The document presents a hierarchical decentralized network reconfiguration approach to minimize power losses in smart distribution systems. It applies the proposed approach to four test distribution systems and compares the results to existing centralized and harmony search methods. The decentralized approach can achieve similar results as other methods with significantly reduced computation time. It also studies the impacts of time-varying loads and faults through dynamic network reconfiguration on a 118-bus test system. Simulation results show the optimal configuration for each operating period can significantly reduce energy losses.