LIETUVOS RESPUBLIKOS

LIETUVOS RESPUBLIKOS REPUBLIC OF LITHUANIA LAW ON REGIONAL DEVELOPMENT 20 July 2000 – No VIII-1889 (As last amended on 17 May 2007 – No X-1134) 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 drafting and approval of regional development planning documents, as well as the powers of entities implementing the national regional policy. Article
2. Definitions
3. National regional policy means purposeful activities of state institutions and other entities which make a differentiated impact on the social and economic development of the State’s regions with a view to reducing social and economic disparities among the regions as well as imbalanced development within the regions and encouraging balanced and sustainable development in the entire territory of the State.
4. Problem area means 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.
5. Criterion of identification of a problem area means the 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.
6. Problem area development programme means a document which specifies measures of social and economic development intended for the part of the territory of the State to be developed.
7. Region means an integral part of the territory of the State wherein the national regional policy is under implementation.
8. Regional development plan means a medium-term strategic planning document which contains the basic data of assessment of the social and 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.
9. Programme for the reduction of social and economic disparities among the regions means 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
10. Goal and Objectives of the National Regional Policy
11. The main goal of the national regional policy shall be the reduction of social and economic disparities among the regions and within the regions and the promotion of the balanced and sustainable development of the entire territory of the State.
12. The objectives of the national regional policy shall be: 1) to grant State aid to the projects under implementation in the problem areas; 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; 3) to create conditions for the long-term balanced and sustainable development of all the regions. Article
13. Implementation Measures of the National Regional Policy
14. 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.
15. 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.
16. Projects on the implementation of social and economic development measures under the problem area development programme may be financed directly from the State budget, other sources of financing and the EU support funds.
17. Social and economic development 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 financed 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 financing and the EU support funds. CHAPTER III REGIONS Article
18. Areas Wherein the National Regional Policy is under Implementation
19. The national regional policy shall be implemented and regional development planning shall be carried out in the counties.
20. 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.
21. Prior to the Government forming the regions the boundaries whereof do not correspond to the boundaries of the territories of the counties, the Ministry of the Interior shall coordinate the issue with the municipal councils and county governors to be part of such regions.
22. When implementing international cooperation programmes, the national regional policy may cover the activity related to the implementation of these programmes in neighbouring countries or separate territories thereof. Article
23. Problem Area
24. A problem area shall be comprised of: 1) the territory of one region; 2) the territory of several regions with common administrative boundaries or the territory of the municipalities of those regions with common administrative boundaries; 3) a part of the region which has one municipality or several municipalities with common administrative boundaries belonging to the same region.
25. The decision on the identification of problem areas shall be taken by the Government on the recommendation of the Ministry of the Interior. Prior to being recommended, the issue of identification of problem areas must be discussed at the National Regional Development Council. CHAPTER IV DRAFTING AND APPROVAL OF REGIONAL DEVELOPMENT PLANNING DOCUMENTS Article
26. Regional Development Planning Documents
27. The following shall be drafted for the purpose of implementation of the national regional policy: 1) regional development plans; 2) the programme for the reduction of social and economic disparities among the regions; problem area development programmes.
28. Regional development planning documents shall be drafted in accordance with the territorial planning documents drawn up under the Law on Territorial Planning.
29. A municipal strategic development plan may be drafted by a decision of the municipal council. Article
30. Drafting and Approval of Regional Development Planning Documents on a Regional Level
31. A draft regional development plan shall be drawn up by the county governor’s administration: 1) taking into consideration the Long-term Development Strategy of the State, the development strategies for individual branches (sectors) of economy, the master plan of the territory of the Republic of Lithuania, 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) upon the assessment of the social and economic situation in the region; 3) upon the assessment of the initiatives and recommendations of state and municipal institutions, social and economic partners and all the other competent enterprises, agencies and organisations.
32. A regional development plan must specify the following: 1) the basic data of the assessment of the social and economic situation in the region; 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) the possible implementation measures.
33. Regional development plans shall be drafted in accordance with the methods approved by the Ministry of the Interior.
34. A regional development plan shall be approved by the regional development council. Article
35. Drafting and Approval of Regional Development Planning Documents on a National Level
36. The programme for the reduction of social and economic disparities among the regions shall be developed 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 national EU structural assistance programming documents; 2) having carried out a comparative analysis of the social and economic situation and development tendencies in the regions; 3) upon the 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; 4) upon the assessment of the initiatives and recommendations of state and municipal institutions, municipalities, social and economic partners and all the other competent enterprises, agencies and organisations.
37. The programme for the reduction of social and economic disparities among the regions must specify the following: 1) the basic data of the comparative analysis of the social and economic situation and development tendencies in the regions; 2) the goals, objectives and priorities of the national regional policy during the period of development; 3) the strategic goals and objectives of the development of problem areas, the criteria for granting of State aid to the 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.
38. The National Regional Development Council shall consider the strategic goals and objectives of development of problem areas set out in the programme for the reduction of social and economic disparities among the regions, the criteria for the granting of State aid to the 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 the reduction of social and 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 the reduction of social and economic disparities among the regions, the Ministries responsible for specific spheres 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 drafting national EU structural assistance programming documents.
39. Upon the Government’s identification of problem areas and approval of the programme for the reduction of social and economic disparities among the regions, the Ministry of the Interior shall, in cooperation with the administration of the counties wherein the problem area is located and the municipal administration, organise the development 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 the approval of the National Regional Development Council. CHAPTER V INSTITUTIONS IMPLEMENTING THE NATIONAL REGIONAL POLICY AND THEIR POWERS Article
40. Powers of the Government in Formulating and Implementing the National Regional Policy When formulating and implementing the national regional policy, the Government shall: 1) approve the priorities of the national regional policy; 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 the individual problem areas may differ; 4) identify problem areas; 5) consider and approve the programme for the reduction of social and economic disparities among the regions; 6) approve problem area development programmes; 7) form regions from several bordering counties or municipalities, establish the procedure for setting up their development councils and assign an institution in charge of exercising the powers provided for in Article 14 of this Law. Article
41. Powers of the Ministry of the Interior in Implementing the National Regional Policy
42. The Ministry of the Interior shall be responsible for coordination of the national regional policy.
43. In implementing the national regional policy, the Ministry of the Interior shall: 1) approve the rules of procedure of the National Regional Development Council; 2) take part in the drafting of the Long-term Development Strategy of the State, as well as the 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 legal acts, programmes and other documents establishing the key public policy trends are in compliance with the goal and objectives of the national regional policy; 4) organize the development of the programme for the reduction of social and 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; 5) submit to the Government a draft decision on the identification of problem areas; provide recommendations to the Ministries on the implementation of the programme for the reduction of social and economic disparities among the regions; 6) organise the development of 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 the assessment of efficiency of these measures, submit conclusions to the Ministries on whether they are in compliance with the goal and objectives of the national regional policy; 8) provide consultation to regional development councils and county governor’s administrations in relation to the regional development plans under preparation, and submit proposals on their improvement; 9) prepare proposals for the National Regional Development Council in relation to the regional development programme, intended for providing assistance in drafting regional development plans, drafting projects matching local initiatives and in implementing international cooperation in the field of regional policy, and in relation to the use of funds, as well as administer the funds of the regional development programme; 10) organize the meetings of the National Regional Development Council.
44. The Ministries which received recommendations from the Ministry of the Interior in relation to the implementation of the programme for the reduction of social and economic disparities among the regions must provide the Ministry of the Interior information specifying the recommendations which have not been taken into account. Article
45. National Regional Development Council and its Powers
46. 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.
47. The chairperson of the National Regional Development Council shall be appointed by the Government.
48. 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.
49. 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 the reduction of social and 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, intended for providing assistance in drafting regional development plans and draft projects matching local initiatives, as well as in implementing international cooperation in the field of regional policy, and in relation to the use of funds; 5) perform other functions prescribed by legal acts.
50. The National Regional Development Council shall convene at least twice a year. Decisions shall be taken by majority vote of all the members of the Council in accordance with the rules of procedure. Article
51. Regional Development Councils and their Powers
52. A regional development council shall be set up and its first meeting shall be convened by the county governor. He shall be in charge of the work of the regional development council until the council elects its chairperson.
53. A regional development council shall consist of the county governor, mayors of the region’s municipalities and delegated members of municipal councils.
54. 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: 1) 200,000 residents or more – 3 council members; 2) from 50,000 to 200,000 residents – 2 council members; 3) up to 50,000 residents – 1 council member.
55. 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.
56. 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.
57. A regional development council: 1) shall approve its regulations and rules of procedure; 2) shall consider and approve the regional development plan; 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 the reduction of social and 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 development programme of a problem area and the implementation thereof; 7) shall consider proposals by municipalities and the county governor’s administration in relation to the programmes for the reduction of social and economic disparities among the regions submitted in the course of implementation of the regional development plan and municipal strategic development plans; 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 shall submit its conclusions to the institutions allocating the funding; 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; 10) shall perform other functions prescribed by legal acts.
58. Decisions shall be taken by majority vote of all the members of the regional development council in accordance with its rules of procedure.
59. A regional development council shall, after having consulted the social and economic partners and representatives of territorial Labour Exchange offices, 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 social and economic development projects, as well as other decisions which may have a substantial effect on the social and economic development of that region (county). 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. Article
60. Powers of the County Governor’s Administration in Implementing the National Regional Policy In implementing the national regional policy, the county governor’s administration shall: 1) upon the assessment of the municipal development plans, draw up a draft regional development plan in accordance with the procedure established by the Ministry 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 incorporation of priority objectives and measures provided for in the programme for the reduction of social and economic disparities among the regions for tackling specific regional and local problems into the development programmes for the individual branches (sectors) of economy, and in relation to the criteria of identification of problem areas and State aid to be granted to the projects under implementation in those areas; 3) participate in the development and implementation of the problem area development programmes, and perform the functions of a manager of appropriations in the problem area, unless provided otherwise; 4) having summarised the proposals in relation to the regional social and 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, store the documents adopted by the regional development council as well as the conclusions of the working groups set up by the council; 7) organise discussions with state and municipal institutions, social and economic partners and economic entities regarding the drafted documents, and, in accordance with the procedure established by the Ministry of the Interior, provide information on the drafting and implementation of the regional development plans; 8) perform other functions provided for by laws, resolutions of the Government and provisions of the county governor’s administration. I promulgate this Law passed by the Seimas of the Republic of Lithuania. PRESIDENT OF THE REPUBLIC _________________