REPUBLIC OF LITHUANIA
Law on regional development
20 July 2000 – No VIII-1889
(As last amended on 17 December 2013 – No XII-690)
Vilnius
CHAPTER I
GENERAL PROVISIONS
Article 1. Purpose of the Law
This Law shall establish the goal and objectives of the national regional policy and the implementation measures thereof, the preparation and approval of regional development planning documents as well as the powers of entities implementing the national regional policy.
Article 2. Definitions
1. National regional policy shall mean purposeful activities of state institutions and other entities which make a differentiated impact on the socio-economic development of the State’s regions with a view to reducing socio-economic disparities among the regions as well as an imbalanced development within the regions and encouraging a balanced and sustainable development of the entire territory of the State.
2. Problem area shall mean a target area for the implementation of the national regional policy identified by the Government, with specific social and/or economic problems meeting the criteria of identification of problem areas established by the Government.
3. Criterion of identification of a problem area shall mean a measure of assessment of the social and/or economic situation in a problem area, which is determined taking into account the priorities of the national regional policy approved by the Government and the nature and extent of the specific occurring social and/or economic problems.
4. Problem area development programme shall mean a document which specifies measures of socio-economic development intended for the part of the territory of the State to be developed.
5. Region shall mean an integral part of the territory of the State wherein the national regional policy is under implementation.
6. Regional development plan shall mean a medium-term strategic planning document which contains the basic data of assessment of the socio-economic situation in the region and analysis thereof, specifies the strategic goals and objectives of development of the region and measures of their possible implementation.
7. Programme for reduction of socio-economic disparities among the regions shall mean a strategic planning document of the national regional policy which specifies the goals, objectives and priorities of the national regional policy for the period of development, as well as the strategic goals and objectives of development of the identified problem areas and proposals concerning the development of the regions with specific regional and local problems in the individual branches (sectors) of economy to be tackled through the development strategies and programmes for those branches (sectors) of economy.
CHAPTER II
GOAL AND OBJECTIVES OF THE NATIONAL REGIONAL POLICY AND
MEASURES OF IMPLEMENTATION THEREOF
Article 3. Goal and Objectives of the National Regional Policy
1. The main goal of the national regional policy shall be reduction of socio-economic disparities among the regions and within the regions and promotion of the balanced and sustainable development of the entire territory of the State.
2. The objectives of the national regional policy shall be:
2) to grant State aid to the projects under implementation in the regions with specific regional and local problems in the individual branches (sectors) of economy;
Article 4. Implementation Measures of the National Regional Policy
1. In implementing the national regional policy, State aid may be granted in accordance with the procedure set out by the legal acts of the European Union and the Republic of Lithuania regulating the granting of State aid.
2. The national regional policy shall be implemented through the State’s public policy, primarily, through the development of business, human resources and infrastructure. It shall be a constituent part of the State’s public policy.
3. Projects on the implementation of socio-economic development measures as part of the problem area development programme may be funded directly from the State budget, other sources of funding and the EU support funds.
4. Socio-economic development projects as well as infrastructure projects intended for tackling specific regional and local problems in the individual branches (sectors) of economy in specific regions may be funded from the State budget where they are included in the development strategies for the individual branches (sectors) of economy, comply with the effective master and special plans of the territories and are not in contradiction with the master plan of the territory of the Republic of Lithuania, also from other sources of funding and the EU support funds.
Article 5. Areas Wherein the National Regional Policy is under Implementation
1. The national regional policy shall be implemented in the State’s territorial administrative units – counties and municipalities. Regional development planning shall be carried out in the counties.
2. For the purpose of implementation of the goal and objectives of the national regional policy, the Government may form regions from several bordering counties or municipalities.
3. Where a region is formed from several bordering municipalities and the region’s boundaries do not correspond to the boundaries of the territories of the counties, the Ministry of the Interior shall coordinate the issue with the councils of the municipalities to be part of such regions.
Article 6. Problem Areas
1. A problem area shall be comprised of:
2) the territory of several regions with common administrative boundaries or the territory of the municipalities of those regions with common administrative boundaries;
Article 7. Regional Development Planning Documents
1. The following shall be prepared for the purpose of implementation of the national regional policy:
2. Regional development planning documents shall be prepared in accordance with the territorial planning documents prepared under the Law on Territorial Planning.
Article 8. Preparation and Approval of Regional Development Planning Documents on a Regional Level
Version of paragraph 1 before 1 December 2010:
1. A draft regional development plan shall be prepared by the Ministry of the Interior or an institution authorized by it:
1) taking account of the Long-term Development Strategy of the State, the development strategies for the individual branches (sectors) of economy, the master plan of the territory of the Republic of Lithuania, the national EU structural assistance programming documents, the master plans of the territory of the county and the territories of the municipalities located therein as well as the municipal strategic development plans;
Version of paragraph 1 as of 1 January 2011:
1. A draft regional development plan shall be prepared by an institution under the Ministry of the Interior:
1) taking account of the Long-term Development Strategy of the State, the development strategies for the individual branches (sectors) of economy, the master plan of the territory of the Republic of Lithuania, the national EU structural assistance programming documents, the master plans of the territory of the county and the territories of the municipalities located therein as well as the municipal strategic development plans;
2. A regional development plan must specify the following:
2) the strategic goals and objectives of regional development aimed at tackling specific regional and local problems in the individual branches (sectors) of economy;
3. Regional development plans shall be prepared in accordance with the methods approved by the Ministry of the Interior.
Article 9. Preparation and Approval of Regional Development Planning Documents on a National Level
1. The programme for reduction of socio-economic disparities among the regions shall be prepared by the Ministry of the Interior:
1) taking account of the Long-term Development Strategy of the State, the development strategies for the individual branches (sectors) of economy, the master plan of the territory of the Republic of Lithuania and the national EU structural assistance programming documents;
2) upon carrying out a comparative analysis of the socio-economic situation and development tendencies in the regions;
3) upon assessment of the goals and objectives aimed at tackling specific regional and local problems in the individual branches (sectors) of economy defined in the regional development plans;
2. The programme for reduction of socio-economic disparities among the regions must specify the following:
1) the basic data of a comparative analysis of the socio-economic situation and development tendencies in the regions;
2) the goals, objectives and priorities of the national regional policy for the period of development;
3) the strategic goals and objectives of the development of problem areas, the criteria for granting of State aid to problem areas;
4) the priority objectives and measures aimed at tackling specific regional and local problems in the individual branches (sectors) of economy based on the region; The proposed method of implementation of these objectives and measures shall be through development programmes for the individual branches (sectors) of economy.
3. The National Regional Development Council shall consider the strategic goals and objectives of development of problem areas set out in the programme for reduction of socio-economic disparities among the regions, the criteria for the granting of State aid to problem areas and priority objectives and measures aimed at tackling specific regional and local problems in the individual branches (sectors) of economy based on the region. Upon receiving the National Regional Development Council’s approval of the programme for reduction of socio-economic disparities among the regions, the Ministry of the Interior shall submit the programme to the Government for consideration and approval. Upon the Government’s approval of the programme for reduction of socio-economic disparities among the regions, the Ministries responsible for specific areas of management shall include the goals and objectives of the programme and measures of the implementation thereof into the development strategies for the individual branches (sectors) of economy and take them into account when preparing national EU structural assistance programming documents.
4. Upon the Government’s identification of problem areas and approval of the programme for reduction of socio-economic disparities among the regions, the Ministry of the Interior shall, in cooperation with the administrations of the municipalities located in the problem areas, organise the preparation of the problem area development programme. The problem area development programme shall be considered by the National Regional Development Council. The problem area development programme shall be approved by the Government upon obtaining the approval of the National Regional Development Council.
Article 10. Powers of the Government in Formulating and Implementing the National Regional Policy
When formulating and implementing the national regional policy, the Government shall:
2) set up the National Regional Development Council, approve the composition and regulations thereof;
3) establish the criteria of identification of problem areas. Having assessed the peculiarities of the social and/or economic problems, the criteria for individual problem areas may differ;
5) consider and approve the programme for reduction of socio-economic disparities among the regions;
Article 11. Powers of the Ministry of the Interior in Implementing the National Regional Policy
1. The Ministry of the Interior shall be responsible for coordination of the national regional policy.
2. In formulating and implementing the national regional policy, the Ministry of the Interior shall:
2) take part in the preparation of the Long-term Development Strategy of the State, as well as development strategies and programmes for the individual branches (sectors) of economy, and be responsible for the implementation of the goal and objectives of the national regional policy;
3) submit conclusions to developers (where necessary – to the Government) on whether the legal acts, programmes and other documents establishing key public policy trends are in compliance with the goal and objectives of the national regional policy;
4) organize the preparation of the programme for reduction of socio-economic disparities among the regions, submit the document for consideration to the National Regional Development Council and, upon its approval, submit it for consideration and approval to the Government;
6) prepare problem area development programmes, submit them for consideration to the National Regional Development Council and, upon its approval, submit them for approval to the Government;
7) consider development strategies for the individual branches (sectors) of economy, the proposed measures of State aid for regional development and, upon assessment of efficiency of these measures, submit to the Ministries conclusions on whether they are in compliance with the goal and objectives of the national regional policy;
8) provide consultation to regional development councils in relation to the regional development plans under preparation, and submit proposals on their improvement;
9) provide information to the National Regional Development Council in relation to the implementation of the regional development programme aimed at improving regional development planning, providing assistance to municipalities in preparing draft projects matching local initiatives and at developing international cooperation in the field of regional policy, and in relation to the use of this programme, as well as administer the funds of the regional development programme;
11) submit proposals to state institutions and municipalities in relation to the implementation of the programme for reduction of socio-economic disparities among the regions and problem area development programmes;
12) organize discussions with state institutions and municipalities and social and economic partners on the regional development planning documents under preparation, provide information to state institutions, municipalities and the public on the preparation and implementation of the programme for reduction of socio-economic disparities among the regions and problem area development programmes.
3. The state institutions and municipalities which received recommendations from the Ministry of the Interior in relation to the implementation of the programme for reduction of socio-economic disparities among the regions, problem area development programmes and regional development plans must provide the Ministry of the Interior with reasoned information specifying the recommendations which have not been taken into account.
Article 12. National Regional Development Council and Its Powers
1. The National Regional Development Council shall be an advisory body consisting of the Ministries, other state institutions and agencies, the Association of Local Authorities in Lithuania, representatives of social and economic partners and the chairpersons of regional development councils.
2. The chairperson of the National Regional Development Council shall be appointed by the Government.
3. Social and economic partners having no representatives in the National Regional Development Council shall take part in the work of the Council in an advisory capacity. The National Regional Development Council shall invite social and economic partners to attend its meetings.
4. The National Regional Development Council shall:
1) consider the goal, objectives and measures of the national regional policy, development strategies for the individual branches (sectors) of economy and submit conclusions and proposals to developers thereof and the Government;
2) consider the programme for reduction of socio-economic disparities among the regions and submit conclusions regarding the programme to the Ministry of the Interior;
3) consider problem area development programmes and development programmes for the individual branches (sectors) of economy, submit conclusions and proposals to developers of these programmes and the Government;
4) consider and submit to the Ministry of the Interior conclusions in relation to the regional development programme aimed at improving regional development planning, providing assistance to municipalities in preparing draft projects matching local initiatives and at developing international cooperation in the field of regional policy, and in relation to the use of funds;
Article 13. Regional Development Councils and Their Powers
1. A regional development council shall consist of the mayors of the region’s municipalities, delegated members of municipal councils and a person appointed by the Government or an institution authorized by it.
2. The composition of a regional development council shall be approved by the Minister of the Interior within three months after the announcement of final results of elections to municipal councils. A member of the regional development council authorized by the Minister of the Interior shall convene the first meeting of the regional development council and chair the meetings of the regional development council until the council elects its chairperson.
3. Members of municipal councils shall be delegated to a regional development council by the municipal councils based on the number of residents in each municipality:
4. The number of residents of a municipality shall be determined in accordance with the accounting data of persons with the declared place of residence and persons without the place of residence, available on the 1st of January of the calendar year that preceded the calendar year in which the last election to municipal councils were held, where such data have been announced on the website of the administrator of the Residents’ Register of the Republic of Lithuania in accordance with the procedure and within the time limits laid down in the regulations of the administrator of the Register.
5. Social and economic partners shall take part in the work of a regional development council in an advisory capacity. A regional development council shall invite social and economic partners to attend its meetings.
6. In cases where regions are formed by the Government, the procedure for setting up regional development councils shall be established by the Government in accordance with this Law.
7. A regional development council:
3) shall submit conclusions to the Ministry of the Interior and the National Regional Development Council on the implementation of the regional development plan;
4) shall consider and submit proposals to the Ministry of the Interior and the National Regional Development Council in relation to the programme for reduction of socio-economic disparities among the regions;
5) shall submit proposals to the Ministry of the Interior in relation to the criteria of identification of problem areas and State aid to be granted to the projects under implementation in those areas;
6) shall submit proposals to the Government and the Ministry of the Interior in relation to the problem area development programme and the implementation thereof;
7) shall consider proposals by municipalities and state institutions in relation to socio-economic development projects submitted in the course of implementation of the programmes for reduction of socio-economic disparities among the regions, problem area development programmes, the regional development plan, municipal strategic development plans and the national EU structural assistance programming documents; in accordance with the provisions of the national EU structural assistance programming documents, other strategic planning documents and territorial planning documents and in accordance with the procedure established by the Government, shall select projects and draw up and approve the lists of projects proposed to be funded;
8) shall elect the chairperson of the regional development council and his deputy, and shall dismiss them from office;
9) may set up working groups and authorize them to examine specific issues within the powers of the regional development council and submit conclusions in relation to the issues, shall consider and adopt decisions in relation to the submitted conclusions;
8. Decisions of a regional development council shall be taken by majority vote of all the members of the regional development council in accordance with its rules of procedure.
9. A regional development council shall adopt decisions relating to the regional development plan, its implementation, the identification of a problem area, the development programme for that problem area, the most relevant regional socio-economic development projects as well as other decisions which may have a profound effect on the socio-economic development of that region (county) having consulted social and economic partners and representatives of territorial Labour Exchange offices. To this end, the regional development council may set up an advisory working group of social and economic partners which shall submit its conclusions in relation to the decision to be adopted. When taking a decision, the regional development council shall evaluate the conclusions of the working group.
Version of paragraph 1 before 1 December 2010:
Article 14. Powers of the Ministry of the Interior or an Institution Authorized by It in Implementing the National Regional Policy in the Counties
In implementing the national regional policy in the counties, the Ministry of the Interior or an institution authorized by it shall:
1) prepare a draft regional development plan in accordance with the procedure established by the Minister of the Interior and submit it to the regional development council for consideration and approval;
2) prepare proposals for the regional development council in relation to the implementation of the regional development plan, the programme for reduction of socio-economic disparities among the regions, the criteria of identification of problem areas and State aid to be granted to the projects under implementation in those areas;
4) having summarised the proposals of the municipalities in relation to the regional socio-economic development projects matching the regional and local initiatives, submit these projects for consideration to the regional development council;
5) coordinate the activities of municipal institutions and social and economic partners in their implementation of the adopted decisions related to the implementation of the national regional policy in that region;
6) perform the functions of the secretariat of the regional development council, collect the documents adopted by the regional development council and the conclusions of the working groups set up by the council;
7) organize discussions with state institutions and municipalities and social and economic partners on the regional development planning documents under preparation, and, in accordance with the established procedure, provide information to the state institutions, municipalities and the public on the preparation and implementation of the regional development plans;
Version of paragraph 1 as of 1 January 2011:
Article 14. Institution under the Ministry of the Interior and Its Powers in Implementing the National Regional Policy
1. For the purpose of carrying out the functions relating to the implementation of the national regional policy as prescribed by this Law, an institution under the Ministry – the Regional Development Department under the Ministry of the Interior (hereinafter referred to as the “institution under the Ministry”) shall be set up in accordance with the procedure laid down by laws. The institution under the Ministry of the Interior shall have territorial divisions (offices) which shall carry out their activities in each county.
2. In implementing the national regional policy, the institution under the Ministry of the Interior shall:
1) prepare a draft regional development plan in accordance with the procedure established by the Minister of the Interior and submit it to the regional development council for consideration and approval;
2) prepare proposals for the regional development council in relation to the implementation of the regional development plan, the programme for reduction of socio-economic disparities among the regions, the criteria of identification of problem areas and State aid to be granted to the projects under implementation in those areas;
3) in the manner prescribed by law, participate in preparing and implementing of problem area development programmes;
4) having summarised the proposals of the municipalities in relation to the regional socio-economic development projects matching the regional and local initiatives, submit these projects for consideration to the regional development council;
5) coordinate the activities of municipal institutions and social and economic partners in their implementation of the adopted decisions related to the implementation of the national regional policy in that region;
6) perform the functions of the secretariat of the regional development council, collect the documents adopted by the regional development council and the conclusions of the working groups set up by the council;
7) organize discussions with state institutions and municipalities and social and economic partners on the regional development planning documents under preparation, and, in accordance with the established procedure, provide information to the state institutions, municipalities and the public on the preparation and implementation of the regional development plans;