Bosnia and Herzegovina (Bosna i Hercegovina – hereinafter BiH) declared its independence from the former Yugoslavia on 1 March 1992. The declaration of independence, which was boycotted by the Bosnian Serbs, gave rise to an armed conflict. In 1995, a peace agreement was reached with the signature of the Dayton Peace Accords in Paris, which include the BiH Constitution in its annexes.[1] The BiH Constitution instituted a multi-ethnic system of government with an asymmetrical and complex governance structure. The Presidency is composed of three members from each of the constituting nations: one Bosniak and one Croat from the FBiH and one Serb from the Republika Srpska. The Head of State is the Chairman of the Presidency and the Government is lead by the Chairman of the Council of Ministers. The Parliament is bicameral and is composed of the House of Peoples (Dom Naroda) and the House of Representatives (Predstavnicki Dom).

Bosnia and Herzegovina is not a member of the European Union; it participates in the Stabilisation and Association Process. 

Bosnia and Herzegovina comprises 4 tiers of governance, at the State, Entity, Canton and municipal levels:

• Bosnia and Herzegovina: BiH shall consist of two Entities: the Republika Srpska and the Federation of Bosnia and Herzegovina (Federacija Bosna i Hercegovina – hereinafter FBiH) and the Brcko District.
• Republika Srpska: The Republika Srpska is a unique and indivisible constitutional and legal entity comprising one level of local self-government with 57 Municipalities.[2] [3]
• FBiH: The FBiH consists of ten federal units, the Cantons, which have their own Constitution, Parliament, Government and judicial powers. In total, there are eleven constitutions, governments and legislators in the FBiH (10 cantonal and one Entity). Cantons operate under the laws of FBiH as a whole. Moreover, they are further divided into seventy-nine municipalities and cities, which constitute the local self-government units. They hold both executive and legislative powers. 

• Brcko District: It was previously considered a municipality divided into two parts, one in the Republika Srpska and the other in FBiH. The final award was brought by an international arbitration tribunal in 1999 and prescribed the establishment of Brcko as a District. It is since then a condominium jointly owned by the Entities[4] but not managed by either. State legislation directly applies to the District and its fields of competence are nearly the same as the ones of the Entities (including executive, legal and judiciary authorities). 
  

The BiH Constitution sets out the division of competences between the State and the Entities. It enumerates a list of attributions that come under the State and the Entities, and provides that the Republika Srpska and the FBiH have competence in all the fields that are not expressly assigned to the central Government.

• Republika Srpska: The Republika Srpska is vested with all state functions and powers which are not expressly granted to the central Government of Bosnia and Herzegovina. The Parliament exercises the legislative power whereas the Government owns the executive power. Local self-government is one of the basic principles of the Republika Srpska’s Constitution (Art. 5). Municipalities have both exclusive and shared competences with the Republika Srpska.
• FBiH: The FBiH was created by the Washington Agreement signed on 18 March 1994. The Government of the FBiH owns the executive power and the Parliament is vested with legislative powers. According to the FBiH’s Constitution, the Cantons have competence in all the fields that are not expressly granted to the Federation. [5] It also lists a number of competences which are expressly attributed to the Cantons. The Constitution foresees the express allocation of competences to local self-government units and the possibility for the Cantons to delegate them some responsibilities. This delegation of competences is mandatory where the majority of population in a local self-government unit is different from that of the Canton as a whole.

Besides the Constitution of Bosnia and Herzegovina, the constitutions of both Entities describe the distribution of powers between the different levels of governance. Moreover, both Entities have adopted their own laws on local self-government.

In the FBiH, local units of self-government shall independently manage their funds in accordance with the law.[6]
As regards the Republika Srpska, local self-government units have right to efficient own financial resources that can freely be disposed by a local unit in accordance with its competences and in accordance with law. All resources from a local self-government unit’s own income belong to a local self-government budget.[7] In 2015, and 2016, a new law on local self-government of the Republika Srpska, is in the process of being developed. The draft being developed leads toward the higher responsibility of the assemblies’ members, both in the municipalities and cities.[8]
 
Central level

The central Government of BiH has competence in the field of:

• Foreign policy;
• National defence[9];
• Intelligence and Security[10];
• VAT[11];
• Judicial system[12];
• Foreign trade policy;
• Customs policy;
• Monetary policy;
• Finances of the institutions and for the international obligations of Bosnia and Herzegovina;
• Immigration, refugee, asylum policy and regulation;
• International and inter-Entity criminal law enforcement, including relations with Interpol;
• Establishment and operation of common and international communications facilities;
• Regulation of inter-Entity transportation;
• Air traffic control;
• Matters necessary to preserve the sovereignty, territorial integrity, political independence, and international personality of the State, and
• Other matters decided by the two Entities.

Regional level

Responsibilities common to both Entities

Both Entities have competence in the field of:

• Special relationship with neighbouring states provided that they are consistent with the sovereignty and territorial integrity of Bosnia and Herzegovina;
• Assistance to the central Government as regards the execution of its international obligations;
• Ensuring a safe and secure environment by the maintenance of civilian law enforcement agencies;
• Some international agreements, and
• All the fields that are not expressly assigned to the central Government.
  

Federation of Bosnia and Herzegovina[13]

The Federation has exclusive responsibility in the field of:

• Citizenship of the Federation;
• Economic policy, including planning, reconstruction, land use policy at the federal level;
• Finance, financial institutions and fiscal policy of the Federation
• Combating terrorism, inter-cantonal crimes, drug trafficking and organised crime;
• Allocation of electronic frequencies for radio, TV and other purposes according to BiH Constitution;
• Energy policy, incl. inter-cantonal distribution matters, and providing and maintaining the related infrastructure;
• Financing activities of or under the aegis of the Federation Government by taxation, borrowing or other means.

The Federation and the Cantons share responsibilities, which may be exercised either jointly or separately, in the field of:

• Guaranteeing and enforcing human rights;
• Health;
• Environmental policy;
• Infrastructure for communications and transport in accordance with the BiH Constitution;
• Social welfare policy;
• Implementation of laws and regulations concerning citizenship and passports of citizens of BiH from the Federation territory and on foreigners staying and movement;
• Tourism, and
• Use of natural resources.

Republika Srpska

In accordance with its Constitution[14], the Republika Srpska has competence in the field of:

• Integrity, constitutional order and territorial unity of the Republic;
• Security
• Measures falling under its jurisdiction in case of the state of imminent threat of war or state of emergency
• Constitutionality and legality;
• Implementation and protection of human rights and freedoms;
• Property and obligation relations and protection of all forms of property, legal status of enterprises and other organisations, their associations and chambers, economic relations with foreign countries, which have not been transferred to institutions of Bosnia and Herzegovina, market and planning;
• Banking and tax system;
• Main objectives and directions of economic, scientific, technological, demographic and social development, the development of agriculture and the village, the use of space, politics and measures for direction of the development and commodity reserves;
• Control of legality of the disposal of means of legal entities and the collection of statistical and other data of general interest;

• Organisation, competence and the work of State bodies;
• Public services system;
• Work relations, safety at work, employment, social insurance and other forms of social care, healthcare, soldiers and invalid protection, child and youth care, education, culture and cultural resources protection, physical culture;
• Environmental protection;
• Public information system;
• International cooperation, with the exception of the one transferred to institutions of Bosnia and Herzegovina.
• Financing the exercise of the rights and duties of the Republic;
• Other relations relevant for the Republic, in accordance with the Constitution;
• Police;
• Local media.

Some competences are shared with the municipalities:

• Education (preschool, primary and secondary school);
• Public administration;
• Fire fighting;
• Civic affairs registry;
• Healthcare centres;
• Culture (Theatres and galleries);
• Planning (Gas supply);
• Trade and tourism;
• Employment;
• Local media.

Intermediate Level 

Cantons (FBiH)[15]

Cantons have competence in the field of:

• Police (establishment and control of the forces);
• Development of educational policy, including regulation and provision of education;
• Development and implementation of cultural policy;
• Development of housing policy, including regulations on construction of residential buildings;
• Development of policy on provision of public services;
• Regulation of local land use, including zoning;
• Development of policy on radio and television, including regulations on their provision and construction;
• Implementing Social welfare policy and services;
• Development and implementation of Cantonal tourism policy, development of tourism resources;
• Financing of activities of the cantonal government or its agencies through taxation, borrowing or other means, and
• All the fields not expressly granted to the Federation.

Local level

FBiH’s Municipalities[16]

The Cantons may delegate their responsibilities to a municipality or a city, notably in the field of:

• Education;
• Culture;
• Tourism;
• Local business, and
• Radio and television.

Local self-government units have responsibility in the field of[17]:

• Insurance and protection of human rights and fundamental freedoms in accordance with the Constitution;
• Adoption of a local self-government unit’s budget;
• Adoption of development programmes and creation of conditions for economic development and employment;
• Development and implementation of spatial planning and environmental protection policies;
• Adoption of spatial, urban and implementation plans, including zoning;
• Development and implementation of housing policies and adoption of housing and other construction programmes;
• Establishing a policy and setting the level of reimbursement for the use of public goods;
• Development and implementation of policy on use and management of construction land;
• Development of policy on management and use of a local self-government unit’s assets;
• Development of policy on management of natural resources of a local self-government unit and allocation of the profits from their use;
• Management, funding and development of activities and facilities of a local utility infrastructure:
• Water supply and wastewater treatment,
• Collection and disposal of solid waste,
• Maintenance of public hygiene,
• City cemeteries,
• Local roads and bridges,
• Street lights,
• Public car parks,
• Parks;
• Organisation and development of local public transport;
• Development of pre-school educational policy, advancement of the institutional network, and management and financing of public institutions for preschool education;
• Establishment, management, financing and advancement of elementary educational institutions;
• Establishment, management, advancement and financing of institutions, and construction of facilities for cultural and sport activities;
• Assessing the work of institutions and quality of services in the areas of healthcare, social welfare, education, culture and sport, and ensuring funds required for the improvement of their work and quality of services in accordance with the needs of citizens and capabilities of the local self-government unit;
• Analyses of public order and peace and level of safety of people and property, and making recommendations to relevant authorities;
• Organising, implementation and responsibilities for measures of protection and rescue of people and material goods from elements and natural disasters;
• Establishment and conduct of compliance inspections with regard to the regulations from within the competencies of the local self-government unit;
• Rendering regulations on taxes, reimbursements, contributions and fees within the competencies of the local self-government unit;
• Organising referendums in the territory of a local self-government unit;
• Floatation of bonds and decisions on debt incurrence by local units of self-governance;
• Conduct of activities for ensuring proper sanitation and health conditions;
• Ensuring proper working conditions for local radio and TV stations in accordance with the law;
• Ensuring and maintaining records of personal status of citizens and electoral rolls;
• Activities from the domain of land survey and land cadastre, and property records;
• Organisation of efficient local government in accordance with local needs;
• Establishment of organisation of community self-government;
• Animal protection.

Republika Srpska’s Municipalities

Municipalities have competence in the field of:

• All the fields of local interest that are not explicitly excluded from their competences or expressly assigned to other levels of power[18];

Independent functions:

Regulatory competences[19]

• Adoption of local government budget, development programmes, spatial, urban and regulation plans;
• Establishment of municipal bodies, organisation and coordination of the services;
• Collection, collection control and enforcement of the original revenue of the municipality;
• Adoption of regulations on taxes, fees, duties and tariffs coming under the local government unit;
• Inspections surveying the implementation of regulations under the competences of the local government unit;
• Management of natural resources in the local government unit;
• Use of public goods (definition of the policies and fees);
• Disposal, use and management of construction sites;
• Organisation of the municipal police.

Service provision competences[20]

Besides the shared competences with the Republika Srpska, the municipalities have responsibilities in the field of[21]:

• Civil protection;
• Social welfare (centres for social work);
• Public health (geriatric centres; sanitation);
• Sport and culture halls;
• Planning;
• Transport;
• Environment protection;
• Crafts.
  

Municipalities also in charge of:

• Health care;
• General and detailed land use planning;
• Local roads and streets;
• Regulating construction and business premises;
• Other tasks as determined by laws and the statute of the municipality;
  Transferred functions[22].
  
  

[1]Constitution of the Federation of Bosnia and Herzegovina. “Official Gazette” of the Federation of Bosnia and Herzegovina, 1/94, 13/97, 16/02, 22/02, 52/02, 60/02, 18/03, 63/03 .

[2] Constitution of Republika Srpska “Official Gazette” of Republika Srpska, 3/92, 6/92, 8/92, 15/92, 19/92, 21/92, 28/94, 8/96, 13/96, 15/96, 16/96, 21/96, further amendments published in official gazettes: 21/02, 26/02, 30/02, 31/02, 69/02, 31/03, 98/03, 115/05, 117/05, 27/08, 48/11.

[3] US Department of Justice, Nation In Transit (2014)

[4] Amendment I to the Constitution of Bosnia and Herzegovina, Official Gazette of BiH No. 25/09.

[5] Constitution of the Federation of Bosnia and Herzegovina, Official Gazette of the Federation of Bosnia and Herzegovina, 1/94, 13/97, 16/02, 22/02, 52/02, 60/02, 18/03, 63/03, 9/04, 20/04, 33/04,71/05, 72/05, 32/07 (Corrigenda), 88/08.

[6] Zakono Principima Lokalne Samouprave U Federaciji Bosne I Hercegovine [Law on the principles of local government in the Federation of Bosnia and Herzegovina - unofficial translation], Article 7. “Official Gazette of the Federation of Bosnia and Herzegovina”, 49/06, 51/09.

[7] Zakon o lokalnoj samoupravi [Law on local self-government – unofficial translation], Article 77, Official Gazette of Republika Srpska 101/04, 42/05, 118/05.

[8] Republica Srpska, News Portal, 2015

[9] Law on Defence of BiH (Official Gazette of BiH 88/05).

[10] Law on Intelligence and Security Agency of BiH (Official Gazette of BiH 12/04, 20/04, 56/06, 32/07, 12/09).

[11] Law on Value Added Tax (Official Gazette of BiH 9/05, 35/05, 100/08).

[12] Law on High Judicial and Prosecutorial Council of BiH, (Official Gazette BiH 25/04,93/05, 48/07, 15/08).

[13] Constitution of the Federation of Bosnia and Herzegovina, Official Gazette of the Federation of Bosnia and Herzegovina, 1/94, 13/97, 16/02, 22/02, 52/02, 60/02, 18/03, 63/03, 9/04, 20/04, 33/04,71/05, 72/05, 32/07 (Corrigenda), 88/08.

[14] Constitution of Republika Srpska “Official Gazette” of Republika Srpska, 3/92, 6/92, 8/92, 15/92, 19/92, 21/92, 28/94, 8/96, 13/96, 15/96, 16/96, 21/96, 21/02, 26/02, 30/02, 31/02, 69/02, 31/03, 98/03, 115/05, 117/05, 27/08, 48/11.

[15] Constitution of the Federation of Bosnia and Herzegovina, Official Gazette of the Federation of Bosnia and Herzegovina, 1/94, 13/97, 16/02, 22/02, 52/02, 60/02, 18/03, 63/03, 9/04, 20/04, 33/04,71/05, 72/05, 32/07 (Corrigenda), 88/08.

[16] Constitution of the Federation of Bosnia and Herzegovina, Official Gazette of the Federation of Bosnia and Herzegovina, 1/94, 13/97, 16/02, 22/02, 52/02, 60/02, 18/03, 63/03, 9/04, 20/04, 33/04,71/05, 72/05, 32/07 (Corrigenda), 88/08.

[17] Zakono Principima Lokalne Samouprave U Federaciji Bosne I Hercegovine [Law on the principles of local government in the Federation of Bosnia and Herzegovina - unofficial translation], Article 8, Official Gazette of FBiH 49/06, 51/09.

[18] Zakon o lokalnoj samoupravi [Law on local self-government – unofficial translation], Article 11, Official Gazette of Republika Srpska 101/04, 42/05, 118/05.

[19] Ibid., Article 12a.

[20] Ibid., Article 12b.

[21] Ibid., Articles 12 to 27.

[22] Ibid., Article 28. ​