Local government associations: Draft laws to be developed with communities, and resources to remain locally

A new law on local government associations, the powers of local councils, the completion of the delineation of powers, and the strengthening of communities’ resource base – these are the key legislative demands of local government associations.

During the “Decentralisation 2026: Legislative Agenda” forum, Taras Dobrivskyi, Executive Director of the All-Ukrainian Association of Amalgamated Territorial Communities, and Savelii Uzhva-Skliaruk, Deputy Executive Director of the All-Ukrainian Association of Communities, spoke on these matters.

The new law on associations and the quality of legislative dialogue

According to Taras Dobrivskyi, the current Law “On Associations of Local Governments” no longer reflects the realities that have emerged after the decentralisation reform. The All-Ukrainian Association of Amalgamated Territorial Communities has therefore joined efforts to develop a new draft law.

Work on it is jointly performed by the Reanimation Package of Reforms, Ihor Koliushko’s team, the Polaris Programme, and three national local government associations.

‘Decentralisation has far outpaced the current Law on Associations, and it no longer reflects reality. The new draft law is important and a priority because those ministries, MPs, and profile committees that understand how to engage with national associations find solutions much faster.’

According to Taras Dobrivskyi, associations should not merely be a channel for conveying the views of communities, but fully-fledged participants in the formulation of public policy and legislative decisions.

‘Laws cannot be perfect. But they have to be discussed right from the drafting stage: in working groups, at round-table discussions, in professional networks, and through surveys and feedback from communities. Not when individual ministries send documents for approval with a one-day deadline. A high-quality decision requires time and a democratic process.’

He emphasised that such interaction does not slow down the legislative process; on the contrary, it enables decisions that will work in practice to be adopted more quickly.

The legitimacy of councils and financial guarantees

The All-Ukrainian Association of Amalgamated Territorial Communities also supports draft law No. 14405 on ensuring the legitimacy of local councils under martial law.

According to data provided by Taras Dobrivskyi, starting in 2025, 211 local councils cannot function properly. He called on the Parliament to prioritise this draft law.

‘The legitimacy of councils is an extremely important matter. We appeal to Members of Parliament to adopt Draft Law No. 14405 as one of their first priorities.’

Among financial concerns, he emphasised the need to retain 64% of personal income tax in local budgets on a permanent basis and to adopt the draft law on administrative fees.

Resources for rural and small communities

The All-Ukrainian Association of Communities, which represents predominantly small communities, continuously develops legislative initiatives through its own expert platform. This platform comprises 17 thematic committees. In total, the Association has been working on more than 40 draft laws.

Savelii Uzhva-Skliaruk remarked that the number one priority remains the legislative delineation of powers. In his view, without this, the decentralisation reform cannot be considered complete.

‘The delineation of powers is the key to completing the decentralisation reform. It is not yet complete, and this is a crucial way forward.’

He named Draft Law No. 14405 as another urgent matter. The problem is particularly acute in small communities, where councillors were elected under a single-member constituency system and there is no procedure for replacing them.

At the same time, the Association focuses on legislative changes that could strengthen the resource base of communities. These include amendments to land legislation, resolving the liability for damage to forests caused by unidentified persons, and reviewing the distribution of subsoil use royalties and revenue from fines.

‘There is a significant component of community resource allocation. The current 0.1% subsoil use royalty allocated to local budgets does not reflect the economic situation. The All-Ukrainian Association of Communities supports increasing this share. We are also working to unblock the 10% of revenue from fines allocated to local budgets, which is provided for by law but does not actually reach them.’

According to Savelii Uzhva-Skliaruk, the position of the Association on subsoil use royalties is to increase the share allocated to local budgets to 3%. This issue is discussed in working groups with representatives from the ministries.

The participants in the discussion emphasised that an effective legislative agenda requires two things at the same time: meaningful participation by communities in the preparation of decisions, and sufficient resources to ensure these decisions can be implemented at the local level.

 


Read more about the general legislative agenda, outlined during the forum by representatives of the Parliament, the Government, and international partners, in the article “Delineation of powers, community resources and rules for frontline territories: Legislative agenda of decentralisation”.

Read more about the findings of a survey of community leaders on legislative priorities in the article “Remuneration, personal income tax, and legitimacy of councils: What community leaders named as legislative priorities”.

Read more about the staffing capacity of communities, administrative services, and the legislation on administrative fees in the article “Administrative Service Centres start with people: What communities need for quality administrative services”.

Read more about the powers of local councils, military administrations and special rules for frontline territories in the article “How to retain the legitimacy of local councils during wartime and regulate the functioning of frontline communities”.

01.09.2026 - 09:15 | Views: 293
Local government associations: Draft laws to be developed with communities, and resources to remain locally

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