Section 1 proposes a description of the institutional situation in Albania. It explains the territorial decoupage of the "local" government tiers in relation to their political organs, where politics is still characterised by heavy tension and patronage. Section 2 concerns the legislation regarding the organisation and functioning of Local Governments. The fundamental Law 8652 (2000) "on the organisation and functioning of local governments" is not simply an organic law as its title announces, but also contains the list of decentralized competencies and their financing. Section 3 analyses the concepts of authority, competency, power and functions of local governments given by law and their subsequent use in decentralization. What are the criteria for decentralization? Are the "exclusive, shared and delegated" functions coherent with those concepts and criteria? Section 4 concludes with a list of issues addressed to the stakeholders for a new round of decentralization.
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