The U.S. Budget and Economic Outlook (Presentation)
Strukturreform estisk besøg 18. nov 2015
1. BY CLAUS THYKJÆR, CITY MANAGER
WELCOME TO
GULDBORGSUND MUNICIPALITY
Danish Structural Reform 2002-2007-2015
VISIT OF MAYORS FROM ESTONIA
2. 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
3. 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
4. Schematic organisation of the Danish
local government system, before reform
The central
government
13
counties
Copenhagen,
Frederiksberg
and
Bornholm
275
Munici-
palities
6. Distribution of counties
according to population, before reform
Largest: Århus (644.666)
Smallest: Bornholm (44.197)
Inhabitants Counties
0-199.999 2
200.000-299.999 9
300.000-399.999 1
400.000-499.999 3
500.000- 1
7. 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
8. Structural Reform Time Plan
October 2002: Appointment of Commission on
Administrative Structure
January 2004: Report and recommendation from the
commission
24 April 2004: Government programme ”New Denmark”!
June 2004: Agreement with political parties in Parliament
1 July 2005: Parliament decision on new administrative
structure
November 2005: Local election to new municipal councils
1 January 2006: New councils in office
1 January 2007: New structure and division of task in
place
9. 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 citizens
Change in distribution of tasks … to ensure:
Coherence in performing tasks
Coordinated offers for citizens– termination of grey
zones
Improvement of efficiency and transparency
10. 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
11. 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
12. The new Danish
local government system after 2007
Central
government
5
regions
98
municipalities
Nearly all citizens services
Ex:
National infrastructure
Higher education
Judicial system
General practitioners
Regional transport
Hospitals
15. 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
16. 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
17. 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
18. Merging process for Guldborgsund
Municipality: four phases
• Six small municipalities merge into 1 large
1. Clarification phase
2. Planning phase
3. Descison phase
4. Implementation phase
19. 1 Clarification phase
• Process strategy:
Organisation
Time plan
Ethical rules
Communication
strategy
• Starting status
descriptions on
thematic areas
• Vision for the new
municipality
20. 2 Planning phase
• Status descriptions completed and plans being
prepared for
Organisation / administration
Economy
Elder Care
Children / Schools / Leisure
Employees
Etc.
21. 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
22. 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
24. 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