“Parliament supports the Union of Municipalities of Montenegro: municipalities cannot bear the burden of new services alone”

At the session of the Human Rights and Freedoms Committee of the Parliament of Montenegro, the Secretary of the Committee for Social Affairs of the Union of Municipalities of Montenegro, Ivana Nedovićcalled for compliance with the conclusion of the Parliament of Montenegro, which was included in the materials for this session. Through this conclusion, the highest legislative body appeals for the proposal of the Union of Municipalities to be considered with full seriousness and due attention, namely that local self-governments should participate with 30 percent in financing the total costs of day centres, while the remaining amount should be evenly distributed among the sectors of health, education, and social welfare. As she emphasized, this model is particularly important given that day centres will provide integrated services, as will be defined by the new Law on Social and Child Protection.

“Nedović recalled that the Committee had previously given full support to this initiative and had, through the conclusions adopted at its sessions, repeatedly emphasized the need for intersectoral cooperation, as well as for a fair distribution of costs among the competent ministries. It was precisely this continuity of action, she noted, that ultimately resulted in the adoption of the corresponding conclusion at the plenary session of the Parliament of Montenegro. ‘I would like to take this opportunity to ask the esteemed colleagues from the aforementioned sectors whether they have acted, and whether they will act, in accordance with the conclusion of the highest legislative body in Montenegro,’ Nedović stated.”

Speaking about the new normative framework, she recalled that the Draft Law on Social and Child Protection envisages transferring key community-based support services to the competence of municipalities, including day-care services (including day centres for children with developmental disabilities and difficulties), home care, personal assistance, and counselling services. This places a significant financial burden on local self-governments. For this reason, as she stated, it is essential that the Ministry of Labour and Social Welfare finally prepare a precise assessment of the costs that municipalities will bear if these services are transferred to their competence.

“Without a cost assessment, local self-governments, as well as the Union of Municipalities of Montenegro as their association, cannot give a final opinion on the proposed provisions of the new law. Therefore, will an RIA, that is, an analysis of the effects of this draft law on municipal budgets, be carried out?’ Nedović asked.

Nedović also pointed to the recommendations of the Council of Europe relating to fiscal decentralization. 

‘I would like to remind you that local self-governments are currently not in a position to provide such a new and broader range of services,’ Nedović stated, emphasizing that they are bound by the conclusion of the Parliament of Montenegro, which specifically calls for relieving local budgets of financing services that fall under state competence. However, according to the proposed solutions in the Draft Law, the costs for municipalities would increase several times over — without a clear and precise methodology for determining the cost of the services themselves, as well as the amount that would burden each individual municipality proportionally to the number of beneficiaries.

She further recalled that strategic documents envisage the provision of a minimum of three community-based support services in every municipality. For this purpose, the competent ministry requested almost eight million euros, while only two million euros were secured. ‘I'm not sure how these services will then be provided,’ she added, while also emphasizing that she was encouraged by the statement that, in the event of the adoption of the new law, additional funding could be allocated in order to fulfil legal obligations and ensure the necessary services for citizens.

At the end of her presentation, Nedović once again drew attention to the necessity of intersectoral agreement, precise planning, and a realistic assessment of the financial burden on local self-governments, stressing that this is the only way to make community-based support services sustainable and accessible to those who need them most.  

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