Union of Municipalities and Cities of FBiH seeks clear criteria for distribution of capital transfers

(Patria) - The Presidency of the Assembly of the Union of Municipalities and Cities of the Federation of Bosnia and Herzegovina appeals to the Government of the Federation of BiH to establish clearly defined criteria in consultation with the Union for future distribution of funds for capital transfers to local self-governments.

Numerous important topics were discussed at the Presidency session held yesterday, such as the Draft Law on Public Procurement, to which the Union submitted its proposals and comments, the presentation of Initiatives by the working group for the water sector concerning the model for regional sludge management, the initiative related to establishing a fair water price and sustainable utility companies, and the proposal for establishing a water services unit within the Union.

Given that the Union's position regarding the equal distribution of two million KM from the FBiH budget to thirteen municipalities from Group V of development, according to the development measurement methodology of the Federal Development Programming Institute, was accepted, the session also discussed the method of distributing 48 million KM from the FBiH budget for capital transfers to local self-government units for 2025. In this regard, it was concluded that the Union should address the Government of the FBiH with an appeal that in the future, the distribution of these funds should be carried out according to transparent and clearly defined criteria in consultation with the Union.

The Presidency of the Union accepted the information on the implementation of the "Common Assessment Framework - CAF" Project, which was implemented in the period March – December 2025. The CAF model represents an internal instrument for improving the work of local communities through measuring results, setting priorities, better resource management, and making more concrete annual plans, it was announced from the Union of Municipalities and Cities of FBiH.