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ADMINISTRATIVE ORGANISATION

Financial Assistance                           the Portuguese political and territorial        closed and 27 other are converted into            NEWS
                                               organization but to address structural          proximity sections (few new cases per year
Within the framework of European Union         causes of public expenditure.                   but poor transportation conditions).              7
financial assistance to Portugal, it was
signed, on the 3rd May 2011, a Memorandum      More important than the goal of the reform      In the proximity sections, it is possible to
of Understanding (MoU) on Specific             or its results, it’s the criteria that were     submit documents and to query processes
Economic Policy Conditionality 1.              followed: reduce / close meaningless local      and, should the judge decide, carry out
                                               branches, due to low population / demand,       trials. These proximity sections function
The Chapter of the MoU on Public               but always ensuring easy access to same         as an extension of the court.
Administration stated that the government      public services nearby.
would develop a consolidation plan to                                                          Reduction of tax local branches
significantly reduce the number of local       Merger of parishes
government administration entities                                                             It is also being studied the reduction of the
(comprising 308 municipalities and 4 259       In terms of local government, it was            number of tax local branches. The PRACE
parishes).                                     decided not to change municipalities,           – Central Administration Restructuration
                                               which have deep historical and cultural         Program – proposed to close 121 of those
These changes would come into effect by        roots, besides political meaning, and           local branches.
the beginning of the following election        instead reduce the number of parishes
cycle (2013-2017) and would enhance            (from 4 259 to 3 091), through a merger         The PRACE also suggested the merger of
service delivery, improve efficiency and       operation.                                      tax administration and social security local
reduce costs.                                                                                  branches billing services with the local
                                               New judicial map                                governments billing services.
The government was also tasked to
ascertain potential duplication of activities  A new judicial organization, based on a          (1) On the 8th of April 2011, the Eurogroup and
between the central administration, local      court per district (23), is being implemented    ECOFIN Ministers issued a statement clarifying
administration and locally-based central       in Portugal. That court will function in         that EU (European Financial Stabilisation
administration services and to eliminate       sections - which will have generic or            Mechanism) and euro-area (European Financial
the identified inefficiencies.                 specialized competence, depending on a           Stability Facility) financial support would be
                                               series of factors - throughout its territorial   provided on the basis of a policy programme
Finally, the number of local branches of       base.                                            supported by strict conditionality and
line ministries (e.g. tax, social security,                                                     negotiated with the Portuguese authorities,
justice) was set to be reduced. Those          From the existing 311 courts, 264 will be        duly involving the main political parties, by
services would be merged in citizens’ shops    converted into 218 central instance              the Commission in liaison with the ECB, and
covering a greater geographical area and       sections (more complex and serious cases         the IMF.
developing further the e-administration.       – over 50 000 euros or prison over 5 years)
                                               and 290 local instance sections.
Measures
                                               The courts having less than 250 new cases
The scope of the undergoing reform is not      per year located in areas will fair
to transform the main characteristics of       transportation conditions (20) will be

Administrative and territorial organisation of
states in Europe - Hungary

                                                                                                                             István TEMESI
                                                                                                             Ph.D., Associate Professor,

                                                                                        National University of Public Service Budapest

Despite the adoption of a new Constitution     see the change of the text from the old         elected authorities and the special
called ‘Fundamental Law’ of 2011 and a         1949 Constitution1 concerning the division      administration is represented by
new Local Government Act, Hungary has          of the country, there are few changes           deconcentrated bodies.
retained its traditional administrative and    indeed.
territorial structure. However, one can                                                        Most provisions of the new Local
see that certain modifications represent       The administrative organisation follows         Government Act3 entered into force on 1
some diversion from the previous               this division in principle defined by the       January 2013. This law has expanded the
institutional systems.                         constitution with some digressions in the       types of territorial units of the
                                               system of local government and also in          decentralised administration under the
The Fundamental Law of Hungary, adopted        the system of deconcentrated institutions.      Constitution. The new law keeps the
on 25 April 2011, does not change the          Examining the administrative organisation       municipality - including the village (2706),
territorial division of the state. Pursuant    of Hungary shows that the local                 the town (304) and the city (23) - and the
to Article F, Section 2, the territory of      government system keeps the duality             county (19), and the capital and its
Hungary is divided into counties, cities       created in 19902. In this dual system of        districts (23) as units of local authorities.
and towns and villages. Cities can be          local administration, general                   It also keeps the two-tier system. But
divided into districts. Although one can       administration is represented by local          among the municipalities, the law

                                               EUROPEAN REVIEW ON PUBLIC ADMINISTRATION - N°2 - MARCH 2016
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