BY CLAUS THYKJÆR, CITY MANAGER

WELCOME TOGULDBORGSUND MUNICIPALITY

Danish Structural Reform 2002-2007-2015

VISIT OF MAYORS FROM ESTONIA

Key essentials of the Danish Local Government System since 1970

• The system must be in balance Local Government legal competences must match tasks and responsibilities

LG resources (finances, human resources, ownership etc.) must match tasks

LG structure must reflect division of tasks LGs must have a fair degree of financial self-sufficiency (“sustainability”)

• In 2002, the Government decided to review if a suitable balance still exists

Denmark- LG Reform Preparations• October 2002 – January 2004: Commission

on Administrative Structures Broadly composed with Coordinatioon Group (4 ministries), LG Ass., Researchers and Independent experts

Reviewed all public sector tasks and structures

• Jan 2004: Presented a 1500 pages report 4 potential options Presented for public hearing

Schematic organisation of the Danish local government system, before reform

The central government

13 counties

Copenhagen, Frederiksberg

and Bornholm

275 Munici-palities

Size of Municipalities, before reform

Largest: Copenhagen (502,362) Smallest: Læsø (2,145)

Inhabitants Municipalities

0-4,999 16

5,000-9,999 113

10,000-19,999 77

20,000-49,999 48

50,000- 17

Distribution of countiesaccording to population, before reform

Largest: Århus (644.666)Smallest: Bornholm

(44.197)

Inhabitants Counties 0-199.999 2200.000-299.999 9300.000-399.999 1400.000-499.999 3500.000- 1

Structural Reform - Objectives

• A simple and efficient public sector• Improved services with unchanged taxes• “A world class health service”• Less bureaucracy and fewer counters• More influence for the citizens• Better participatory democracy

Structural Reform Time PlanOctober 2002: Appointment of Commission on Administrative StructureJanuary 2004: Report and recommendation from the commission24 April 2004: Government programme ”New Denmark”!June 2004: Agreement with political parties in Parliament1 July 2005: Parliament decision on new administrative structureNovember 2005: Local election to new municipal councils1 January 2006: New councils in office1 January 2007: New structure and division of task in place

Commission on administrative structure - recommendations

Larger municipal and regional units …to ensure:

Professional sustainability Economies of scale One entrance to the public sector – easy access for

the citizensChange in distribution of tasks … to ensure:

Coherence in performing tasks Coordinated offers for citizens– termination of grey

zones Improvement of efficiency and transparency

Government Reform Programme ”New Denmark”

• Combined “Strengthened municipalities model” and “State model”

Municipalities: The majority of welfare state tasks 5 regions with one single task = Health care Central Government: National/regional coordination and highly specialized institutions

• The Municipality: “One entrance to the public sector”

Focus on E-government

Procedures for aggregation • Voluntary aggregations (under potential threat)• Minimum size 20,000 inhabitants – although

30,000 recommended • Municipalities below 20,000 inhabitants:

Either aggregate or Mandatory cooperation with neighbouring municipalities on service delivery

The new Danish local government system after 2007

Central government

5 regions

98municipalities

Nearly all citizens services

Ex:National infrastructure

Higher educationJudicial system

General practitioners Regional transportHospitals

From2007:

5 NewRegions

98 new municipalities:

www.guldborgsund.dk

Change in Counties’ tasks from 2007• Hospitals an public health insurance to

regions• Round-the-clock social service partly to

municipalities• Secondary education to self ownership• Regional planning and development large

part to municipalities • Culture to municipalities and state• Environmental control to municipalities• Major roads and regional public transport

to municipalities

Central government tasks• Overall economic policy• Overall Legislation• Foreign policy and defense• Judicial system: courts, prisons and police• Customs authorities• Postal services• Overall transport system• Employment services• Vocational training• Higher education• Tax collection and tax assessment from

municipalities

Regional responsibilities• Hospitals, general practitioners, specialist doctors (93 %)• Regional Specialised Care Institutions (4%)• Regional development planning, incl. public traffic (3%)

Municipality responsibilities • Day-care and schools• Elder care• Labour market • Local roads • Nature, environment, physical planning • Supply of water and energy, waste management• Health and preventive medicine (KRAM)• Framework for cultural activities in the local areas• Framework for business and tourism development

Merging process for Guldborgsund Municipality: four phases

• Six small municipalities merge into 1 large

1. Clarification phase2. Planning phase3. Descison phase4. Implementation phase

1 Clarification phase

• Process strategy: Organisation Time plan Ethical rules Communication strategy

• Starting status descriptions on thematic areas

• Vision for the new municipality

2 Planning phase • Status descriptions completed and plans being

prepared for Organisation / administration Economy Elder Care Children / Schools / Leisure Employees Etc.

3 Decision phase

For each policy area:- Prepare central organisation- Appoint leaders- Distribute employees- Decide service level- Secure physical area- Economy

• Generel• Contracts• IT:

• Data• Techniques• Telephones

• Employments

4 Implementation phase

• Actual moving• Start of new

municipality• De-central structure• Uniform service level

• Developing qualifications of leaders & employees.

• Development of policies• Development of solutions

Guldborgsund Municipality – Organisational Structure, today

Guldborgsund Municipality City Council – today. 29 members

Finance Committee

Labour Market Committee

Public Involvement Ad Hoc Committee

Social & Psychiatric Committee

Public Health and Care Committee

Infrastructure & Environment Committee

Culture, Tourism & Settlement Committee

Children, Family & Education Committee

Thank you for your attentionQuestions?