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LAW OF UKRAINE

of March 4, 2004 No. 1580-IV

About approval of the Nation-wide development program of the small cities

(as amended of the Law of Ukraine of 17.05.2012 No. 4731-VI)

The Verkhovna Rada of Ukraine decides:

I. Approve the Nation-wide development program of the small cities it (is applied).

II. Final provisions

1. This Law becomes effective from the date of its publication.

2. This Law extends except the cities determined in appendix to the Nation-wide development program of the small cities (further - the Program), also to settlements with population to 50 thousand to which the status of the city is in accordance with the established procedure provided and which such status are not deprived.

3. To the Cabinet of Ministers of Ukraine by preparation of drafts of the laws of Ukraine on the Government budget of Ukraine to provide expenses on address financing of the actions determined by the Program and having nation-wide value on compensation in full of losses of the local budgets caused by operation of the laws of Ukraine on provision of privileges to certain categories of citizens and also expenses on subventions for accomplishment of development programs of the small cities.

4. To the Cabinet of Ministers of Ukraine within three months after entry into force of this Law:

prepare and make in the Verkhovna Rada of Ukraine offers on reduction of legal acts of Ukraine in compliance with this Law;

introduce bills of the real estate tax in the Verkhovna Rada of Ukraine, having provided that the means received from collection of this tax are the income of local budgets of villages, settlements and cities; about modification of the Budget code of Ukraine concerning income adjustment of local budgets from sources of the taxation which shall be performed by legislative fixing of the lower and upper sizes of rates of the taxes sent to the budget of the corresponding territorial bulk (determination of the size of rates for categories of settlements shall be established by the law on the Government budget of Ukraine for the corresponding year); about introduction of amendments to the laws of Ukraine in the sphere of the taxation concerning enhancement of the tax load.

 

President of Ukraine L. Kuchma

Approved by the Law of Ukraine of March 4, 2004 No. 1580-IV

Nation-wide development program of the small cities

 

General part

This Program determines the main directions of social and economic development of the small cities of Ukraine (further - the small cities) till 2010 and contains scientific and methodical, economic, organizational, legal measures on its providing. The program will give the chance to local government bodies and executive bodies independently to constitute and realize plans of revival and development of the small cities with use for this purpose of the corresponding state support, to consider specific needs of these cities for regional programs and development strategies. The program will promote active attraction to this work of personnel of local executive bodies, the population and subjects of business activity.

The constitution of Ukraine and the Law of Ukraine "About local self-government in Ukraine" determine role of the cities in system of the administrative-territorial device and management of social and economic development as independent administrative and territorial units, carriers of local self-government, subjects of economic and financial activities.

At the present stage of development of the state in the small cities the difficult economic and social situation, first of all in the sphere of forming and labor market performance takes place. Insufficient accounting of specifics of the small cities when carrying out economic reforms fueled social and labor tension in them, resulted in unemployment in considerable scales. Accomplishment of social and economic and cultural development programs of territorial bulks of these cities is not provided with financial resources. Importance of determination of economic mechanisms of perspective development of the small cities increases thanks to increase in role of local government bodies in connection with transfer to regions of many functions and powers on management of social and economic development that strengthens influence of territorial bulks on forming of city-forming base and the sphere of employment of the population.

Section I. PURPOSE, MAIN OBJECTIVES AND PRIORITY DIRECTIONS of the PROGRAM

The purpose of the Program consists in creation of organizational, normative and legal and economic mechanisms of ensuring positive shifts in social and economic development of the small cities, ecological safety of their territory, increase in living standards of the population, improvement of quality of the public services rendered to the population on the basis of effective use of resource and research and production potential, market transformations in economic complex, and also in development of the legal basis and instruments of the state stimulation of these processes.

The main objectives of the Program are:

forming of system of the state support of development of the small cities, and also creation of conditions for their development at the expense of own financial, material, labor, natural and other resources;

ensuring financing of the actions aimed at the development of the small cities at the expense of different sources, including investments, means of the Government budget of Ukraine, local budgets, charitable fees, other sources which are not forbidden by the legislation;

creation of variety of types of economic activity which provide employment of the majority of the population of the small cities and considerably influence revenues of local budgets, creation based on the companies of the new industrial complexes intended for production of competitive products;

strengthening of financial basis of local self-government;

development of microcredit of small business, search of effective ways of interaction of large enterprises and small business entities;

planning and building of the territories of the small cities taking into account landscape, historical, architectural, ecological and other features;

problem resolution of water supply of the population and companies;

protection of water objects and resources;

the prevention of manifestations of dangerous exogenous geological processes within the small cities and liquidation of their consequences;

acceleration of market development of the earth in the small cities;

employment of the population, in particular youth, first of all by creating favorable conditions for self-employment and business activity;

development of social infrastructure, housing-and-municipal, hotel and road economy, transport complex, and also development of housing construction, including forming of housing stock of social appointment;

development of networks of electro-and mail service;

preserving cultural heritage, restoration and rehabilitation of objects of cultural heritage, revival and support of development of national art crafts and crafts, development of routes of tourist travel by the small cities;

ensuring availability of cultural services to the citizens living in the small cities, including the organization of rendering these services by the leading on-stage performance groups and also carrying out in the small cities of exhibitions of the known works of the fine arts;

preserving, rational use and reproduction of natural resources, providing ecological safety, including minimizing of waste, in particular dangerous, their utilization and neutralization.

The priority directions of the Program for 2004-2010 are:

creation of safe conditions of activity of the population;

first-priority ensuring housing construction with financial resources in the territory of the small cities, especially for young and large families, disabled people, veterans and the military personnel;

creation of legal and economic conditions for social development of the small cities, increase in living standards of the population, provision of housing for categories of the citizens needing protection from the state, forming of social and welfare infrastructure, improvement of demographic situation, development of the spiritual sphere;

development and introduction of mechanisms of stimulation of social and economic development of the depressive small cities;

forming of financial self-sufficiency of development of the small cities by strengthening of their material and financial resources;

development of economic and scientific and technical potential, creation of new workplaces with safe and healthy working conditions;

ensuring optimum employment of the population;

creation of market infrastructure and development of the mechanism of stimulation of small business in the small cities, creation of variety of types of business activity, creation of conditions of profitable cooperation with large and medium scale enterprises;

assistance of investing activities and to development of entrepreneurship;

development of industrial infrastructure, housing and communal services;

protection of cultural heritage, tourism development;

environmental protection;

forming of components of ecological network of Ukraine.

The priority directions of the Program cause its structure, and target reference points - content.

Section II. CURRENT STATE of SOCIAL AND ECONOMIC DEVELOPMENT of the SMALL CITIES

The small cities (the cities with population to 50 thousand people) hold specific place in historical development of Ukraine. In them the national culture was created, they are basis of progress and creation of large industrial and town-planning complexes, the guarantor of stability of the state and society.

Output gap, destabilization of social and economic and financial position in Ukraine during 1991-2001 weakened economic basis of the small cities.

The small cities are the most numerical group of the cities on quantitative structure, considerable part them are administrative centers of areas.

Life of nearly 22 million city and villagers is directly connected with the small cities. These cities play important role in forming of settlement network and development, placement of productive forces of Ukraine.

As of January 1, 2003 in Ukraine there were 350 small cities (3/4 total quantities of the cities of Ukraine) in which nearly 13 percent of the population of the country (about 19 percent of urban population) lived. Including there were 15 cities with population to 5 thousand people, 66 cities - from 5 thousand to 10 thousand people, 160 cities - from 10 thousand to 20 thousand people, 109 cities - from 20 thousand to 50 thousand people.

According to the General scheme of planning of the territory of Ukraine approved by the Law of Ukraine the following types of the small cities are allocated:

cities adjacent to the centers of systems of resettlement;

the cities having considerable recreational and improving potentials;

the cities having considerable natural and historical and cultural potentials;

the cities - the centers of agricultural regions;

monofunctional cities.

On specific weight of the population occupied in various spheres of economic activity it is possible to mark out the following categories of the small cities:

the cities with mainly industrial functions;

transport hubs;

sanatorium and recreational centers;

historic, historical and architectural, cultural and tourist centers;

administrative centers of areas;

economic centers of local value;

the centers of local local systems of resettlement performing functions on rendering welfare, household and other services to the population.

The small cities belonging to the category of the centers of local local systems of resettlement and the economic centers of local value (nearly 50 percent of total quantity) are the most widespread in Ukraine.

About 25 percent of the small cities belong to the cities with rather developed economic basis - the cities with mainly industrial functions. The main sign of reference of the small city to this group is excess of average across Ukraine of the employment level of the population in industries of production of goods. Considerable part of these cities are monofunctional cities which industries of specialization are the mining industry, power, conversion of agricultural raw materials, etc. In Ukraine there are 111 such cities. Treat them:

industrial centers: coal mining - 32 cities, production of ore and nonmetallic raw materials - 7, power engineering specialists - 9, processing industry 27, chemical and oil-processing industry - 6 cities;

the agrarian-industrial centers - 18 cities;

the transport centers - 9 cities;

the medical and improving centers - 2 cities;

the center of art crafts - 1 city.

The most acute common problems of development of the small cities are:

insufficient level of social development;

lack of necessary financial resources;

insufficient level of financing from the budget;

unilateral specialization of the companies and insufficient load of their capacities;

low speed of construction of housing, objects of social infrastructure;

insufficient economic opportunities of the city-forming companies, limitation of the choice of professions, backwardness of services industry that complicates situation in the sphere of employment of the population and creates demographic problems of the small cities;

insufficiently developed system water - power - heat supply and sewer networks;

critical condition of objects of systems water - power - heat supplies in many small cities;

unsatisfactory condition of resource-saving;

unsatisfactory condition of road economy;

low level of development of city infrastructure, sphere of social services, culture objects; practically projects within the National program of informatization are not implemented;

insufficient development of transport communications with rural settlements in zone of influence of the small city;

insufficient providing with telephone communication;

unsatisfactory improvement of the cities, unsatisfactory situation with collection and neutralization firm household, and in some of them - and industrial toxic wastes;

insufficient level of vocational training;

insufficient opportunities of computerization of schools;

insufficient level of engineering protection of the territories against manifestations of dangerous exogenous geological processes;

limited opportunities of the population in education.

On nature of dynamics of social and economic development the small cities divide on:

the cities which are intensively developing and within the last three years the having positive indicators of increase in production (6 percent of the small cities);

the cities having insufficient rates of development (61 percent of the small cities);

depressive small cities (33 percent of the small cities).

Procedure for reference of the small cities to category depressive and procedure for granting of the state support for their development are established according to the law.

Section III. MAIN DIRECTIONS of ENSURING COMPLEX DEVELOPMENT of the SMALL CITIES

The program is directed to realization of state policy on acceleration of social and economic development of the small cities, ensuring their welfare and spiritual revival, preserving historical and cultural heritage.

The main directions of the Program are:

introduction of effective mechanisms of stimulation of social and economic development of the small cities, first of all depressive;

active assistance to creation of high-productive workplaces in spheres of managing and to employment of the population;

development of small business, local industry, updating of technological base of production;

development of the social sphere of the small cities;

development of networks and means of modern communication as one of the main conditions of development of economy of the small cities;

increase in role of territorial bulks, local government bodies in development and accomplishment of development programs of the small cities;

forming and recovery of components of ecological network as basic natural element of ecological safety of the territory.

Stimulation of social and economic development of the small cities by the state

The state support of social and economic development of the small cities, including depressive, is provided for the purpose of ensuring positive dynamics of level and quality of life of the population, creation of conditions for development of production, communication, stimulation of entrepreneurial initiative at the expense of own financial, material, labor and natural resources of territorial bulks of the small cities.

The state priority in development of the small cities is creation of conditions for ensuring their sustainable development and forming of the priority directions of perspective development of the cities of different type, namely:

for the small cities adjacent to the centers of systems of resettlement (satellite towns of the centers of systems of resettlement), - placement of branches and shops of industrial enterprises which are taken out from these centers;

for the cities having considerable recreational and improving potentials (resort towns and the sanatorium and recreational centers) - stimulation of development of resort functions with prohibition of construction new and expansions of the operating industrial enterprises which are not connected with satisfaction needs of vacationers and the population of the small cities or such which can negatively affect natural medical factors;

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