Estonian Local Governments

Estonian Local Governments

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45 000 km², 1.36 million inhabitants15 counties - administrative units representing central

government at regional level. There is no elected regional level.

Single tier local self-government system: 226 local governments

Eesti Maaomavalitsuste Liit

19/04/23Eesti Maaomavalitsuste Liit 3

19/04/23 4Eesti Maaomavalitsuste Liit

County Area (sq km) Population Number of municipalities

Harju 4 333 554 986 23Hiiu 1 023 10 322 5Ida-Viru 3 364 166 979 22Jõgeva 2 604 35 370 13Järva 2 623 34 940 12Lääne 2 383 27 622 12Lääne-Viru 3 465 66 443 15Põlva 2 165 31 066 14Pärnu 4 806 90 604 20Rapla 2 980 37 179 10Saare 2 922 35 925 16Tartu 2 993 148 838 22Valga 2 044 34 057 13Viljandi 3 422 53 636 15Võru 2 305 37 878 13Total 43 432 1 365 845 226AVERAGE 2 895 91 056


According to the constitution, all local issues shall be resolved and managed by local governments, which shall operate independently pursuant to law

Duties may be imposed on a local government only pursuant to law or by agreement with the local government. Expenditure related to duties of the state imposed by law on a local government shall be funded from the state budget

Estonia ratified European Charter of Local Self-Government in full on 1994

Council elections - regulated by Local Government Council Election Act

Councils shall be elected for four years. Council elections shall be held on the third Sunday in October in an election year, EU citizens can elect and be elected, foreigners have right to elect, but not to stand as a candidate

In Estonia Local Governments are political, the majority of LG Council appoints Mayor and Mayor forms Government


Provision of public services and amenities, construction and maintenance of infrastructure necessary to provide public services

Pre – school, primary and secondary education Social care, welfare services Housing and utilities Water supply, sewage Spatial planning Municipal public transport and maintenance of

municipal roads Youth work Leisure activities


The European Charter of Local Self-Government (passed by the Parliament on 28 September 1994), which sets forth the general democratic principles concerning the organisation of local authorities. The Riigikogu (parliament) ratified the charter in full without restricting clauses.

The Local Government Organisation Act (passed by the Parliament on 2 June 1993). This act determines the functions, responsibilities and organisation of local authorities and the relations of local authority bodies with one another and with state bodies. Furthermore, the act sets down the framework for participation in economic activities, the procedure for forming rural municipal districts and city districts, the general structure of the council, the principles for forming the government and the responsibilities of the local authority bodies and other issues.

State Budget Act (entered into force 1 January 2000). This act determines expenditure related to duties of the state imposed by law on a local government shall be funded through allocations from the state budget, appropriations shall be made from the state budget to a local government budget:1) through the budget equalisation fund;2) as appropriations intended for specific purposes.


State Budget Act . The size of the budget equalisation fund in the draft state budget and the distribution of the budget equalisation fund shall be determined on the basis of an agreement between the authorized representatives of the local governments and local government associations and the Government of the Republic. If an agreement is not reached, the size of the budget equalisation fund in the draft state budget and the distribution thereof shall be decided by the Government of the Republic, which shall present the dissenting opinions to the Parliament (Riigikogu) in the explanatory memorandum to the draft budget. The size of the budget equalisation fund and the principles of the distribution thereof shall be provided in the state budget.

Rural Municipality and City Budgets Act (entered into force 1 January 1994). This act provides the procedure for the preparation, passage and implementation of rural municipality and city budgets.

The Local Taxes Act (entered into force 24 October 1994). This act governs local taxes, the procedure for the imposition of local taxes and the requirements for local taxes. Local authorities may impose local taxes only in accordance with the law.

Territory of Estonia Administrative Division Act (entered into force 27 March 1995). This act sets down the administrative division of Estonia’s territory into counties, rural municipalities and cities, and the bases and procedure for the alteration of boundaries, changes to the names of administrative units, amalgamation procedures carried out by the initiative of local government or by State Government.


The Public Service Act (entered into force 1 January 1996). This act lays down the conditions for the employment of public officials and their rights and obligations. The act regulates the evaluation of officials, their promotion and dismissal, the obligations of officials, and so on

The Local Authority Council Election Act (passed by the Parliament 27 March 2002). This act regulates the formation of electoral districts and polling stations, the registration of voters, the nomination and registration of candidates and so on. Pursuant to the law, local authorities receive funds from the state budget for this purpose.

The Promotion of Local Government Merger Act (entered into force 25 July 2004). The purpose of this Act is to promote the merger of local governments and structuring of the administrative division of the territory resulting in an increase of the administrative capacity of local governments and their ability to prepare successful project applications, improvement of the accessibility and quality of public services offered by local governments within their territory and growth of the cooperative ability of local governments. Merger grants are allocated from the state budget to the local governments formed as the result of a merger.

Local Government Associations Act (entered into force 1 January 2003) provides the specifications for the foundation and activities of regional associations of local governments and national associations of local governments as compared to the Non-profit Associations Act.


Number of inhabitantsNumber of

municipalitiesPercentage of total

population

Under 2 000 119 10,70%

2 001-5 000 63 14,86%

5 001-10 000 26 12,77%

10 001-20 000 13 13,66%

20 001-100 000 4 18,26%

Over 100 001 1 29,75%

Total 226 100%


The main source of income for LG-s comes from Personalized income tax, 11,4 % of personal income accrues into LG budget, income tax in Estonia is 21 %.

Equalization fund – state financed, to equalize income base for LG-s

Block Grants – earmarked grants from state budget for: Educational expences, School lunch, Subsistence benefit, Social benefits, Additional grant for small islands, Grant to stabilize LG income base (measure used to lessen the impact of recession on LG-s with biggest downturn in income)

LG has the right to establish Local taxes in accordance Local Taxes Act – Local taxes are: Boat tax, Advertisement tax, Road and street closure tax, Motor vehicle tax, Animal tax, Entertainment tax, Parking charge.


2008 2009 2010 budgetAllocations to LG budgets total, incl 5 189 435 280 4 662 811 532 4 697 041 075

Equalisation fund 1 430 000 000 1 101 500 000 1 101 500 000

Earmarked grants 3 759 435 280 3 561 311 532 3 595 541 075

- eduational costs 3 490 169 780 3 238 132 282 3 124 974 375

- subsistence benefits 80 765 500 200 000 000 350 000 000

- social aid and services 32 000 000 36 679 250 44 066 700

- kindergardens 150 000 000 - -

- LG revenue base support - 30 000 000 120 000 000

- Island LG-s additional support 6 500 000 6 500 000 6 500 000



Local governments have the right to form local government associations and found joint agencies. An association represents the local governments belonging to the association as a single entity in relations with state bodies, other persons and international organisations.

Two national associations:

◦ Association of Estonian Cities www.ell.ee

◦Association of Municipalities of Estonia www.emovl.ee

◦ 15 regional municipalities associations


The AME was first established on 20th November 1921, it functioned until 1940 and resumed activities in 1990 after Estonia regained its independence;

On 6th November 2002, Local Government Associations Act (implemented on 1st January 2003) provides the specifications for the foundation and activities of regional associations of local governments and national associations of local governments as compared to the Non-profit Associations Act.

On 14th November 2003, AME General Assembly re-established the activity of Association of Municipalitis of Estonia, 131 LG (2012) in Paide.

Main objectives of AME are:to represent and protect the rights and common interests of its members to contribute to the overall development of local government to stimulate cooperation between local authorities on national as well as international levels


AME provides member authorities with an opportunity to develop and express a united voice on national and European level and policies affecting local government by: • acting as a spokesperson of its members vis-à-vis Riigikogu (the Estonian Parliament) and the central government• participating in the Co-operation Assembly of the National Associations of Local Authorities in conducting annual negotiations with the central government on issues relevant to local authorities and on state budget allocations to local governments• analysing the impact of and presenting opinions on draft legislation of relevance to local authorities• participating, through its representatives, in the work of the Committee of the Regions and the Congress of Local and Regional Authorities of Europe, European organisations and networks of local authorities• arranging study tours, training and information events .Ear-marked grants and programs to raise administrative capacity of local governments and their associations



CoR

AME (Association of Municipalities of Estonia) – full members:Uno Silberg – Kose ; Urve Erikson – Tudulinna , Kurmet Müürsepp – a member of the Council of Antsla Rural Municipality.deputy members : Villi Pihl, Kärla ; Kadri Tillemann, Keila ; Saima Kalev, Jõgeva ; Juri Gotmans, Sõmerpalu.

CLRAE AME representatives CLRAE : Sirje Tobreluts Laheda and Jüri Landberg, the Council of Rägavere Rural Municipality , deputy member Leo Aadel, Haljala.

CEMR AME representatives : Jüri Landberg AME chairman ; Ott Kasuri AME executive director, CEMR focus grup & thematic platform : Aare Vabamägi, AME etc.

BSSSC AME representatives on the board : Ülle Erman – Taebla.

Cooperation : Finland KL (2004) ; Sweden SALAR (2006), Russia Pskov & St Petersburg region (2009).



Main aims are: Capable LG-s Accessibility and quality of local services

To achieve that: We have ordered a study from OECD on equalisation

fund, educational and social issues Based on that we can evaluate LG revenue base,

equalisation fund, LG effectivity and offer solutions how to improve LG-s level of governance and service.

We will promote more cooperation, voluntary amalgamations, delegation of public services to NGO-s etc.


Thank you for your attention!


According to the Local Government Council Election Act Estonian citizens and citizens of the European Union who have attained 18 years of age by election day and whose permanent residence, i.e. residence the address details of which have been entered in the Estonian population register is located in the corresponding rural municipality or city have the right to vote. An alien has the right to vote if he or she meets the same conditions specified thereinbefore and who resides in Estonia on the basis of a long-term residence permit or the right of permanent residence. Every Estonian citizen and citizen of the European Union who has the right to vote and whose permanent residence is located in the corresponding rural municipality or city not later than on 1 August of an election year has the right to stand as a candidate. Foreigners may not, however, stand as a candidate for the local council. Local elections are held every fourth year on the third Sunday in October.

A regular member of the Defence Forces or a person who has been convicted of a criminal offence by a court and is serving a prison sentence shall not stand as a candidate for election to a council.


Local council members are elected according to the proportional electoral system on the basis of candidate lists. Both nationally registered parties, election coalitions and candidate lists not related to specific parties may be presented for registration at the elections. Besides candidate lists single candidates can participate. Mainly in the bigger towns national parties stand for the council elections with their own candidate lists. In the majority of towns and rural municipalities local candidate lists are predominantly composed of members of different parties and of non-party candidates. Candidates from lists which acquire more than 5% of the valid votes will become members of the local council.

A person who has been elected to a municipal council cannot act as a municipal councilor when he/she is elected to the post of mayor, or if he/she has been appointed to the municipal government, or appointed as a member of the Government of the Republic, or if he/she is the General Auditor, the Legal Chancellor or a county governor, or has to perform military service (or equivalent service).


Documents

Estonian Local Governments