Local Authorities in Cyprus
Municipal Law
Summary Guide of the Municipal Law
Introduction
The establishment and operation of
municipalities in Cyprus is governed by the Municipal Law, approved in
October 1985 (N. 111/85) to replace existing legislation. Since then the
House of Representatives has voted an additional 27 Laws to amend the
basic Law of 1985.
It should be pointed out from the start that
this Guide does not aim to be a substitute of the official text of the
Municipal Law, which every interested person can refer to for detailed
information on specific issues provided in the Law. However, one would
expect that the Summary Guide will be a useful tool, particularly as a
point of reference to prospective candidate mayors and new mayors and
municipal councilors. These guidelines also aim to offer any other
interested person, wishing to be facilitated through the provisions of the
Law, general information about the way municipalities are run.
The Structure of the Law
The Municipal Law comprises 11 parts (144
articles in total) which relate to specific topics and appear under the
following titles:
1. Part One: Introductory
Provisions
This part, which consists of the first two
articles, cites the title of the Law (article 1) and the legal
interpretation of various terms encountered in the text of the Law
(article 2).
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2. Part Two: Establishment
and Abolition of Municipalities
This Part stipulates that the municipalities
existing on the date this Law came into force shall be deemed as having
been established in accordance with the provisions of this Law and shall
continue to operate in accordance with its provisions (article 3).
Another important provision, included in this
part, refers to the carrying out of a plebiscite in a town, an improvement
area, village or group of improvement areas or villages with a population
of over 5000 inhabitants, among the registered voters of these areas, to
ascertain whether they wish to declare their area a municipality (article
4). If the result of the plebiscite is in favour of declaring the area a
municipality, then the Council of Ministers shall declare the said area a
municipality by issuing a decree which is published in the Official
Gazette of the Republic. The application of the provisions of the
Municipal Law in the newly established municipality takes immediate
effect. At the same time, the Council of Ministers appoints a municipal
committee whose term of office cannot exceed six months under any
circumstances. The municipal committee is made up of five persons, one of
whom is designated president, and is appointed to exercise temporarily the
office of mayor and municipal councilors until elections take place to
elect the mayor and the municipal council of the newly established
municipality.
The above article was amended in 1992 to give
the Council of Ministers the authority and the competency to order a
plebiscite in improvement areas, villages or groups of improvement areas
and villages with less than 5000 inhabitants, provided the Council is
satisfied that an area has the financial capability to operate effectively
and satisfactorily as a municipality.
Article 5 refers to the possibility of a merger
of one municipality with a neighbouring municipality, improvement area or
village, after a plebiscite among the registered voters of the affected
municipality, improvement area or village, to ascertain their wishes
concerning this merger.
Article 6 provides for the abolition of
municipalities when their population is below 4,000 for the past three
consecutive years.
Article 7 defines the legal status the
municipalities have as legal persons. According to this article all
municipalities are Legal Persons of Public Law and have all the properties
of such persons.
Article 7 provides for the change in the name of
a municipality and article 8 provides for the process of redefinition,
alteration, extension or limitation of municipal boundaries.
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3. Part Three: Townspersons
This part (article 9) explains and defines the
persons considered to be townspersons. It may be noted that any citizen of
the Republic who normally resides within the municipal boundaries of a
municipality is automatically a townsperson of this municipality. Article
10 refers to the preparation and maintenance of a register of
townspersons.
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4. Part Four: Municipal
Authorities and Their Elections
This section (articles 11 to 42) deals with
various issues relating to municipal elections. It also outlines some
basic points in order to give an overall picture of municipal elections
issues.
a. General municipal elections take place
every five years, following an order by the Minister of Interior that
shall be published in the official Gazette of the Republic. Elections
take place any day during the month of December and the five-year term
in office of municipal councilors begins on the first of January, the
month after elections take place.
b. Should a municipal council assume its
duties after the first of January of the year in which general elections
were carried out, the term of office of this municipal council begins on
the first day of the month, immediately after the election month and is
equal to the remaining period of the term of office of other councils
elected in the past general municipal elections.
c. Every council comprises the mayor and the
councilors and their number varies between 8 and 26 (excluding the
mayor), depending on the number of voters of each municipality. The
deputy mayor is included in the number of councilors mentioned above.
d. Elections for the mayor and the councilors
take place on the same day but separately. Two ballot boxes are used for
this purpose, one for the election of a mayor and one for the election
of municipal councilors.
e. In the election for a mayor, the candidate
who obtains the most valid number of votes among the candidates, without
placing any limit in the percentage of votes a candidate should obtain,
shall be declared mayor.
f. For the election of municipal councilors,
the candidates shall run either as members of coalitions or as
independent candidates and the distribution of seats shall take place in
accordance with the provisions which apply for the House of
Representatives. Voters also have the right to express their preference
for a specific candidate by marking crosses of preference, which cannot
surpass one cross for every four or less councilors, depending on the
total number of councilors.
g. Subject to the provisions of article 13,
the right to vote in a municipality is afforded to citizens who have
completed their 18th birthday, who are townspersons of this municipality
and are registered in the electoral register the Ministry of Interior
has for the purpose of municipal elections. The right to vote in
municipal elections is compulsory just at it is in parliamentary
elections.
h. Subject to the provisions of articles 15
and 16, all citizens who have the right to vote, provided they have
completed their 25th birthday, have the right to be elected to the post
of mayor and municipal councilor. No person may be elected if he is
mentally unfit, bankrupt and has not been reinstated or has been
convicted in the five years prior to the elections of a criminal offence
which is punishable or which involves moral depravity. Ministers,
deputies, judges, employees of the broad civil service, persons serving
in the police or the military, persons occupying a religious post or
having any contractual connection with the municipality for the
execution of works or the rendering of services on payment, may stand
for election to the post of mayor or municipal council but in the event
of being elected, they cannot take up their post unless they resign
their office or post or give up their contractual obligations or
responsibilities to the municipality.
i. The elected council shall elect by secret
ballot among its members, in its first meeting, a councilor who shall be
the deputy mayor and who may retain this post until the expiration of
the term of office of the council which elected him.
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5. Part Five: Administration of
Municipalities
This part deals with various issues concerning the
administration of municipalities. Article 43 provides that the convening
of the meetings of the council and the work during these meetings shall be
governed by regulations issued for this purpose by the council. It also
provides that a council should apply the regulations included in the
Second Schedule of the Law until the council issues its own regulations.
The role of the municipal committees
This part deals with the establishment and
operation of various municipal committees. The role of these committees,
with the exception of the management committee which is set up on the
basis of a special provision in the Municipal Law, is consultative and not
executive.
The management committee
This committee, set up under the provisions of
article 44 of the Law, is the top committee of the municipality. It should
be clarified that the competencies of this committee are those defined
explicitly in article 47 of the Law. Specifically, the management
committee carries out the duties referred to in article 47 of the Law and
which are outlined below as these are set out by the Law:
a. Prepares the budgets of the municipality
and submits them, at the appropriate time, to the council for approval.
b. Prepares the annual report and the annual
accounts of the municipality and submits them to the council for
approval.
c. As soon as the annual accounts of the
municipality are finally audited by the Auditor General of the Republic,
it causes the notification of the annual report in such a manner as the
council shall at any time decide.
d. Assists and advises the mayor in the
exercise of his powers and the performance of his duties.
e. Coordinates the work of the various
committees appointed by the council.
f. Performs such other duties as shall be
entrusted to it by the council or the mayor.
The management committee is appointed by the
council and its members must necessarily be members of the council. The
number of the members of the management committee cannot be any less than
one third but no more than half of the total number of councilors. The
mayor and the deputy mayor shall be members of the management committee by
reason of their posts, in accordance with the specific provisions of
article 44. The mayor chairs the meetings of the committee and in his
absence or if he is unable to be present, he shall be replaced by the
deputy mayor. The council can, subject to the provisions of article 44,
change from time to time the composition of the management committee,
dismiss existing members and appoint new members and fill all vacant posts
therein.
The convening of committee meetings and the work
carried out during such meetings are governed by regulations issued by the
council for this purpose. If no such regulations have been issued, then
the rules which apply to the meetings of the council shall apply, mutatis
mutandis, until such regulations are issued. Half the members of the
management committee plus one, including the mayor if he is present, shall
constitute a quorum at committee meetings. The decisions shall be taken by
majority vote and in case of equal votes the chairman of the committee
shall have a second or the casting vote.
Other Committees
Other committees may be established if the council,
which has the authority, takes a decision to this effect, in accordance
with article 45. The Law does not define in detail either the objective or
the number of such committees in order to give the biggest possible chance
and flexibility to the council to decide. The members of these committees
are appointed by the council and it is possible to appoint persons non
members of the council. However, as a general rule, the members of the
committees are council members. The committees may be general or special
and the number of the members of each committee is decided by the council
which, as mentioned earlier, appoints the committee members.
The only restriction stipulated by the Law on
the appointment of members of the committees, as a reservation to
paragraph (1) or article 45 and which in many cases is very difficult to
be determined in numbers with precision, is that in the appointments to
the committees there shall be chosen councilors belonging to all parties,
coalition of parties, combination of independent candidates and
independent candidates, proportionately as far as this is possible, to
their numerical representation in the council.
As far as the establishment and operation of the
committees, the following shall apply subject to article 45 of the Law:
a. The council may, from time to time, change
the composition, dismiss existing and appoint new members and fill any
vacant posts in any such committee.
b. Half the number of the members of a
committee plus one shall constitute a quorum.
c. The acts and work of any such committee are
submitted to the council for approval.
d. The chairman of each committee is appointed
by the council and must be a member of the management committee. The
mayor may attend the meetings of any such committee and in such cases,
he shall preside over such meetings and shall be considered a member of
the committee.
e. The council shall regulate the convening of
the meetings of the committees.
f. The decisions shall be taken by simple
majority of the members of the committee. In case of an equal vote, the
chairman of each committee shall have a second or the casting vote
Minutes of council and committee meetings
The town clerk shall keep the minutes of meetings
of the municipal council and the various committees and he, in addition to
any other duties entrusted to him, shall also be responsible for the
safekeeping of documents and archives of the municipality, as directed by
the municipal council. However, as several committees are set up and it is
not possible for the town clerk to sit on all the committee meetings, he
may authorize other municipal officers, with the mayor’s approval, to act
on his behalf for the keeping of minutes of the committees.
Competencies of the mayor
This section of the Law outlines in detail the
competencies of the mayor. More specifically, article 46 provides that the
mayor shall be the executive authority of the municipality (the only one)
and shall represent the municipality in all official activities. The same
article defines specifically the competencies of the mayor and stipulates
that in case he is absent or incapacitated, he shall be replaced by the
deputy mayor. Following are the competencies of the mayor provided in
article 46 (1) (a) to (i) as they appear in the Law:
a. Represents the municipality before the
courts and any other authority of the Republic.
b. Prepares the agenda of the meetings of the
council and convenes such meetings.
c. Presides over the meetings of the council,
the management committee or the committees thereof of which he is a
member or which he attends.
d. Executes the decisions of the council.
e. He is in charge of all the services of the
municipality which he guides, directs and controls.
f. Orders the collection of municipal revenues
and issues financial orders against the budgets or approved credits, as
these were adopted by special decisions of the council, subject to
paragraph (1) of article 66.
g. Signs, authorizes any officer of the
municipality to sign any municipal regulation issued under the present
Law or any license granted under this Law.
h. Acts as a Marriage Officer as from 1st
April 1986 under the Marriage Law.
i. Exercises any other competence or authority
entrusted to him by the present Law or by any municipal regulation
issued on the basis of this Law or any other law.
The interpretation of articles relating to the
administration of the municipalities, especially in relation to the
competencies of the mayor and the municipal council, has led at times to
circumstances which caused problems to several municipalities. As a result
of this, it is deemed useful to clarify the following points on this
matter in order to answer some queries and disperse any doubts:
a. The mayor, as specifically stipulated in
article 46 of the Law, is the only Executive Authority of the
municipality.
b. The municipal council "legislates"
(approval of municipal regulations) appoints officers, approves the
budgets, decides about the execution of development projects, drafts out
policy on the basic aspects of the activity and mission of the
municipality, but does not have an executive role because this is the
exclusive competency of the mayor, who is the only Executive Authority
of the municipality. The mayor, when participating in the meetings of
the Municipal Council and chairing them, has a "parliamentary" role
similar to the one the rest of the members of the council have but in
all other occasions, his role, being the most substantive, is executive.
c. The municipal service, headed by the mayor
who guides, directs and exercises control over it, is the body used by
the mayor as the municipality’s Executive Authority to execute the
decisions of the municipal council. Furthermore, the municipal service,
through its own hierarchy deals on its own with all those issues
considered to be related solely to the service itself without the
intervention of the mayor, except to get guidance or supervision from
the mayor.
d. The importance of the post of deputy mayor
is that he replaces the mayor when he is incapacitated or absent, as
provided by paragraph (2) of article 46. In the presence of the mayor,
the deputy mayor shall have the same rights and obligations as the other
municipal councilors. The only distinction the Law makes for the deputy
mayor, compared with the rest of the municipal councilors, is that he
participates in the Management Committee so that he is informed about
the Committee’s work when he acts in the place of the mayor.
The benefits of the mayor and the councilors
In accordance with article 52, the mayor shall
receive an annual stipend and the deputy mayor and the councilors shall
receive such compensation or allowances as the municipal council shall
decide and vote for. These will have to be approved by the Council of
Ministers as well. When the mayors retire, they are entitled to a pension
from the municipality, as provided by the relevant regulations which the
municipal council shall issue in accordance with the same article
Municipal officers
Articles 53 to 64 refer to the municipal officers
and can be summarized as follows:
a. The posts of the municipal service for each
municipality shall appear in the ordinary budget of the municipality
with the corresponding salary scale for each post.
b. The municipality shall proceed with the
preparation and approval of Municipal regulations which shall prescribe
the procedure to be followed for filling vacant posts, the general terms
of service of municipal officers, their duties and obligations, the
exercise of disciplinary power and any other related matter. It should
be noted that these Regulations refer only to the officers and not to
the workmen of the municipality.
c. Article 54 provides the council with the
authority to proceed, among other items, with the creation of all or
some of the following senior posts:
- Town clerk
- municipal engineer
- municipal treasurer
- municipal medical officer
- municipal sanitary inspector
- head of any department declared by the
council as independent
d. With regard to the qualifications of
municipal officers for appointment, their scheme of services, their
rights and obligations and their salaries, in general terms, what
applies for the public servants applies for the municipal officers too.
This however does not mean that there are no differences, bearing in
mind that a municipality by its very nature is a body with many
peculiarities in relation to the work it has to perform.
e. The Law makes a clear distinction between
officers and workmen. The appointment of workmen is governed by article
56 and is carried out by a committee consisting of members of the
council, appointed by the council and presided by the mayor.
f. Article 61 of the Law gives the right to
the municipalities to enter into contracts with one another to enable
rendering of services by an officer of one municipality to be offered to
another or other municipalities.
g. Article 61 A safeguards the continuity of
service and benefits of officers and workmen of Local Authorities which
are declared municipalities.
Property and contracts of the
municipalities Articles 62 and 63
relate to the movable and immovable property of municipalities and article
64 to the contracts made in the name of a municipality. With regard to the
immovable and movable property of the municipality, the following shall be
noted:
a. When new municipalities are declared, all
preexisting property and obligations of Local authorities shall be
incorporated into the new municipalities.
b. The immovable property of the municipality
shall be registered in the books of the Lands Office.
c. The Council may decide for the sale or
exchange of immovable property of the municipality, only after the
approval of the Council of Ministers. The Council may also decide for
the mortgage, or leasing or hiring of immovable property of the
municipality for a period exceeding ten years, only after the approval
of the Minister of Interior.
d. The Council may, for the purposes of this
Law and subject to the provisions of this Law or any other Law, improve
or develop in any way every movable or immovable property possessed by
or belonging to the municipality and create public enterprises.
e. The Council may decide for the sale or
exchange of any movable property of the municipality.
With regard to signing of contracts in the name
of municipalities, the following may be noted:
a. Contracts shall be made in writing and bear
the signatures of the mayor and two councilors authorized by the council
for this purpose. Contracts incidental to the ordinary work of current
business of the municipality may be, subject to the provisions of the
Contract Law, made in writing or orally as the case may be, and signed
only by the mayor.
b. The Council may decide for the leasing of
any movable or immovable property of the municipality, the contracting
of loans and their terms and conditions as well as any inheritance,
bequest or donation.
c. Certain contracts, which exceed the term of
office of the Council that has entered into them, are subject to the
approval of the Minister of Interior.
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6. Part Six: Budgets,
Finances and Accounts
This part refers to the finances of the
municipalities, in particular to the budgets and accounts, the
municipal fund and the municipal fee on immovable property.
Budgets With
regard to the municipal budgets, the following can be noted in summary
form:
a. The municipality shall prepare two budgets.
The first is the "Annual Current Estimate" of revenue and expenditure
and the second the "Development Estimate", both of which shall be
prepared in good time to be submitted to the Council of Ministers for
approval by the 31 October of the year preceding the financial year they
relate to. The financial year of the municipalities begins on 1 January
of each year. The two estimates shall be prepared by the management
committee and once they are approved by the municipal council, they
shall be submitted through the District Officer to the Minister of
Interior, who shall then submit them with any suggestions and
observations to the Council of Ministers for approval. Copies of the
approved estimates shall be sent by the municipal council to the Auditor
General of the Republic and the House of Representatives for their
records.
b. The Annual Current Estimate includes the
ordinary revenue and expenditure of the municipality. The most important
revenue comes from various municipal fees, rights and taxes imposed by
the municipality, the most important of which are the professional tax,
the refuse tax, municipal tax on immovable property, overnight hotel
accommodation, tolls, spectacle charges, right to issue construction
permit and division of land plots, rights to issue town planning
permits, water charges (wherever this is applicable) and parking charges
(from municipal car parks and parking metres). The ordinary revenue also
includes various other means of revenue of minor significance as well as
the annual state grant. Expenditure includes the regular operational
expenses of the municipality, the most important of which is the pay
roll of the staff of the municipality and their benefits (pension fund
and medical fund etc.). Other moneys relating to expenditure include
interest on municipal loans, expenses for the maintenance of roads,
municipal buildings and vehicles and municipal/operational expenses
(office paper, telephone and electricity bills etc).
c. The "Development Estimate" includes
expenditure for development projects the municipality is planning to
carry out during the year concerned and the funding of such expenditure,
normally done through loans and or special state grant. The level of
this state grant, allocated by the government, varies depending mainly
on the nature of the project and the financial situation of the
municipality.
d. The council of each municipality may,
without any further approval, spend an amount equal to 20% of the
foreseen and approved amount of any fund of the estimates, provided that
for this additional amount, funds will be saved from any other foreseen
and approved funds of the estimates.
e. The municipal council may, by 31 May of the
year for which the estimate has been approved, submit to the Council of
Ministers for approval a revised estimate, if it considers that the
circumstances necessitate such a move.
f. The municipalities get an annual grant,
through the Union of Municipalities, which suggests to the government
its distribution. Recently the government has accepted a demand by the
Union of Municipalities to link the annual state fund given to the
municipalities as a percentage of various state tax revenue, considered
to be a very positive development for the financial independence of the
municipalities.
Town fund
Articles 68 to 72 deal with the town fund each
municipality keeps and explain the basic procedures that have to be
applied for the collection and pay outs carried out by the
municipality and in general the management of the municipality’s
money. Municipal rates of immovable
property Articles 73 to 79 refer to the
imposition of municipal rates of immovable property, which are essentially
a form of taxation and can be imposed on the owners of immovable property
within the municipal boundaries of each municipality. Immovable property,
specifically referred to in article 75, shall be excluded from these
rates. Such property includes cemeteries, churches, public hospitals,
buildings held in trust, public schools, state or municipal immovable
property etc)
In the past, municipal rates of immovable
property were collected by the Inland Revenue Department and then given to
the municipalities. But in 1993, this Department refused to continue
collecting the above-mentioned rates and since then they are collected
separately by each municipality on the basis of tax lists, prepared by the
Land Registry Office.
Municipal rates of immovable property, which is
an annual taxation, shall be paid by the owners of immovable property
between 30 June and 30 September of the year they refer to. If they are
not paid by the 30 September, then a charge equal to the maximum interest
allowed at the time (9%) shall be added to it. If the owner refuses to pay
the due amount including the additional charge within 30 days as of 30th
September, it is possible for the municipality, as provided by article 78,
to take legal action against that person. Article 79 provides that the
Council of Ministers has the authority to exempt certain areas from the
payment of these rates and this shall be published in the official Gazette
of the Republic.
Accounts and Audit
Articles 80, 81 and 82 refer to the keeping and
audit of accounts of the municipalities and stipulate that all moneys
collected and paid by the municipality shall be registered and presented
in the accounts of the municipalities, on the basis of the principles of
accounting of accrued income and expenses and of the historical value.
Each municipality shall keep proper accounts, books and statements which
shall be prepared in accordance with the appropriate principles of
accounts and models.
The accounts, the financial transactions and in
general the financial management of the municipalities shall be audited by
the Auditor General. The final accounts of every municipality for each
year shall be ready no later than the 30 April of the following year, as
provided in article 81. Once these accounts are certified by the mayor and
the municipal treasurer (or financial director wherever this applies),
they shall be submitted to the Auditor General of the Republic for audit.
After the audit, which relates to the legality of the accounts only, the
Auditor General of the Republic shall submit the audited accounts, with
the relevant report, to the municipal council, the House of
Representatives and the Minister of Interior, who shall cause their
publication in the Official Gazette of the Republic. After the publication
of the audited accounts in the Official Gazette, these shall be considered
closed and after the expiration of one month from the date of their
publication, nobody can question them for any reason, except on grounds of
dishonesty or fraud or to recover arrears of revenue.
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7. Part Seven: Competencies of
Municipalities Articles 83, 84 and 85
outline the competencies of the municipalities, the duties and powers of
the municipal councils. Article 83 deals with the general competency of
the municipality for local affairs of the area. Article 84 refers in
detail to the duties of the municipal council and article 85 to the powers
of the municipal council in relation to the exercise of certain
competencies.
Article 84, which refers to the duties of the
municipal council, tackles town planning, water supply systems, sewer
systems and systems for the drainage of rain water, the construction,
maintenance, lighting and naming of streets, the cleanliness and good
appearance of the municipal area, the protection of public health, the
establishment and operation of cemeteries, the control in the exercise of
professions, the establishment and operation of resting schemes and
institutions, the establishment and operation of Slaughter houses (in
conjunction with the Slaughter Houses Law which is a separate law), the
regulation and control of theatres as well as the issue, suspension or
revoke all the licenses provided by the Municipal Law. As far as town
planning powers are concerned, it must be pointed out that there exist
separate legislation, the 1972 Town Planning Law, put into effect in 1990.
Subject to this law and the powers the Minister of Interior has
transferred to four Municipalities since the Law came into effect
(Nicosia, Limassol, Larnaca and Paphos), these municipalities act as Town
Planning Authorities whereas for the areas of the remaining municipalities
the Town Planning Department acts as the planning authority.
Article 85 deals with the powers of the
municipal council and refers to the loans and in general the funding of
the municipality (under certain conditions and terms), the acquisition of
immovable property, the establishment of municipal markets, light industry
areas, places of entertainment (football grounds, swimming baths, parks
etc.), the promotion of cultural and intellectual activity (theatres,
museums, libraries, cultural activities etc). This article also refers to
the power of municipal council to impose spectacle duty, fees of hotel
overnight stay and charges on horse-racing betting. Furthermore, the
article deals with the power of the municipal councils to offer provident
and pension funds to the town clerks and workmen of the municipality.
The above paragraphs contain mere references to
the duties and powers of the municipal councils, referred to in articles
84 and 85 of the Law. Due to the importance of these two articles of the
Law, as they outline and forge the mission of the municipality, it is
recommended that every interested person wishing to have detailed
information should refer to the said articles of the Law. It should also
be made clear that the municipalities exercise other important
competencies and authorities provided by other legislation, apart from the
Municipal Law, such as the Streets and Constructions Law and the Food
(Control and Sales) Law, whose provisions are not included in this guide,
which covers only the Municipal Law. The sewer systems are governed by
special legislation, Sewer Systems Law (N.I/1971) according to which the
sewerage boards operate as independent bodies and the municipal councils
are the administrative councils of these bodies, which deal with issues
relating to the construction and operation of sewer systems.
Cooperation/Contracts of the municipality and
other local authorities
Article 86 refers in detail to the possibility
accorded to a municipality to enter into a contract with another local
authority or authorities to carry out projects for common benefit and
to undertake jointly to provide services, as defined in paragraph (3)
of the present article, when it is considered that such a project
would be to the benefit of both or more contracting parties. The
provisions of the present article shall not be confused with the
provisions of article 61 because, though these two articles appear to
be similar, they refer to different issues.
Municipal Bye-laws
Article 87 deals with the issue and the process
of approval of municipal bye-laws, which are a very important
component in the proper and smooth running of the municipalities.
Until very recently, most municipal bye-laws issued by the municipal
councils had to be approved by the Council of Ministers and the House
of Representatives, as stipulated in article 87 of the Law. This
caused long delays and after lengthy and persistent efforts by the
Union of Municipalities, the House approved legislation in April 1996
which amended the Municipal Law so that municipal bye-laws need only
be approved by the cabinet and not by the House as well. Municipal
bye-laws determining the fees and the rights do not need the approval
of the House either.
Control and Regulation of Traffic
Article 88 refers to the powers of the
municipalities to control and regulate the traffic on roads within their
municipal boundaries. Control and regulation of traffic is carried out to
the extent clearly outlined in the present article and the relevant
municipal bye-laws provided by this article, issued by the municipal
council "with the consent of the Chief of Police."
The municipal council can appoint municipal
traffic policemen, who are municipal clerks, to better implement the
provisions of article 88 and the relevant regulations issued subject to
the present article. The duties of the traffic policemen are determined by
the council with the agreement of the Chief of Police. Their duties are
rather limited and deal basically with parking and reporting those who
park illegally.
Digging up streets
Article 89 refers to one of the most important
and exclusive powers the municipalities have. According to this
article nobody has the right to intervene in any street without the
prior written permission of the municipality. This means that all
public service authorities, such as the Electricity Authority or the
Telecommunications Authority, or the Water Boards, that need to dig up
a street, usually to work on their networks, shall have to address
themselves firstly to the municipality and secure the necessary
permit, which is subject to specific terms. Roads are repaired by the
municipality and the cost this repair work entails shall be undertaken
by the public service authority which did the digging. This cost is
estimated on the basis of costs already agreed between the Union of
Municipalities, the Ministry of Communications and Works and the
Public Service Authorities and which is known by the name "Unitary
Prices". These costs are reviewed from time to time to reflect real
costs. Dangerous Buildings
Article 90 refers to the power of the council
to take measures and to the procedure to be followed for taking such
measures in cases where it is established that a certain building
within the municipal boundaries is dangerous for those living in it or
the passers-by or those living in neighbouring buildings.
Nuisances
Articles 91 to 102 outline in detail the nuisances and the powers of the
council to take measures to eliminate such nuisances, including the
procedures that shall be followed in such cases.
Trade or professional licences
Article 103 stipulates that any person who keeps a
business within the municipal limits shall first obtain a licence from the
municipality. The municipality has been granted the authority to impose
relevant fees, depending on each case, subject to the Fifth Schedule of
the Law, which is new and has been incorporated in the Law on the basis of
the last amended legislation, adopted in April 1996.
Articles 104 to 108 refer to the professional
tax, imposed on all the categories of persons, legal or natural,
employees, self-employed, companies etc. Professional tax is imposed
subject to the Third Schedule of the Law, as provided in article 105. As
it can easily be established by this Schedule, the professional tax
employees pay is estimated on a scale, depending on their annual salary,
and the tax all other categories pay (professionals, self-employed,
companies etc.) has a ceiling, set out in legislation. The municipality
decides on the basis of certain criteria the exact amount of tax to be
paid by each person.
For the employees, it should be also noted that
employers have the obligation, subject to article 105, to submit at the
beginning of each year a list of their employees, their salaries and if
requested by the municipality, to deduct from the salary of their
employees the corresponding tax, which is then paid to the municipality.
Certain persons shall be exempt from paying
professional tax, as clearly stated in article 104. These are ministers,
members of the House of Representatives regarding the exercise of their
parliamentary duties, judges and persons performing only religious duties.
Article 111 refers to hawking, which needs a
special permit from the municipality. This permit can be for a period of
one, three, six, nine or twelve months and the municipality determines the
fees to be paid for obtaining such a permit.
Licences for theatres and places of
recreation Articles 112 to 117 refer to
theatres, cinemas, luna parks and places of recreation, which need a
special permit from the municipality to operate. The terms set out by the
law for granting such licences, as described in the fourth schedule of the
Law, basically relate to the suitability of the place and the building as
far as its operation and the safety of those inside the building are
concerned. The terms also refer to the need not to cause nuisance to those
living nearby such places.
To issue such a permit, the municipality shall
have a series of certificates from the technical services of the
municipality, the Fire Services and the Department of Electrical and
Mechanical Services. Irrespective of the issue of a permit for the
operation of such buildings, in cases where it is established at a later
stage that the building does not fulfill the terms of the relevant permit,
the municipality can, following a specific but time-consuming procedure,
revoke this permit. The operation of places of recreation is also governed
by the Recreation Places Law (N.29/85) which governs their operation from
a different perspective.
Weighs and Tolls
Articles 118 to 123 refer to the power of the
municipalities to impose fees for weighing and tolls. Weighing fees are
imposed by the municipality when it offers facilities to weigh goods, in
the cases where the purchaser of these goods demands this facility from
the vendor of the goods. This usually happens with regard to various
agricultural produce (grapes, potatoes) and cereals. Although in the past
the weighing fees were a significant income for the municipalities, their
economic clout has been reduced a great deal in the past several years.
Tolls are imposed subject to article 122 on
goods that are transported within the municipal boundaries of the
municipality. Goods on which weighing fees are paid are exempt from toll
fees. Toll fees continue to be an important source of revenue for the
municipalities of Nicosia, Limassol, Larnaca and Paphos since paying these
tolls is linked to the operation of the municipal markets.
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8. Part Eight: Offences and
Legal Procedure
This part of the Law (articles 124 to 130)
refers to various offences and the legal procedure that is followed in
order to sue and impose a sentence on the offenders (warrants etc.)
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9. Part Nine: Criminal
Provisions
This part of the Law (articles 113 to 137)
deals with the representation of the municipality before the Court,
the legal fees paid by the municipality, the publication of Municipal
Regulations in the official Gazette of the Republic and the additional
encumbrance imposed by the municipality when municipal taxes, fees or
tolls are not paid on time. This part stipulates that no natural or
legal person of public or private law, including the government, shall
be exempt from any municipal taxes, fees or tolls if this is not
provided for specifically in the Municipal Law or the Regulations. It
also provides that the municipalities shall be exempt from paying
stamp duty and any tax or fee paid subject to the Motor Vehicles and
Traffic Law. Finally, it provides for the way notices and orders are
issued which are addressed to natural or legal persons, owners of
occupiers of premises.
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10. Part Ten: Temporary
Provisions This part (articles 138 to
139A) refers to various temporary provisions of the law, which have to be
observed because of the situations created by the occupation of territory
of the Republic of Cyprus by Turkish occupation troops, and provides for
the appointment by the Council of Ministers of "municipal committees" for
refugees municipalities. This authority, accorded to the cabinet, was
exercised only in 1986 and in 1991 the mayors and the councilors of
refugee municipalities assumed their posts on the basis of the provisions
of the Third Schedule of the law, which applies to non-occupied
municipalities. This was achieved with consensus among the parties who
agreed to back the specific candidates who were unopposed (with the
exception of one case where elections were held).
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11. Part Eleven:
Transitional Provisions The last part
includes article 140 which provides for the abolition of the Municipal
Laws of 1964 right through to 1984.
It is also provided that the municipal
regulations, issued subject to the provisions of the abolished municipal
Law will continue to be effective until new regulations are issued by the
municipalities, subject to the provisions of the new law.
Article 140 is followed by the seven schedules
of the Law:
- First Schedule: Warrant of election
(article 22)
- Second Schedule: Regulation of
meetings and business of the Council (article 43)
- Third Schedule: Professional Licences
(articles 104 and 105)
- Fourth Schedule: Form of licence for
use of a building for certain purposes (article 113)
- Fifth Schedule: Fees for overnight
hotel accommodation etc. (article 85)
- Sixth Schedule: Refuse Fees (article
84)
- Seventh Schedule: Licences of
professional premises (article 103)
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