The Kysuce region, which ranks among the poorest regions in Slovakia, has for a long time worried about their lack of strategic plans for development since this is a precondition for applying for funding under the EU structural funds. But when Norway and EEA Grants held its first call for project proposals in Slovakia in spring 2006, Kysuce seized on this opportunity to gain the support needed to develop a comprehensive plan for development.
Bottom-up approach
"The F.A. Hayek Foundation was contacted by local actors in the region to help them develop a project under Norway and EEA Grants," said Matúš Pošvanc, project coordinator and Senior Fellow of the liberal think-tank. Participatory development was a fundamental goal for the region, and in the developed project the citizens of Kysuce will actively help identifying local needs and priorities.
A match for the 'regional policy' priority sector in Slovakia, which supports activities that strengthen competence and capacity at local level and foster good governance in public administration, Iceland, Lichtenstein and Norway awarded the project a €300,000 grant in January 2007. The Kysuce project includes the development and implementation of five regional and local-level strategic development plans, trainings for public officials and extensive cooperation across sectors.
Broad participation
The project already enjoys strong local support. The ilina self-governing county, the municipalities of upper and lower Kysuce, the Entrepreneurs Association of Slovakia and its local branch in Cadca are among the participants of the 12 planned workshops on the development strategies. Local and nationwide NGOs have also voiced their interest, including the Women of Kysuce, the Civil Association to Encourage Free Society, and the Slovak Union of Environmental Activists. Additionally, young people will be engaged through essay competitions staged by local secondary schools and through supplementary young leader forums.
The scope of the project will also contribute to strengthen the cooperation between Norway and Slovakia, which is an overarching aim of Norway Grants. A previous cooperation between the F.A. Hayek Foundation and the Norwegian consultant Erik Svindland will be expanded within the project.
Community control over public money
Trainings for public officials form another integral part of the project. Public administrations in Kysuce will be trained in topics such as financial management and performance-based budgeting, expected to make public spending more efficient by linking expenses directly to programme goals and measured results.
Cooperation across sectors is present in the set-up of the training schemes, and NGOs from the region will provide educational services to local administrative staff. The F.A. Hayek Foundation believes the strategic development plans and the new form of budgeting will increase both transparency and efficiency in the region. "The municipalities will be able to spend public money more properly and effectively, and the new level of transparency and information-sharing will make it easier for municipalities and NGOs to cooperate", Pošvanc said.
The F.A. Hayek Foundation has previously carried out a similar project in cooperation with the city of Trenèín, the seventh biggest city in Slovakia. Following the implementation of the programme budgeting tool and the development of strategic plans, the city’s rating was improved by the Slovak rating agency, an integral part of European Rating Agency. "This is a direct impact which also the Kysuce region aims to see with this project," Pošvanc said.