Model Strategic Plan for the Economic Development of the

Municipality of Haskovo

1998-2000

Haskovo

June 1998

STRATEGIC METHOD

I.Strategic planning

1.Condition of the municipality at the beginning of the period.

2.Condition of the municipality at the end of the period.

3.Mission of the municipality.

4.Aims and assignments.

5.Difficulties.

6.Resources.

7.Activities.

8.Necessities.

II.Work plan

1.Preparation of a work plan needed for the fulfilment of the strategy.

2.Admittance of the Strategy and the Work plan by the City council of Haskovo.

III.Fulfilment of the Work plan

1.Schedule for the fulfilment of the Work plan.

2.Fulfilment of the plan, control and periodical review.

3.Outlining the new or re-examining of already confirmed activities.

STRATEGIC PLANNING

I.Condition of the municipality at the beginning of the period.

A.Location and Infrastructure

Municipality of Haskovo lies in a transport crossroads between Europe, the Near East and the Middle East.There are bus and train routes in the municipality passing through the entering and exit borders of Bulgaria. The successful trade with the Republic of Greece and the Republic of Turkey are mostly based upon these connections. There are 11 bus 4 trolleybus routes in the urban facilities.The telecommunications of the municipality consist of 21000 telephones. Since 1996 there have been admitted and are working at the moment 2000 digital phones.

The road network of the municipality amounts on498 km streets and area of 2731 thousand sq.m. The sidewalks in Haskovo are 253 km long, and in the villages- 740km long. Their total area is 1618 th.sq.m.

The water supply of the municipality is being provided by: dam Trakiets and some other deep water resources. The length of the water supplying network of the municipality is 447km, and in the town of Haskovo only it is 201km. The places provided with water in the municipality are 34 out of a total of 37. The provided water has a capacity of 850 liters per second, but because of amortization of the water supplying network there is a great loss which amounts on almost 45-50%.

The drainage of the municipality has a total length of 96km, 94 of which are in the town of Haskovo, and 2 are in the village of Uzundjovo.The rest 35 inhabited places which are in the boundaries of the municipality do not have drainage system. The waste waters. which are being collected are not refined and flow directly in the river Haskovo.

B.Population

The town of Haskovo has 80959 citizens, and the municipality - 102493. According to the data given by the National Sociological Institute in 1995 the population of the region is divided into 33548 households. There is a tendency of decreasing of the growth in population recorded which is caused by the decreasing of the birth rate and the huge migrational process among the young people. During the latest years the negative mechanical increase in population has been higher than the average of the country. All these lead to a sharp aggravation of the age structure of the population in the municipality. All age groups, excluding the over 60 one, decrease in utter values.

The latest data by the Regional employment services indicate 14% of unemployment in the municipality. There are 23300 persons who are economically inactive in the whole country.

C. Economy

The most important structural branch in the municipality of Haskovo are the food, wine and tobacco industries which amount to 70% of the production of goods in the municipality. The tobacco produced in the municipality of Haskovo take up to 20% of the general national amount of these products, 12% is the share of the brewery on a national scale, and the production of textiles and fabrics add up to 4% of that of the whole country.

In 1997 47.6% of the private firms were functioning. They have 63% of the incomings from sellings in the municipality. The state firms are 78 (50% are industrial, 14% - constructional, 4% - transport firms, and 32% are other kinds).

MAIN ECONOMICAL BRANCHES

*Production of food, drinks and tobacco

*Trade, repair of cars and domestic equipment

*Production of fabrics and textile products

*Foundering, metal-working, production of equipment and machines

*Transport and communication

*Production of fabrics and tailoring materials

*Leather, furrier and shoe industry

D.Trade and Trade activities

*Storehouses for wholesale trade-86

*Shops for wholesale trade-554

including food stuff shops-308

and non-foodstuff shops-246

*Catering establishments-322

*Small private enterprises for production of:

-milk and dairy-11

-bread-17

-meat and meat products-18

-mills-3

INDUSTRIAL ENTERPRISES IN THE MUNICIPALITY

1.Food, wine and tobacco industries:

Haskovo BT Ltd, Astika Ltd, mill Zvezda , Fodder plant , Vinprom , Bread-making plant Ltd, Bulgaricum , food, wine and tobacco works Jugoplod , production cooperatives Stil

2.Production of machines:

Himmash Ltd, Mlada Gvardia , Pim Ltd partnership machine-tool plant, Rodina Ltd, Derini partnership, IBI , self-employed firm Titan , Maxon , Automatika , Erato , Donido .The greatest economical potential is the food, wine and tobacco industry as well as the production of machines for this industry.

4.Construction firms:

Marsa Ltd, Monolit-Invest Ltd, Lectra sole-trader ltd company BG-Plast ltd, Stroitex , Construction of Public Utilities ltd, Komplexstroi ltd.

5.Trade firms:

70% of small business Aidatur ltd, Compact Teda Market , Cooperative union

E.Agriculture

1.The whole fund of agricultural lands is 537 654 dca including:

-arable lend-337 470dca

-pasture lands-156 260dca

-the rest are rivers, slopes, ravines and forests

Areas under irrigation-181 126dca.

2.Structure of the stock-breeding in the municipality:

-cattle-4229

-swines-4160

-sheep-13 123

-lambs-2214

-goats-5171

-birds-47 841

-hives-1120

Upto this moment the percentage of the returned agricultural lands is 75%.400 000dca have been recultivated out of 537 000dca.

F.Education and Culture

The population living in this region is divided according to the educational qualification as follows:

-with higher and college education-10 331

-with high school education-31 671

-with primary education-27 645

-with elementary or lower education-32 954

In the municipality there are two language high schools, one Natural-Mathematical school with intensified teaching of Western languages, one specialized and one

nighthigh school, a Sports school, a Faculty of the University for National and World Economy- Sofia and a branch of the Plovdiv University Paisii Hilendarsky .

The media working in the municipality are these: a mmunicipal television Haskovo , two private cable televisions- Union television and Recording , one municipal and one private radio- Haskovo and Metronom , and the private newspapers in the municipality are two- Novinar Jug and Shipka .

The cultural institutions in the municipality are: 42 community centers, a Puppet theatre, a Drama theatre, an Arts gallery,a Historical museum, a Literature museum, o Symphony and a Brass band, Folklore formation and other groups.

Each year there are literature days held which are called Jujna Prolet (Southern spring) and there are also musical days Nedjalka Simeonova , which have already been recognized as of national significance. Other traditional, cultural and sports events are: the Fair of folk art Kitna Trakia sings and dances , the Republican Dancing Championship , The Haskovo fair , the International Wrestling Tournament Angel Voivoda .

Municipality Self-Government

Municipality Administration

Municipality Council

The law for local self-government and the local administration fully organize the municipal relations relevant to the local government and its position and importance.

Body of the local self-government is the Municipality Council whose members are being chosen by direct vote by the population of the municipality according the proportional system. This main body of the local self-government regulates and controls the policy for the building and development of the Municipality. It consist of 51 councellors who choose the governing body of Chairman and two secretaries.

The working body af the Municipality Council are the permanent commissions. There are 8 of those in the Municipality Council of Haskovo and these are the main directions:

Commission for Ecology and Territorial economic administration

Commission for Health and Social activities

Commission for Education, Cultur and Religion

Commission for the budget

Commission for agriculture, foresty and problems of the city councils.

Commission for the legality and control of the fulfilment of the decisions of the municipality council.

Commission for property and economic activities.

Commission for the young people, sports and tourism.

The municipal councellors choose the members of the prmanent commissions after the motion of the Chairman of the Municipality Council and the tutorial with the groups of municipal councellors.

Each commission inspect the materials which they do thematically and work out stand points for the decisions which are shown to the Municipality Council. The commissions may initiate. hold out and control the fulfilment of programs, activities and specific initiatives.

Municipality Administration

The mayor of the municipality is being chosen by direct vote according to the mayority representation. The mayor runs Municipality Administration directly.It represents the local executive authority of the municipality.The vice-mayors are being proposed by the mayor and are being chosen by the Municipality Council. They run their entrusted functional trusts and are responsible for their activities. The vice-mayors of the Municipality of Haskovo are three:

-Vice-mayor for Financial and Economical Issues and Municipal Property .

- Vice-mayor for Education, Health, Social activities and Culture .

- Vice-mayor for Ecology, Agriculture and Cleanliness .

The Secretary of the Municipality organizes, is responsible and looks after the organizational, techical and business service of the Municipality Council, which is coordinated with its Chairman, as well as the work out and the promugation of the acts of the Municipality. He organizes the administrative-economical work of the Municipality Administration in the Municipality and looks after the observance of the Interior regulations.

Offices and Departments

Financial and Accounting

Municipal property

Territorial development and construction

Municipal markets, parking spots and garages

Trade unions:

- Construction of Public Utilities ltd

- Complexstroi ltd

Health care

Educational and Youth activities

Culture and Religion

Municipal enerprise Radio-television Center Haskovo

School canteens

Disinfection Station

Social care

Agricultural works

Preservation of the environment

Municipal enterprise Ecoprogress

Civil Registration Administrative Numerator

Administrative-Economical

Economical development and Control

Municipal enerprise Ceremonies and Rituals

Trade unions:

- Modus ltd

- Trolleybus transport ltd

- Bread-making plant ltd

- Farma Commerse ltd

2.Condition of the Municipality at the end of the Period

Improvement in the iniatiatves of the inhabitants.

Decrease of unemployment and increase of the percentage of working people during their active age.

Qualification and requalification of a great amount of the unemployed.

Improvement of the infrastructure of the Municipality.

Support of the small and average enterprises and maintainance of new working places by giving place fof new construction and other equipment.

Construction of business-incubator.

3.Mission of the Municipality of Haskovo

It is to help the economic, social and cultural development of the Municipality of Haskovo by trying to fully preserve and use the material opportunities and trained specialists. which have been maintained in the ecenomy, agriculture, education and culture.

The problems of the transition affect the production and budget spheres negatively.It is necessary all resources to be activated in order to oppose most rationally the economical problems which the Municipality is facing.

4.Aims and Assignements

To initiate the voluntary participating of specialists and citizents in order to improve the economical development.

To develop and support the progress of small business.

To engage the values of business and Municipality in the preparation of the local economical development.

To use the process Citizen Union by gathering all economic powers to debate and determine economical proces and strategies.

To connect all the resources of Haskovo to be used by the society.

The formed Citizen Council should recignise a work plan for a stable economical development, which aims economical coordanating and watching of the process.

To maximize the strategic resources.

To solve the identified economical problems.

To face the necessities and fulfil the economical possibilities.

To practically execute the recommended economical strategies.

5.Difficulties

Low solvency of the population and economical instability.

Loss of the old and lack of new International markets.

Inadequate tax policy which does not stimulate small business.

Morally and physically old material-techical facilities.

Unsatisfactory credit policy.

Lack of outer information about the European and world achievements about their economical development and the anticendant for the municipality fields.

Slow privatization process because of the poltization.

Perpetual changes in legislation, which cuases the slowing of the economical growth and general law disorder.

Bad infrastructure which leads to greater business expenses.

Instable bank system.

Great criminality which is an obstacle for productive business.

Slowing and problems in the restitution of land.

6.Resources

Production enerprises and firms.

Financial fund:

United Bulgarian Bank ltd

Biochim ltd

Post bank ltd

Bulbank ltd

Hebrosbank

Cooperative bank ltd

Eurobank ltd

Credit bank ltd

Labour resources

14% Unemployment

15 000 specialists with higher education

Qualification of labour resoueces

Universities:

University for National and World Economy-branch Haskovo

Plovdiv University-branch Haskovo

Business of the Cooperations-college

High Professional Schools:

-for textile

-for wood-processing

-for sewing

-for metal-working

-for catering

-for mechanisation of agriculture

-for economics

-Nature-Mathematical high school

-language schools

Qualification and prequalification

Branch learning centers

Professional learning centers

Other resources:

Labour department

Youth labour market

Temporary labour program

Privatazation program

Finance of International programs:

-Animal market

-Information center

-Depot for hard household scraps

-Purifying station for waste waters

-Fraterniztion with Abington, USA

-Local self-governing program

Trade industrial chamber of Haskovo

Regional economic union Maritsa

Traditional fair of Haskovo

7.Activities

Development of mixed labour groups between representatives of the Municipality and students in the University for National and World Economy in different departments.

Voluntary participation of students from the language and mathematics high schools in the developing of different projects.

Work with the Production Department for their professional orientation.

Exploring the possibilities for development of agricultural and ecological tourism.

Decrease of thr polution by mostly emphasising on water and air. Developing projects for the cleaning the town.

Exploring the interests of the young people in different cultural activities.

Restoration of the sports facilities and improvement of the coordination between the Municipality and the youth engaged in sports.

Securement of additional resources for thr improvement of the health care service of the population.

Developing educational policy which suits the dynamics, needs and demand for new capabilities.

Attracting subsidiaries and donors for the development of cultural activities.

Stimulating the associating of the subjects of culture with an ideal aim according to the economical interest, artistic results and priorities of thecultural life of the region.

Encouraging the restructioning of agriculture by stressing upon the use of local productions.

Restructioning the municipal firms and giving the priority to thr local population and the Municipality on the way to privatization.

Securing the additional income with a special focus on the European Community and securing the effectiveness of the expenses in all departments.

8.Necessities

Source of raw-material for the needs of economical development.

Need for inner and outer markets.

Marketing exploration.

Need for qualified staff in management of firms.

Necessity of improving the communications.

Development of information facilities.

Securements of credits.

Developing links on the social basis for:

Coordination and management

Exploration of the social point of view

Carrying out inquiry exploration for the improvement of the transport service and the environment.