THE GRAND DUCHY OF

LUXEMBOURG

THE GRAND DUCHY OF LUXEMBOURG

• The Capital-city: Luxembourg

• A hereditary duchy with a unicameral parliamentary system

• An independent state since the London Treaty (April 1839)

• Its neighbouring countries : Germany, Belgium, France

• Its area: 2 586 km2

• Its population: 483 800 inhabitants, among whom 205 000 foreigners (42%)

• The present Grand Duke is Henri Ist

LOCAL GOVERNMENT (1)Decentralization

one sole tier of local government 116 COMMUNES

Constitution (art. 107)

1988 Local Government Act

LOCAL GOVERNMENT (2)The Communes

Each of the 116 communes are public authorities : • they manage their own goods and properties – • they raise their own taxes • their local councils are controlled by the District Commissioners who are appointed by the Ministry of Interior

COMMUNE

Municipal Council Board of the Burgmaster and aldermen Burgmaster

LOCAL GOVERNMENT (3)The Municipal Council

• The local councillors are directly elected by citizens for a 6-year-term starting from January 1st following the election. They represent the deliberative body.

• Their duty: to manage every affair that is related to their commune • Their power: to regulate the police force

2 TYPES OF RESPONSIBILITY

mandatory optional

ExclusiveLaw and order, public health,

special police force

Shared with central government:

Main sectors (education,

environment…)

Eventually financed by central government and

controlled by the Ministry of Interior or the district

commissioner

LOCAL GOVERNMENT (4)The Municipal Council

NUMBER OF COUNCILLORS

Number of inhabitants

< 999 1,000 -2,999 3,000 - 5,999 6,000 – 9,999 10,000-14,999

15,000 – 19,999 ≥ 20,000

Number of councillors

7 9 11 13 15 17 19

• the Grand Duke has the right to dissolve the council

• Election: - principle: proportional list system in smaller communes

- in bigger communes over 3,000 inhabitants, a majority system

•Local councillors are prohibited from taking part in any decision made by their council whenever they have a direct or indirect interest in the debated matter (It is an offence of interference).

LOCAL GOVERNMENT (5)Board of the burgmaster and aldermen

EXECUTIVE BODY OF THE COMMUNE

the Burgmaster In all communes, 2 or more aldermen

Appointed by the Grand Duke, selected among Luxembourg-citizens in the Council (Local Government Act, Art. 39)

10,000-19,999 inhab.: 3 aldermen

Over 20,000 inhab.: 4 aldermen

City of Luxembourg:

6 aldermen

Appointed by the Grand Duke in the twelve bigger cities, by the Minister of Interior in all smaller communes

• Representatives of government in the commune (all Luxembourg-born councillors)

• Election and duties are identical to those of the municipal council

• Responsibilities: many (publication and enactment of the council’s decisions…)

LOCAL AUTHORITY (6)The Burgmaster

Role: to enact rules and regulations related to the police force, under the District Commissioner’s control.

Responsibilities

towards the Municipal Council towards central government

As a representative of the commune, the burgmaster : • chairs the local council and the board of Aldermen

• approves regulations and decrees made by the local council and the board of aldermen, publications, communal acts and correspondences

• is in charge of rules and regulations related to the work of the police force (road-traffic, public order, etc.)

LOCAL AUTHORITY (7)Local resources

1) Local government staff:

- 1985 Act: status of local government members of staff- 1988 Local Government Act - Art. 30: ‘the local council appoints, revokes and recruits

local government officers and employees on the Minister of Interior’s approval’. The municipal council proceeds by secret votes.

- Local council’s workmen and technical staff are named by the board of Aldermen- Legal incompatibilities: to be a member of staff in the commune and a member of the

local council - In each commune: one chief executive secretary + one tax-collector

2) FINANCES

- Taxes- Subsidies- Equalizing financial system- Loans - Some other sources of revenue

LOCAL AUTHORITY (8)Communal administration (1)

How to recruit a member of local government staff?

1) A position has to be declared vacant

2) Job vacancies are advertised (with application deadline)

3) Candidates are legally checked

4) Candidates have to pass exams

5) Results and marks are published by the Ministry of Interior

6) The list of candidates who passed is proposed to the local councillors who can make their choice. The nomination is carried out by secret vote

7) The final decision is made by the Ministry which approves it or not

8) If agreement is reached, candidates are informed

LOCAL AUTHORITY (9)Communal administration (2)

In each commune:

• The Chief-Executive is responsible for all kinds of correspondence that is linked with the commune’s duties and responsibilities; he/she writes the minutes of deliberations, etc.

• The Tax-Collector is in charge of local finance

• Communes over 10,000 inhabitants must organise a department for technical support(2004 Act, amended):

- to enact the Act on municipal utilities and urban development

- to prepare and control the technical aspects of projects

LOCAL AUTHORITY (10)Local finances

Sources of revenues:

• Taxes: business tax, financial tax• Subsidies: general grants and dedicated subsidies• Financial equalisation system• Loans (Local Government Act, Art. 106): over 50 000 €, Ministry of Interior has to

assess the financial situation and give its approval.• Other sources: taxes related to water distribution, waste collection

DISTRIBUTION OF REVENUES

business tax land properties, taxes revenues from and subsidies central government

33% 33% 33%

CONCLUSION

• A well advanced and coherent decentralised process thanks to its one-tiered local government system

• Main legal bases:

- Article 107 of the Constitution

- Local Government Act in 1988