Montenegro is a unitary state. In the past, however, it was part of the Federal Republic of Yugoslavia (1992-2003) and later the State Union of Serbia and Montenegro (2003-2006). By a referendum held on 21 May 2006, 55.5% of the Montenegrin population voted in favour of independence from the union it had with Serbia. On 3 June 2006, the Montenegrin Parliament declared its independence and on 22 October 2007, the new Constitution of Montenegro was proclaimed. Montenegro became a candidate for EU accession at the end of 2010; EU accession negotiations have been opened in June 2012.
Montenegro has 21 local self-government units and 2 urban municipalities (which are a subdivision of the Capital City of Podgorica). The local self-government units are: the Capital City of Podgorica, the Historical Capital of Cetinje, municipalities of: Andrijevica, Bar, Berane, Bijelo Polje, Budva, Danilovgrad, Herceg, Novi, Kolašin, Kotor, Mojkovac, Nikšić, Plav, Plužine, Pljevlja, Rožaje, Šavnik, Tivat, Ulcinj and Žabljak and urban municipalities of Golubovci and Tuzi.
As is stated in Article 1 of the Montenegrin Constitution (2007), Montenegro is a republic based on civil, democratic, ecological, social justice and rule of law principles. Montenegro has a unicameral system which contains 81 members elected for a four-year period and are elected through a closed-list proportional representation system. The president is also directly elected. The term of the presidency is 5 years. Additionally, the president may propose a prime minister to the Parliament.
Article 22 of the Constitution guarantees the right of local self-government and Chapter 4 elaborates on the system of local self-government. It identifies municipalities as the basic form of local self-government. In Article 117 it is specified that the municipalities have autonomy in the performance of their duties. Article 116 states that the municipalities can compose their own budgets and that they are financed partly from their own sources and partly from the sources of the state. The constitution does not identify any regional entities. The “Regional Development Law” divided the country into three regions for statistical purposes with no legislative or implementing powers vested in those regions. Furthermore, the Government adopted the 2011-2016 development strategy for inter-municipal cooperation together with the 2011-2013 Action Plan for its implementation and the Law on the Territorial Organisation of Montenegro was enacted by the Montenegrin Parliament on 2 November 2011.
In 2010, Montenegro adopted its Law on Local Self-Government. The law outlines the specifics on of the functioning of the municipalities. It gives details on the structures, decision-making procedures and tasks of the municipalities. Additionally, the Strategy of Public Administration Reform in Montenegro 2011– 2016, lays down some future reforms on local self-government.
The financial autonomy of the municipalities is laid down in the “Law on Local Self-Government Financing”. The own resources of the municipalities are: real estate tax, surtax on personal income tax, local administrative charges, local communal charges, fees for utility equipment of constriction land, fees for the use of municipal roads, fees for environmental protection, resources from the sale and rental of municipal property, income from capital (interests, stakes and shares, etc.), fines imposed in misdemeanour proceedings, revenues from concession fees for performing communal affairs and other activities, revenues collected by municipal bodies, services, and organisations through their own activities, revenues from grants and subsidies, and other revenues set out by the law. From this, 12% of the revenues on personal income tax, 80% of revenues from tax on real estate transfer and 70% of concessions and other fees are meant for the municipalities.
1.1. Central level
The Government’s powers are listed in Article 100 of the Constitution and include:
- Managing the internal policy of Montenegro
- Managing and executing the foreign policy of Montenegro
- Enforcement of the laws and other regulations
- Contracting international agreements
- Proposing the Development plan and Spatial plan of Montenegro
- Proposing the Budget and the Final Statement of the Budget
- Proposing the National Security Strategy and Defence Strategy
The Parliament’s powers are listed in Article 82 of the Constitution and include:
- Adopting the Constitution
- Adopting laws and other acts
- Proclaiming the state of war and the state of emergency
- Adopting the budget and the final statement of the budget
- Adopting the national security strategy and national Defence strategy
- Adopting the Development plan and Spatial plan of Montenegro
- Deciding on the use of units of the Army of Montenegro in international forces
- Regulating the state administration system
- Performing supervision of the army and security services
- Calling for the national referendum
- Electing and dismissing from duty the Prime Minister and members of the Government
- Electing and dismissing from duty the President of the Supreme Court, the President and the judges of the Constitutional Court
- Appointing and dismissing from duty: the Supreme State Prosecutor and State Prosecutors, the Protector of human rights and liberties (Ombudsman), the Governor of the Central Bank and members of the Council of the Central Bank of Montenegro, the President and members of the Senate of the State Audit Institution, and other officials stipulated by the law
- Deciding on immunity rights and granting amnesty
- Confirming international agreements
- Calling for public loans and deciding on taking debts
- Deciding on the disposal of state property above values determined by the law.
- The Montenegrin Constitution provides the municipalities with autonomy with the performance of its duties in Article 117;
- The Law on Self-Government and other laws further list additional tasks and duties the Municipalities have;
1.2. Regional level
1.3. Local level
The following areas are within the competence of the municipalities:
- Local development
- Urban and spatial planning at local and regional level
- Construction permitting
- Construction land development and management
- Performance and development of communal affairs, maintenance of communal buildings and communal order
- Environmental protection
- Water management
- Agricultural land
- Social welfare
- Transport
- Tourism
- Culture and sports
- Investment policy
- Protection and rescue of the local population
- Consumer protection
In Article 116 of the Constitution, it is also stated that municipalities have their own budget and their own resources (in addition to state resources).
