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This independent blog collects news about projects or achievements in regulatory reform / better regulation. It is edited by Charles H. Montin. All opinions expressed are given on a personal basis.
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21 February 2012

Senate delays simplification of regulation on local authorities (France)

In these last weeks of the parliamentary session, there is a flurry of activity in simplification, with unfortunately perhaps more haste than speed.

1/ A new bill from the Senate floor, especially targeted at lowering the regulatory burden for local authorities (a case of excessive "regulation inside government" - RIG) was probably filed too late. Following a mission entrusted by President Sarkozy, Senator Doligé presented in June 2011 a report on the simplification of the "normative edifice" applying to local government containing some 248 practical measures. The bill now enacts the proposals requiring changes in legislation. There had been hopes that it would be discussed and perhaps adopted before the presidential elections, but when it came to agenda setting earlier this month, the bill was sent to commission reading, thereby delaying adoption in such a short timeframe. The main reason for the move is that the text includes a number of (rather contentious for some) principles, such as "the proportionality of norms according to the size of the local authority" to alleviate the compliance burden of the smaller entities. The discussion in commission highlighted the risk of introducing an "inequality of citizens" in respect of local public services, such as social services which are provided by the communes.

2/ The government was hoping to crown its local finance policy with this bill: the minister in charge has made known his surprise at the Senate's move, recalling the main stages of the policy. In 2008, it had established a dedicated unit within Parliament to systematically check new legislation for burdens imposed on local authorities (the " consultative commission on the evaluation of norms") and in the wake of the April 2010 conference on deficits, a moratorium on new norms applying to local authorities (see circulars dated 6 July 2010 and 17 February 2011.) Further impetus was given by President Sarkozy himself in a speech to the association of maires in November 2010.
The economic relevance of the issue was again highlighted by the organisation by the presidency of a conference on local finance, at the Elysée palace on 10 February (see good press file from the "association of Départements") just before the launch of the presidential election campaign.

3/ the Senate voted yesterday (20 Feb) to bury the 7th simplification law, following up on its opposition in principle to "catch-all" texts (lois "fourre-tout") restated on 15 Februrary in a negative commission report. To understand the move, it is useful to remember that following its last part renewal, the Senate does not have the same political majority as the National Assembly and the Government.
In its second reading on 31 January under the "accelerated procedure", the National Assembly had mocked the Senate's apparent reluctance to adopt new legislative techniques. It is probable that the National Assembly will use its constitutional prerogative to orverride the Senate's opposition and enact the simplification omnibus.

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