Moldovan public institutions to be modernized

Parliament will review a draft law for modernizing public institutions. The document was examined today by the public administration and regional development commission and is to be proposed to the plenary for approval.

The document, set up by the State Chancellery, sets out clear rules for the establishment, reorganization, operation and dissolution of public institutions with the objective of creating a flexible and efficient institutional system in the central public administration. The project proposes a clear definition of institutional mandates, elimination of overlapping competencies, and a distinct delineation between policy-making structures and those for implementation.

According to the project, public institutions will be established at the proposal of central or local authorities, and their reorganization or dissolution will be carried out by Government decision or the founder’s decision. The document also includes the method of selecting directors, assessing institutional performance, as well as clear rules on staff, salaries and responsibilities.

A new element is the role of the public institution council, which will monitor the decision-making process. The founder will select council members through a competition, approve operating regulations, strategic programs and the annual budget.

Additionally, the commission reviewed a draft amendment to related legislation, which prohibits public institutions from engaging in commercial activities and abolishes provisions allowing them to establish commercial companies.

Currently, there are 457 public institutions in the Republic of Moldova.