PLANNING AND LOCAL GOVERNANCE PROJECT IN ALBANIA: YEAR 7 ANNUAL REPORT

The project aims to support the Government of Albania (GoA) and Albanian local government institutions in implementing decentralization legislation, policies, and reforms. PLGP is funded by USAID and has been extended through September 30, 2019, with a focus on reinforcing decentralization gains, improving local government service delivery, and addressing factors that can lead to violent extremism. The project is designed to contribute to USAID/Albania's Development Objective #1, which supports the strengthening of democratic institutions in the country. Since the design and launch of PLGP, the local governance-enabling environment has undergone significant changes, including the enactment of the Territorial Administrative Reform (TAR) in July 2014. TAR reduced the number of local governments in Albania from 373 to 61, marking a significant change to the country's system of local government since the democratic transition of 1992. PLGP provides assistance in four key areas: Component I, which supports greater predictability, transparency, and revenue potential of local government finances; Component II, which improves local government service delivery; Component III, which strengthens civic engagement to counter violent extremism; and Component IV, which promotes economic development planning and implementation. The project has expanded and intensified its assistance to central and local governments to effectively implement TAR, with partner municipalities including Tirana, Kamza, Vora, Berat, Kuçova, Fier, Lushnja, Patos, Vlora, Saranda, and Elbasan. The project's performance management and monitoring system tracks progress against key performance indicators, including the implementation of decentralization legislation, the improvement of local government service delivery, and the strengthening of civic engagement. The project's budget execution is also closely monitored to ensure that funds are allocated effectively and efficiently. The administration and project management of PLGP are overseen by Tetra Tech ARD, with a team of technical advisors and staff providing support to the project. PLGP has achieved significant milestones in its seventh year, including the completion of a comprehensive assessment of local government finances, the development of a local government service delivery improvement plan, and the establishment of a civic engagement program to counter violent extremism. The project has also provided training and technical assistance to local government officials, civil society organizations, and other stakeholders to support the implementation of decentralization reforms. The project's success is measured by its ability to contribute to the strengthening of democratic institutions in Albania, improve local government service delivery, and promote economic development. PLGP's achievements in its seventh year demonstrate its commitment to supporting the Government of Albania and Albanian local government institutions in their efforts to implement decentralization reforms and promote good governance.