The local communities from Romania and those from Eastern Europe have become important
public services suppliers carried out in the interest of their citizens. Public services such as pre-university
education system, culture, assistance and social protection, but also public lightening, water supply, and
sewerage are examples of services which are assured by the public local authorities. Consequent to the
principles published in the European Charter of the Local Autonomy, the local authorities had fully benefited
from the provisions of the Chart. The right to dispose by own resources, the right to collect them, the
right to benefit by partition of tax incomes, the right to contract loans have transformed the local communities
in important entities with financial power capable to carry out efficient public services in terms of
quality and operational for the citizens. Which is the financial and decisional mechanism for functioning of
the local communities? These are some questions for which we tried to formulate an answer within this
present work beside the research of the main reform elements implemented in the European Romania
