Based on Article 19. Of the Law on Territorial Organization and Local Self-Government ("Official Gazette of RS", No.:11/94) and Article 11 Of the Law on Citizens Associations, the Assembly of Association of Cities and Municipalities of Republika Srpska at the session held on October 23rd, 1998, passes the

S T A T U T E
OF THE ASSOCIATION OF CITIES AND
MUNICIPALITIES OF REPUBLIKA SRPSKA
(with amendments and changes)

I GENERAL PROVISIONS

Article 1

Association of Cities and Municipalities of Republika Srpska is an independent, non-party, social organization, in which municipalities and cities voluntarily associate in order to achieve mutual cooperation, exchange of experiences and joint activities, with the goal to fulfill mutual interests established by this Statute, Law and other acts.

Article 2

The name of this social organization is: Association of Cities and Municipalities of Republika Srpska (hereinafter: the Association).
The seat of the Association is in Bijeljina.
The Association performs its activities on the entire territory of Republika Srpska.

Article 3

The Association has the property of the legal person, with rights, obligations and responsibilities that arise from the Constitution, Law and this Statute.

Article 4

The seal of the Association is round, with diameter of 35 mm and contains the coat of arms of the Association and text: Association of Cities and Municipalities of Republika Srpska Bijeljina, in Serbian language, written in Cyrillic alphabet.

Article 5

The Assembly of the Association has its emblem.
The appearance of the emblem is established by the Association by a special decision.

Article 5a.

Official languages of the Association of municipalities and towns are: Serbian, Bosnian and Croatian language. Official letters are Cyrillic and Roman alphabet.

II GOALS AND TASKS

Article 6

The Association stimulates and coordinates mutual cooperation, exchange of experiences and joint activities of its members on achievement of joint goals and tasks in accordance with the Constitution, Law on Citizens Associations, social organizations and political organizations which are being established on the territory of Republika Srpska.
Principal goals of the Association are as follows:
- development, protection and promotion (improvement) of local self-government;
- connecting and cooperation between municipalities and cities in order to achieve their mutual interests;
- establishment and development of cooperation between municipalities and cities with foreign municipalities and cities and national and international organizations of local authorities.

Article 7

Activity of the Association is based on the following principles:
- membership is voluntary,
- the Association acts on the entire territory of Republika Srpska,
- organization of the Association, content and forms of its actions are based on needs and interests of its members,
- relations between members are relations of voluntary and free associating and equal cooperation,
- each member decides independently and equally according to its interests and needs about the application of conclusions and positions of the Association,
- work of the Association is public.

III ACTIVITY OF THE ASSOCIATION

Article 8

Activity of the Association develops in all spheres of life and work significant for local communities, and especially:
- organize exchange of experiences and other forms of mutual cooperation, determine and take positions regarding issues which are of mutual interest, cooperate with organs and organizations that are supporting same goals,
- discuss current issues of protection, development and improvement of local self-government,
- improvement and development of public services in the fields of public utilities and housing, city planning, health, social protection, education, culture, environmental protection etc.
- establishes programs of work and undertake measures for their implementation,
- make suggestions for changes or passing of regulations and measures of the Republic,
- getting informed about the practice in the Republic and abroad in fields that are important to local self-government,
- cooperate with international and national organizations of local authorities and with foreign cities and municipalities,
- help each other in performing their tasks.

Article 9

In order to fulfill common needs and interests, the Association passes programs and plans of work.
Plans of work are harmonized with the plans of municipalities and cities, of the Republic and other bodies, organizations and associations, when it comes to general public interest.
Plans of work of the Association members are carried out through the following forms of activities:
- Assembly, sessions of the Presidency and permanent or periodical working bodies (boards, sections, commissions, workgroups, etc.),
- conferences and other gatherings of interest for all or for part of the Association's members,
- in cooperation with competent bodies, expert organizations of municipalities and cities, the Republic, as well as social organizations and citizens' associations,
- cooperation with municipalities and cities abroad and correlating national and international organizations of municipalities and cities (local authorities) on issues that are of common interest and for mutual benefit,
- organizes forms of immediate expert assistance to municipalities and cities by expert advices, expert opinion, assistance in making local regulations, researches, making software and establishing information systems, etc.
- publishing activity.

In order to fulfill its goals and tasks the Association can also perform:
- publishing activities,
- press-publishing activities,
- graphic activities,
- advertising and promotional activities,
- data processing,
- business services (other services that are not mentioned),
- research and development services in economic activities,
- research and development services in social (public) activities,
- economic, organizational and technological services.

Article 9.

Association of municipalities and towns of Republic of Srpska is public interest organization, from the reason that its acting as well as working program activities, according to the Article 8. and 9., are exceed of only interest of members cause it is directed to the interest of public, according to the law.

IV RELATIONS AND COOPERATION WITH OTHER BODIES, ORGANIZATIONS AND ASSOCIATIONS

Article 10

The Association cooperates with expert, scientific and other organizations.
In fulfillment of its tasks and programs, the Association works with the Assembly, Government, administrative organs and organizations of Republika Srpska and other expert organizations.

Article 11

The Association can be a member of corresponding international organizations, municipalities and cities - local authorities, if it's not against the interests of Republika Srpska.

Article 12

In the work of conferences and other gatherings mentioned in Article 9, paragraphs 3 and 4, as well as in other forms of work, members of the Association are involved.
Representatives of interested bodies and organizations and representatives of organizations for informing the public can be present at the gatherings of the Association.
Materials from the work of Association are accessible to all interested bodies, organizations, working people and citizens.

V MEMBERSHIP, RIGHTS AND DUTIES

Article 13

Every municipality and city in Republika Srpska may be a member of the Association.
Members of the Association are represented in the Association by heads of municipalities and cities' mayors.

Article 14

Membership in the Association is established by the Decision on joining the Association.
The Decision on joining the Association is made by municipal, i.e. city assembly.
Members of the Association have rights as follows:
- to start discussion about all issues that they are interested in
- to participate in their discussion, as well as in passing and implementation of related conclusions,
- to participate in preparations, passing and fulfillment of working plans,
- to have their representatives appoint and be appointed to all bodies of the Association,
- to receive bulletins, publications and other materials from the Association.

- Membership in the Association stops:
- by the decision of the member's municipal, i.e. city assembly,
- by cessation of existence of the member.

Article 15

Duties of members of the Association are:
- to participate in the work of the Association,
- to regularly pay the membership fee.

VI TRANSPARENCY OF WORK

Article 16

Work of the Association is public.
The Association is obliged to provide transparency of its work, so that its members may be continuously and promptly informed about its work, about decisions and other acts which are passed, as well as in order to provide members with insight in fulfillment of goals and tasks.
For informing of its members members and wider public, the Association uses its own newspaper in addition to the public media.

Article 17

Activity of the Association on mutual informing of the members, exchange of experiences and discussion on expert and practical issues of theory and practice of local self-government is done through information bulletins and other regular and periodical publications.

Article 18

Information of importance for defense and security, information which secrecy is guaranteed by the law, as well as other information that are declared secret by the acts of the Association are considered a secret and may not be announced and published.

VII BODIES

1. Assembly

Article 19

Assembly is the highest body of the Association.

Article 20

Assembly consists of representatives of members of the Association.

Article 21

Assembly is convened as needed, and at least once in two years.
Assembly is convened by the Presidency on its own initiative, or based on a proposal of at least of the Association members.
Article 22

Assembly can discuss and decide about all issues from the scopr of activity of the Association, and is exclusively competent for the following:
- making (passing) the Statute of the Association,
- determination of directives for the work of the Association,
- evaluation of work reports and reports on material-financial management of the Association,
- determinination of the way of financing the Association and determination of the height of membership fee,
- election of the Presidency of Association,
- election of President and Vice-president of the Association,
- foundation and abolition of the Association's boards,
- election and dismissal of both president and members of the Supervisory board and president of the board,
- passing decisions on joining international organizations,
- appointment of Secretary General,
- establishment of institutions which are of the interest for members,
- passes decision on cessation of existence of the Association
- performs other activities related to the work of the Association prescribed by the Statute, Law or other legal acts.

Article 23

All representatives participate equally in the work of the Assembly.
Each member of the Association, disregarding the number of delegates, has only one single vote in decisive processes in the Assembly.
Quorum for the session of the Assembly exists if delegations of more than half of the members are present.
Decisions are passwed by majority of votes of the delegates present.
Voting in the Assembly is public, unless decided otherwise by the participants of the Assembly.

Article 24

If the Assembly is not attended by majority as described in article 23, the session is adjourned and the new session is convened.

2. Presidency

Article 25

Presidency is executive body of the Assembly, which coordinates the work and deals with affairs of the Association between two sessions of the Assembly.
Members of the Presidency have equal rights, duties and responsibilities.

Article 26

Presidency is elected by the Assembly, in accordance with the regulations of this Statute.
Presidency has 15 members.
Secretary General is a member of the Presidency de loco.
Mandate of the Presidency lasts two years, i.e. between two Assemblies.
Mandate of the President and Vice-president lasts two years.

Article 27

Presidency performs activities as follows:
- takes care of implementation of conclusions of the Assembly,
- gives initiative for changes and amendments of the Statute and other general acts that are passed or announced by the Assembly,
- makes work program of the Association based on positions and directives of the Assembly,
- discusses reports regarding work and activities of the Association between two sessions of the Presidency,
- gives proposals and opinions and starts initiatives in the name of its members before the bodies of broader communities and other organizations and communities,
- makes preliminary estimate of revenues and expenditures and approves final calculus,
- determines the admission into the membership and resignation from the membership,
- determines which documents and information are to be considered official and other secret,
- establishes and abolishes sections of the Association,
- appoints members of boards of the Association,
- decides about holding larger gatherings of the Association,
- establishes the Secretariat for performing expert, organizational, technical and other duties and appoints management of the Expert service of the Association,
- decides on awards of the Association,
- deals with other affairs of the Association between two sessions of the Assembly.

Article 28

Presidency as a whole, and all of its individual members are responsible for their work to the Assembly and members of the Association.

Article 29

Presidency decides validly if majority of its members is present at the session.
Decisions are passed by majority of votes of the members of the Presidency present.

3. Supervisory board

Article 30

Supervisory board is established as a body of the Assembly in order to control the work of bodies of the Association and control of material-financial management.
The Board has three members, President and two members with the mandate of two years.
The Board decides validly if majority of members of the Board is present.at the session
The Board takes positions and passes conclusions by majority of votes of the members present.

Article 31

Supervisory board evaluates and controls the following:
- application of regulations of the Associations' Statute and other general acts,
- carrying out of rights and obligations of all bodies of the Association,
- material-financial management and appropriate utilization of material-financial funds, and files related reports to the Assembly for the period between two Assemblies, and regularly once a year to the Presidency,
- exercising of decisions, conclusions and other acts and performs other duties placed under its jurisdiction.

Article 32

Supervisory board has the right and duty to inform other bodies and members of the Association of the detected occurrences and of its positions and conclusions.

Article 33

Supervisory board works in sessions which are held as needed, and at least twice a year.

VIII FORMS OF ACTIVITIES

1. B o a r d s

Article 34

Boards are permanent forms of activities of the Association for evaluation of certain issues f rom different fields of social life that are of special importance for municipalities and cities, i.e. for functioning and development of local self-government.

Article 35

Boards of the Association are formed by decision of the Assembly.
Number of members and composition of boards are determined by the Presidency.
Presidency appoints members of boards for the period of two years, with consideration of equal involvement of municipalities-cities in their structure, as well as expert qualification of therespective member and his knowledge of the matter and activity for which the board is created.
Exceptionally, when needed, between two sessions of the Assembly, Presidency can f orm the board and subsequently inform the Assembly about it.

Article 36

Boards evaluate problems in areas for which they are formed, and submit their opinions, conclusions and proposals to the Presidency and to members of the Association, as well as to interested bodies and organizations.

Article 37

Presidency and boards may form commissions, workgroups and other temporary working bodies, in order to provide for closer insight in certain issues.

2. S e c t i o n s

Article 38

Sections are forms of activities of the Association which are used to organize certain municipalities and cities with specific problems (large cities in accordance to constitutional and legal determination), as well as other bodies and organizations which so desire, and whose activity is of special interest for municipalities and cities, i.e. of interest and importance for the life and work in cities and municipalities.
Sections evaluate issues of interest for their respective members and submit their opinions, conclusions and proposals to the Presidency of the Association, as well as to the interested bodies and organizations.
Decision on foundation of section is made by the Presidency, on proposal of certain number of interested municipalities and cities or individual communities, organizations and bodies.
Decision on foundation of a section defines in principle its field of activities, organization and its method of work, and all other issues are closely regulated by the Rules of Procedure of each respective section.
President of the section is appointed by the Presidency on proposal of members of the section, for the period of two years. Representatives of member municipalities and cities, i.e. other organizations and bodies participate in the work of section, depending on issues which are on the agenda of the section's session.
Sections may form commissions and other forms of activities as needed, which is closely regulated by the Rules of Procedure of each respective section.
Issues of financing of operation of the section and the height of membership fee for the members of the section is closely regulated by the Rules of Procedure of each respective section, based on criteria determined by the Presidency.

IX PRESIDENT OF THE ASSOCIATION

Article 39

Association has the President and three Vice-Presidents of the Assembly.
President of the Association is at the same time President of the Association's Presidency, and is elected from out of members of the Assembly.
President represents the Association before other bodies and organizations, in Republika Srpska as well as abroad.
President convenes sessions of the Presidency and presides at the sessions.

X SECRETARY GENERAL

Article 40

Secretary General directly carries out the conclusions of the Association's bodies.
Secretary General is appointed by the Assembly for the period of 4 (four) years.
Exceptionally, in the period between two sessions of the Assembly, Presidency may dismiss Secretary General and appoint another.
Secretary General is responsible for his work to the Assembly and the Presidency.

Article 41

Secretary General represents the Association as legal person.

Article 42

Secretary General manages the work of Secretariat and ensures that all activities of the Association are in accordance with laws, regulations, Statute and other acts of the Association.
Secretary General passes decisions related to working relations of workers of Expert service of the Association, for which he is competent according to regulations on working relations and acts of the Association.
In case of Secretary General's absence, his duties are performed by Deputy Secretary General.
Deputy Secretary General is appointed by the Presidency for the period of 4 (four) years.
Deputy Secretary General performs tasks and duties given to him by the Secretary General, as well as other duties determined by the act on systematization.

XI EXPERT SERVICES

Article 43

Secretariat of the Association is formed for performing expert, organizational, technical and other duties for the needs of the Association.
Secretariat especially performs tasks related to the implementation of the Statute, decisions, conclusions and other acts of the Association's bodies and its forms of activities, prepares information, performs analysis, produces drafts of general and other acts of the Association and its bodies, as well as initiatives and proposals for passing the laws and other regulations from the scope of activity of the Association.
Organization and work of the Secretariat is determined by the special general act on internal organization and systematization passed by the Secretary General with approval of the Presidency of the Association.

Article 44

Secretary General of the Association manages the work of the Secretariat.
Performance of certain expert tasks may be trusted with appropriate scientific institutions and expert organizations.

XII MATERIAL FUNDS AND PROPERTY

Article 45

Material funds of the Association are formed in the amount required for performing activities prescribed by this Statute and program of work of the Association.
Each member pays annual membership fee proportional with the amount of his respective budget.
Members of the Association may also associate other funds for fulfillment of special programs and actions.
Sections are financed through contributions of its members as a rule.
Sources of financing, apart from membership fee, are also donations, subventions and participations, income from magazines and publications sold, income from consulting services and other expert services, profit and dividend, funds from sponsors, gifts and contributions from individual institutions, foundations, etc. and also funds gathered through busines-tehnical cooperation and work on projects important to municipalities and cities.

Article 46

Material-financial management of the Association is organized and performed according to standing regulations.
Financing of the Association is performed through annual preliminary estimate of revenues and expenditures.
Secretary General is the sole person competent for issuing the order of execution of Preliminary estimate of revenues and expenditures.

XIII CHANGES AND AMENDMENTS TO THE STATUTE

Article 47

Presidency of the Association gives initiative for change or amendment of the Statute and initiates the procedure for changing of the Statute.

Article 48

Presidency puts draft changes of the Statute on prior public discussion with members of the Association in order to review proposals, opinions and suggestions.
On conclusion of public discussion Presidency formulates the draft of the changes of the Statute.
Statute is valid from the day it is passed at the Assembly session.

XIV CESSATION OF WORK OF THE ASSOCIATION

Article 49

Decision on cessation of work of the Association is made by the Assembly.

Article 50

If the Association ceases to exist, its property and funds are divided among members of the Association.
The Presidency of the Association determines the details of division by its decision.

XV TRANSITIONAL AND CLOSING PROVISIONS

Article 51

This Statute is valid on the day it is passed, and will be applied from the day it is certified and sealed at the authorized body of government.

Vice-President of Assembly
Mr. Dragoljub Davidovic