On Local Governments”, the Law of the Republic of Latvia “On the European Charter of Local Self-Government of 15 October 1985”. The classification of municipalities. Local government systems and models in the European Union and the world. One-level and two-level municipal systems. (2 hours)
2. Local government system in Latvia. Local government levels in Latvia. The types of municipalities. Administrative and territorial division. The hierarchy of the regulatory framework. The most important pieces of the regulatory framework of the Republic of Latvia for local governments. The regulatory framework for local governments and their activities. Municipalities and the Constitution. (2 hours)
3. Organizational forms of municipal government in the world and in Europe. The form: a mayor and a council. The system: a board and a manager. The form: a council and board. Mixed municipal administration and other forms. Two-tier structures of municipal government in cities. Self-government structures in the local government system of Latvia. (2 hours)
4. Local governments competences. The principles of division of functions between the national and local governments. National government competences. The classification of municipal functions. The functions of local governments. The rights and obligations of local governments. (2 hours)
5. Organization of local governments. Decision-making and executive power. The statute of a local government. Local government structure. Council work organization. The rights and responsibilities of a council chairman, a deputy director(s) and an executive director. Council committees, their composition, the procedure for their establishment, as well as their rights and responsibilities. (2 hours)
6. Status of council deputies. The status, activity and legal aspects of local government deputies. Anti-corruption legal provisions applicable to local government officials in accordance with the Law of the Republic of Latvia “On Prevention of Conflicts of Interest in Activities of Public Officials”. Local government communication with residents. Informing the population. (2 hours)
7. Preparation and adoption of a decision by a city council. Decision-preparation process. Decision-making procedure. Control. Procedures for preparing issues for consideration at council and standing committee meetings. Deputies’ responsibility for a decision. The layout and formatting of a decision. Analysis of a particular decision. The regulatory framework of the Republic of Latvia, which regulates the procedure for reviewing complaints in national and local government institutions. (2 hours)
8. Municipal council elections. Differences in municipal elections among various countries. Election rules and rights in Latvia. The procedure for the submission of a list of candidates for deputies and an election. (1 hour)
9. Local government budget. The purposes of a local government budget and budgeting. Local government budget structure. Local government revenue and expenditure. Local government finance equalization. Borrowing opportunities for local governments. Local government financial stabilization. Laws of the Republic of Latvia: “On Local Government Budgets”, “On Budget and Financial Management”, “On Local Government Financial Equalization”, “On Taxes and Duties”, “On the Stabilisation of Local Government Finances and the Monitoring of the Financial Activities of Local Governments”. (2 hours)
10. Organization of execution of functions by a local government. Ensuring the execution of local government functions. Municipal authority. A municipal agency and a municipal capital company. The establishment of companies and the supervision of their activities. The involvement of non- governmental organizations. (1 hour)
11. Economic basis of local government activities. Municipal property, property activities. The exercise of pre-emption rights. Public procurement. Local governments as business facilitators. Municipal regulators. The law of the Republic of Latvia “On Regulators of Public Utilities”. (2 hours)
12. Territorial development planning and management. Territorial development programme. Spatial planning. Territorial development plan. The law of the Republic of Latvia “Law on Territorial Development Planning”. (1 hour)
13. Relations between the national and local governments. The Latvian Association of Local and Regional Governments, its structure and objectives. The negotiation procedure between local governments and the Cabinet of Ministers. The supervision of local government activities. The Ministry of Environmental Protection and Regional Development. (1 hour)
14. Municipal reforms in Latvia and abroad. The organization of municipal reforms. The kinds of municipal reform. Administrative and territorial reforms in Latvia. Discussion on the need for a regional administrative reform. (1 hour)
15. Historical evolution of municipalities in Latvia. Urban and rural municipalities in the territory of Latvia before the establishment of an independent state, the Republic of Latvia, in 1918. Urban and rural municipalities from 1918 to 1940. Local authorities and administrative institutions during the Soviet period. Municipalities in the period from 1990 to 1999. (1 hour)
Practicals (24 hours)
1. Basic theories and typology of local governments and municipalities: the relevant scientific literature, discussion (1 hour).
2. Regulatory framework for local government activities: studies of literature and enactments, group work (2 hours).
3. Formation and development of municipalities in Latvia: literature studies, discussions (1 hour).
4. Administrative-territorial reform in Latvia, its goals, objectives, process and results: literature studies, a case study (2 hours).
5. Distribution of national and local government competencies: studies of literature and enactments, a case study (1 hour).
6. Test (1 hour).
7. Local government structure: literature studies, discussion (1 hour).
8. Local government political level: literature studies, discussion (2 hours).
9. Municipal executive institutions: literature studies, discussion (2 hours).
10. Work organization in a municipality – theory and practice: literature studies, getting acquainted with work organization in particular municipalities, study tours, discussion (4 hours).
11. Test (1 hour).
12. Ethics of municipal deputies and employees: literature studies, a case study, discussion (1 hour).
13. Socio-economic development of a municipality: literature studies, presentations, discussion (3 hours).
14. Local government budgets, the principles of budgeting. Budget components: literature studies, discussion (1 hour).

15. Test (1 hour).

Requirements for awarding credit points

The student must pass three tests on theoretical matters, independently study the regulatory framework for local governments, get acquainted with and analyse national local government websites and examples of best practices of local governments as service organizations. The course ends with an examination.

Description of the organization and tasks of students’ independent work

In the course, the independent work involves studying the regulatory framework being binding for the local governments of Latvia, as well as other types of literature, which is necessary to prepare for discussion during practicals, and the acquisition of data and statistics required for analyses of the performance of local governments.

Criteria for Evaluating Learning Outcomes

The final mark consists of the following pieces of assessment: tests, 15% each (totally 45%); independent work (analysis of local government websites) 10%; independent work (examples of best practices of local governments) 15%; an examination 30%.

Compulsory reading

1. Administratīvo teritoriju un apdzīvoto vietu likums (2020): LR likums. [tiešsaiste] [skatīts 2020.g. 26.aug.] Pieejams: https://likumi.lv/ta/id/315654.
2. Par interešu konfliktu novēršanu valsts amatpersonu darbībā (2002): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=61913.
3. Par pašvaldībām (1994): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=57255.
4. Pašvaldību finanšu izlīdzināšanas likums (2015): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=274742.
5. Par pašvaldību budžetiem (1995): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=34703.
6. Publisko iepirkumu likums (2016): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=287760.
7. Republikas pilsētas domes un novada domes vēlēšanu likums (1994): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=58052.
8. Teritorijas attīstības plānošanas likums (2011): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=238807.
9. Mainoties saglabājies, dažādā Latvija. Rīga: Centrālā statistikas pārvalde, 2008.
10. Pūķis M. Pašu valdība. Latvijas Pašvaldību savienība, 2010, 512 lpp.

11. Vanags E., Vilka I. Pašvaldību darbība un attīstība. Rīga: Latvijas Universitātes Akadēmiskais apgāds, 2005.

Further reading

1. Dažādā Latvija: pagasti, novadi, pilsētas, rajoni, reģioni. Vērtējumi, perspektīvas, vīzijas. Rīga: Latvijas Statistikas institūts, Valsts reģionālās attīstības aģentūra, 2005.
2. Eiropas vietējo pašvaldību harta// http://www.coe.lv/konv_sar.php?kid=126.
3. Iesniegumu likums (2007): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=164501
4. Likums par budžetu un finanšu vadību (1994): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=58057.
5. Par pašvaldību finanšu stabilizēšanu un pašvaldību finansiālas darbības uzraudzību (1998): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=48456.
6. Par sabiedrisko pakalpojumu regulatoriem (2000): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=12483.
7. Publisko aģentūru likums (2009): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams:
8. LR likums „Republikas pilsētas domes un novada domes deputāta statusa likums” (1994): LR likums. [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=202272.
9. Noteikumi par pašvaldību aizņēmumiem un galvojumiem (2008): MK 2008.gada 25.marta noteikumi Nr.196 [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=173271.
10. Noteikumi par kārtību, kādā pašvaldības var uzlikt pašvaldību nodevas (2005): MK 2005.gada 28.jūnija noteikumi Nr.480 [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=111605.
11. Kārtība, kādā Ministru kabinets saskaņo ar pašvaldībām jautājumus, kas skar pašvaldību intereses (2004): MK 2004.gada 6.jūlija noteikumi Nr.585 [tiešsaiste] [skatīts 2018.g. 9.dec.] Pieejams: https://likumi.lv/doc.php?id=91094.
12. Vaidere I., Vanags E., Vanags I., Vilka I., Reģionālā politika un pašvaldību attīstība Eiropas Savienībā un Latvijā. Rīga, LU Akadēmiskais apgāds Latvijas statistikas institūts, 2006.
13. Vanags E. Valsts pārvaldes reformas ārvalstīs un Latvijā. Rīga: Latvijas Statistikas institūts, 2007.

14. Vanags E., Vanags I., Krastiņš O. Pašvaldību pirmais pašvērtējums. Rīga: Latvijas Statistikas institūts, 2006.

Periodicals and other sources

1.Logs. Latvijas Pašvaldību savienības izdevums 2000- ISSN 5888
2. Latvijas Vēstnesis: Latvijas Republikas oficiālais izdevums. 2012-
3. Latvijas Ekonomists. Rīga: Mamuts. 2010- ISSN 1025- 8922
4. Kapitāls. Žurnāls lietišķiem cilvēkiem: krāsains biznesa un ekonomikas žurnāls. Rīga: Lietišķās informācijas centrs. 1998- ISSN 1407- 2505.
5. Vides aizsardzības un reģionālās attīstības ministrija mājas lapa. Pieejams: www.varam.gov.lv
6. Latvijas Pašvaldību savienības mājas lapa. Pieejams: www.lps.lv

7. Valsts reģionālās attīstības aģentūras mājas lapa. Pieejams: www.vraa.gov.lv

Notes

Restricted elective course for the ESAF academic bachelor programme Economics, specialisation Regional Development and Administration.