The main function of a local government is to organise and manage local issues in acocordance with the principle of subsidiarity, which means that functions have to be fulfilled on the lowest level of the public sector as possible.
According to the Constitution of the Republic of Estonia, functions may be placed at local governments only in accordance to the law, by mutual agreement or with contracts. The Local Government Organization Act (adopted June 16, 1993) determines the responsibilities of local governments: education, culture and sports, social welfare services, health care, housing and utilities, waste management, the maintenance of infrastructure, spatial planning etc.
Education
Local governments are responsible for the organization of the maintenance of pre-, basic and secondary schools, if they are in the ownership of the local government, by covering their operational expenses. The teachers of municipal schools get paid from the local government’s budget, funds for it are allocated from the state budget. According to the Estonian legislature, local governments also have to organize students’ transport
Culture and sports
Local governments are also responsible for the organization of the maintenance of libraries, community centers, museums, sports facilities and other local agencies if these are in the ownership of the local government. In the sports sphere local governments organize and fund local sports events held on their territory.
Health care
Generally health care is funded from the Estonian Health Insurance Fund, which has its own budget. Local governments, however, are responsible for the provision of first level health care services (family physician) and the organization of the health care institutions (family health centres) located on its territory.
Social welfare services
In the social welfare sphere the local government is responsible for the organization of the maintenance of shelters, care homes and other social welfare institutions, if they are in the ownership of the local government. Furthermore, local government is responsible for organizing social assistance and the welfare for the elderly, the handicapped and other persons in need of assistance.
Housing and utilities, the maintenance of infrastructure
Local governments are responsible for the organization of the maintenance of housing and utilities and for providing the services in accordance to it: the supply of water, sewerage and heating. It is a common practice, in this sphere, to delegate public services to private or non-profit sector organizations.
Environmental protection and waste management
Local governments are responsible for the management of the utilization of natural resources (land, forest and water bodies) and for organizing the waste management.
Spatial planning and construction activities
Local governments are obliged to prepare comprehensive and detailed plans, emit building permits and organize construction supervision.
Maintenance of law and order, fire fighting and rescue services
In this sphere, state and local government share the responsibility, though maintenance of law and order, rescue service and fire fighting are the functions of central government. Local governments are responsible for the organization of the supervision of public order and citizen protection.
Other functions
Local governments are allowed to form institutions, to be the owner or shareholder of formed companies or members of non-profit organizations and foundations.
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