the decentralization & local development support programme jordan the decentralization &...

The Decentralization & Local Development Support Programme

JORDAN

The Decentralization & Local Development Support ProgrammeJordan: Introduction and Base Information

Hashemite Kingdom of Jordan: Constitutional Monarchy

Recognized as State of Transjordan in 1922 by the Council of League of Nations Gained sovereignty from British Mandate in 1946 Population in 2014 (estimate): 7.9 Million Area: 89,342 Square Km GDP: $ 39.29 billion GDP per capita $5,749 (PPP) - Upper Middle Income Country Gini Coefficient: 35.4 (medium)

Parliament: House of Representatives (Elected) and Senate (appointed by King) King appoints Executive Branch: Prim Minister, Cabinet and Regional Governors

Governorate Level of Local Administration with Appointed Governors and

Appointed Advisory Council members; Municipalities: Directly elected councils headed by Directly Elected Mayors

Frequent Inward migrations from surrounding state – Palestine (1948), Iraq (1990 & 2003), Syria (2011 and on going)…..

UNDAF Priority Areas: 1- Enhance Systemic Reform, 2- Ensure Social Equity, 3- Investing in Young People, 4- Preserving the Environment,

Why Does Jordan want to decentralize or to reform its existing system of local administration and municipalities?1. Is the objective to improve the performance of the existing system to

better address local development challenges and to better respond to people’s needs?

2. Is it to increase citizen participation and to give more voice/power to citizens in determining how and on what public resources should be spent and to empower them to ensure that government remains accountable?

3. Is it to improve the efficiency with which the local administration (including de-concentrated Departments) and municipalities utilize public resources and perform their assigned functions or is it also to enhance the local revenue mobilization of such local entities?

4. Is it to increase coordination between central agencies and de-concentrated entities to improve the delivery of basic services, the promotion of local economic development and the management of natural resources?

5. Or is it a combination of all of the above?

The Decentralization & Local Development Support ProgrammeWhy Decentralize: The Nature of Demand

Answering these questions and accurately defining the Problem or the Objective behind decentralizing - the Demand side - will provide a more precise foundation and a clearer direction for guiding the process of articulation of the reform and of more accurately defining what we want it to achieve or address;

Launching a process to define Jordan’s decentralization Vision without having carefully defined why we are seeking to decentralize or to reform the local system, will generate a supply driven outcome that will most likely be irrelevant to the country’s local development objectives and ineffective at addressing prevailing local development challenges;

Furthermore, continuing to try to tackle weaknesses in the local administration and municipalities system or to address specific local development challenges in a disjointed manner and driven by narrow objectives will contribute to the further fragmentation of the system and will deepen its ineffectiveness

The Decentralization & Local Development Support ProgrammeWhy Decentralize: The Nature of Demand

Health Education Water &Sanitation

Public Works

Agriculture OtherTrade & Industry

Ministry of

Health

Ministry of

Education

Ministry of

Water & Sanitation

Ministry of

PublicWorks

Ministry of

Social Welfare

Ministries of

Agri, Industry

Ministry of

Other

De-Concentrated Tier of Central Agencies

Governorate Level

Municipal Level

Central Level

Governorate Local

Administration

The Decentralization & Local Development Support ProgrammeThe Architecture of the Local Administration & Municipal System

Ministry of

Interior

Ministry of

MunicipalAffairs

Ministry of

Planning

The EU Programme of Support to Democratic Governance will provide support along two complementary tracks of intervention:

1. Support the process of articulation and reaching consensus on Jordan’s Decentralization Vision and Policy and the development of the National Strategy and Programme for their application;

2. Launch an Integrated Local Development Pilot to Illustrate tangible improvement in the performance of an enhanced and integrated system of the local administration in a governorate and its municipalities and in the quality of Local Development outputs;

The Decentralization & Local Development Support ProgrammeEU Programme Scope and Areas of Focus

Result 1: Detail of Strategy Development Process

Reconstructing/Reforming a Local Government System:

Structuring and Launching the Reform Process: Policy & Legal

D & LG Policy

D & LG Law &

Regulations

Alignment of Sector Policies, Laws &

Regulations

D & LG Vision

Parliament Debate

Civil SocietyDebate

Articulating a National Vision for

D&LG

Technical Consultation

National Strategy for D&LG Alignment of Primary

Policies, Laws & Regulations

Health & Education

Water & Sanitation

Trade & Industry

Agriculture

Public Works

Finance

Planning

Civil Service

Justice

Law & Order

Power, Com/Trans

D & LG Input to

Constitution

Audit

Consensus Building Visioning Policy Development & Adoption & Reform Strategy Formulation Implementation of the Reform

Vision Paper on Sub-National System of

Government

Civil Society Dialogue

Constitutional Review

Intergovernmental Dialogue

Facilitation & Technical Support

By DSU/MOLD

National Dialogue

Decentralization & Local Government

Vision & Policy Draft

Parliament

May June July August October DecemberSeptember November


By DSU/MOLD


Policy

DSU/MOLDOutput

DSU/MOLDOutput

DSU/MOLDOutput

LG Policy Reform/Development Process

Inter-ministerial Negotiations

2011

1 2 3

Parliament

January


Policy

DSU/MOLDSupport

DSU/MOLDOutput

Development Process of the Local Government Law & Regulations & Strategy for its Application


February April June AugustMay July SeptemberMarch October November December

Draft Local Government Law & Regulations


By DSU/MOLD

Local Government Law & Regulations


Formulation of Decentralization/LG

Reform Strategy


By DSU/MOLD

Strategy for Applying LG Policy &

Legal Framework

DSU/MOLDOutput

2012

4 5

Restructuring/Development of Central Sector

Institutions in-line with D & LG Policies

Restructuring/Development of Central Primary

Sectors Institutions in-Line with

D & LG Policies

Health & Education

Water & Sanitation

Trade & Industry

Agriculture

Public Works

Finance

Planning

Civil Service

Justice

Law & Order

Power, Com/Trans

Restructuring/Development of De-Concentrated Sector

Institutions in-line with D & LG Policy

Restructuring/Development of De-

Concentrated Primary-Sector

Institutions in-Line with D &LG Policy

Structuring/Development of Delegated Sector

Functions in-line with D & LG Policy

Structuring/Development of

Delegated Primary-Sector Functions in-

Line with D &LG Policy

De-concentrated Institutional

Arrangements

Delegated Institutional

Arrangements

Restructuring the Governorate LA/LG Institutions in-line with D & LG Policy

Restructuring the Markaz LA/LG

Institutions in-line with D & LG Policy

Restructuring the Mother Village

LA/LG Institutions in-line with D & LG

Policy

Devolved LG/LA Institutional Structures

LG/LA

LG Related Central Institutions Ministry of

concern

Restructuring of the Ministry of Local

Development/Government

LG&D Policy, Legal and Regulatory Reform Support

Institutional Development of LG

System

LG Operating Systems, Procedures

& Capacities

Monitoring & Evaluation of LG

System Operations

LD Information System

Reconstructing/Reforming a Local Government System:Applying the Reform: Reassignment of Functions & Institutional Restructuring

Reconstructing/Reforming a Local Government System:Applying the Reform: Systems, Procedures and Capacity Development and Launch of LD

Support/Staff FunctionsSystems/Tools, Procedures &

capacities

Base LA/LG Administrative Systems, Procedures & capacities

LA/LG Public Expenditure Management (PEM) Systems,

Procedures & capacities

LA/LG Local Revenue Management Systems, Procedures & capacities

LA/LG Human Resource Management Systems, Procedures & capacities

LA/LG Local Council Operating Systems, Procedures & capacities

LA/LG Information & Monitoring & Evaluation Systems, Procedures &

capacities

LD/Line Functions Systems/Tools, Procedures &

capacities

Operating Systems, Procedures & Capacities for De-concentrated

Administrative, Operational & Support & Supervision Functions

Operating Systems, Procedures & Capacities for Delegated Functions

LA/LG Systems, Procedures & Capacities for the Delivery of

Devolved Basic Social Services

LA/LG Systems, Procedures & Capacities for the Delivery of Devolved Basic

Municipal Services

LA/LG Systems, Procedures & Capacities for the Promotion of Local Economic

Development (LED)

LA/LG Systems, Procedures & Capacities for the Management of

Natural Resources

Operating Systems, Procedures & Capacities for De-concentrated or Central LD Promotion & Tracking

Functions (LDO)

Operating Systems, Procedures & Capacities for Delegated Local

Development Functions

LA/LG Systems, Procedures & Capacities for Crisis Managing &

Response

Local Development Outputs Programs & Resources

Local Economic Development (LED) Programs and Initiatives

Basic Social Services Delivery programs and Initiatives

Natural Resource Management Programs and Initiatives

Food Security Programs and Initiatives

Assessment of the State of Local Development

Analysis of LA Policy, Legal, Regulatory & Institutional Framework

Assessment of LA Performance, Outputs and Impact on Local Development

Analysis of institutional, political and social dynamics around Decentralization Reform

Inte

r-M

inis

teria

l Com

mitt

ee

Dec

entr

aliza

tion

Secr

etar

iat

Loca

l Dev

elop

men

t Dep

artm

ent

Tech

nica

l Sup

port

Tea

m

Nati

onal

Dia

logu

e

Ministries & Central Agencies

Parliament

Local Administrations & Municipalities

Civil Society & other

The Private Sector

Dec

entr

aliz

ation

Vis

ion,

Pol

icy

and

Nati

onal

Str

ateg

y

Institutionalization Diagnostic National Dialogue Strategy

The Decentralization & Local Development Support ProgrammeThe Decentralization Strategy Development Process

Institutional Arrangements for Supporting the Articulation and Implementation of the Reform:

- Strengthen the institutional structure, operational systems and capacities of the Local Development Department (LDD) at MOI;

- Create the Programme Technical Support Team at LDD – For Programme Duration with extension option to support Strategy Implementation;

- Create and develop the capacities and operationalize the Decentralization Secretariat – For the duration of strategy development and implementation;

- Support the creation of Decentralization Units at relevant primary and sector ministries and agencies – For the duration of strategy Development and implementation;

- Support and strengthen the Inter-ministerial Committee & its Technical Committee for Decentralization - For the duration of strategy development and implementation;

The Decentralization Strategy Development ProcessInstitutionalizing the Strategy Development/Implementation Process

Conduct an Integrated Diagnostic to gain an in-depth understanding of the nature of demand for Decentralization Reform – What are its developmental, institutional, political and social objectives:

- Conduct an in-depth assessment (building on existing work) of the state of local development in Jordan and identify and analyze the key local development challenges and their primary causes – systemic/endogenous and exogenous;

- Analyze (building on previous work) the policy, legal and regulatory framework, institutional structure, operating systems, procedures and capacities of Jordan’s system of local administration (including de-concentrated departments of central ministries and agencies) and other centralized entities operating locally;

- Assess the performance of these various entities and the outputs they generate and the quality of their impact on the state of local development and on the particular aspect of it that they are expected to serve or address;

- Analyze the prevailing institutional, political and social dynamics that have influenced Jordan’s decentralization efforts and that are expected to play an important role in shaping the process of articulation of Jordan’s decentralization Vision and Policy and the formulation and implementation of the reform Strategy;

The Decentralization Strategy Development ProcessConducting the Diagnostic of the State of Local Development & of the Local Administration and Municipal System

- Consolidation and synthesis of the outcome of the National Dialogue and the derivation of the agreed Decentralization Vision and the Drafting of Jordan’s Policy on Decentralization Reform;

- Development of the National Decentralization Strategy and Programme:

- Define the Policy, Legal and Regulatory Framework of the reformed system of local administration/government;

- Elaborate the institutional and organizational structure of the reformed system, its inter-governmental relations, lines of vertical (upward and downward) as well as horizontal accountabilities and its functional and resource assignments;

- Detail the Operational Systems, Procedures and Capacities of the new Local administration/government at its various tiers;

- Describe the Institutional arrangements/structures to be used for implementing the National Programme and outline the roles and responsibilities, time-frame, sequence and methodologies to be used in the Implementation of the National Programme which will introduce the policy, institutional, operational and capacity reforms outlined in the National Strategy;

The Decentralization Strategy Development ProcessArticulation of Jordan’s Decentralization Vision, Policy and Strategy

The Scope of Decentralization Reform Strategy & National Implementation Programme

MOI

MOMA

DSP

GLA

M

MOF MOJOther

MOE

MOH

MOA

MOPW

WAJ NECMOI&T

Inter-ministerialCommitteeTechnical Committee

LDD

Primary Ministries Sector MinistriesAuthorities &

Companies

Communities

MOP

FDSP

PSP

JSP

CSSP

ESP

HSP

ASP

PWSP

I &TSP

WSP

ESP

GLASP

MSP

De-Concentrated Branches

DS

Result 2: The Integrated Local Development Pilot

Introduce an enhanced Public Expenditure and Asset Management System at the Governorate and Municipality Levels to enable both tiers to efficiently, effectively and accountably manage public resources. Differentiate the assignment of functions of the governorate from those of its municipalities while ensuring complementarity between the two tiers:- Introduce procedures for participatory needs

assessment for Integrated Local Development and ensure engagement of the Governorate and Municipal Councils and communities representation while working closely with De-Concentrated Sector Departments;

- Introduce Participatory Integrated Planning procedures and capacities and support the articulation of an integrated local development plan for the Governorate and for the Municipal tier;

- Introduce Participatory Budgeting procedures and capacities at the Governorate and Municipal tiers and support the development of Annual Investment Programs for each;

- Introduce Implementation Procedures and Capacities including procurement, supervision of project implementation, accounting and reporting procedures and capacities;

The Integrated Local Development Pilot Introduce a Public Expenditure and Asset Management System

1

The Integrated Local Development Pilot Establishment and Activation of the Local Development Fund (LDF)

Create and activate a Local Development Fund (LDF) to avail programmable supplementary resources to Pilot Governorate/s and its Municipalities to invest in local development. Capitalize the Fund through Programme Funding and leverage additional public as well as Development Partner finance when available:

- To provide Supplementary Budget Support for programming by Governorate and Municipalities in coordination with resource allocation through de-concentrated expenditures of de-concentrated departments;

- Refine the criteria and indicators used in an Equalization Formula for fund allocation among local administrations;

- Introduce and refine Performance Measures for setting access criteria;

- Inform the process of Development of Fiscal Decentralization Policy through the Ministry of Finance to ensure policy impact:

• Inform the development of the equalization formula;

• Inform the process for setting the level of the central subsidy;

2

The Integrated Local Development Pilot Establishment and Activation of the Local Development Fund (LDF)

LD (LED) Fund

Productive Initiative

(Bankable Public Good)

Revenue Generating Economic

Infrastructure(Bankable Public Good)

Public Private Partnership

(Bankable Public Good)

Social and Economic

InfrastructureGrant

Loan

Loan orEquity

Loan orEquity

• Schools, Clinics, Water & Sewage …• Roads and Bridges• Irrigation Canal• Water Purification Facility• Electricity Boosting Station• Gas Main

• Market• Cold Storage Facility• Product Exhibit• Fishing Boat Dock & Unloading• Micro Enterprise Zone • Transshipment Zone

• Pilot Livestock Breading Farm• Pilot Fish Hatchery • Crafts Development Center• Research & Development Center • Agricultural Surplus Processing Plant• Feed Production Mill

• Industrial or Export Promotion Zone• Renewable Energy Generation• Transport Company • Tourism/Hospitality Projects• Production/Processing Facilities• Mineral Extraction Plants• Other

Loca

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inis

trati

on

The Integrated Local Development Pilot Introduce and Activate an Integrated Local Development Framework

Introduce a framework, procedures and capacities for Integrated Local Development Planning and Implementation at the local level – Consolidating De-concentrated, Devolved and Delegated Actions:

- Introduce procedures to institutionalize an Integrated Planning Process for Local Development and ensure engagement of devolved, delegated and de-concentrated bodies;

- Introduce procedures and capacities to coordinate the implementation of an Integrated, multi-actor local development plan;

- Utilize the Local Development Fund resources to supplement the Governorate and Municipality budgets and to leverage additional public resources from various actors including de-concentrated sector departments, central agencies and as well as Development Partners in support of the implementation of the integrated, multi-actor LD plan;

3

Health Education Water &Sanitation

Public Works

Agriculture OtherTrade & Industry

Ministry of

Health

Ministry of

Education

Ministry of

Water & Sanitation

Ministry of

PublicWorks

Ministry of

Social Welfare

Ministries of

Agri, Industry

Ministry of

Other

De-Concentrated Tier of Central Agencies

Governorate Level

Municipal Level

Central Level

Governorate Local

Administration

The Decentralization & Local Development Support ProgrammeComponents of the Integrated Local Development Pilot

Ministry of

Interior

Ministry of

MunicipalAffairs

Ministry of

Planning

Consolidation &

PE

MPEM

Vertical Coordination

& Collaboration

Horizontal Coordination

1

1

3

4

Improved Local Development Outputs

LDF

2

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