Austria seen as role model for EUs future

"THIS is the future of the European Union," says Governor Franz Schausberger of Salzburg, describing the highly integrated role…

"THIS is the future of the European Union," says Governor Franz Schausberger of Salzburg, describing the highly integrated role of regionalism in shaping Austrian policy.

"We need to go to the centralised states more or less as missionaries to persuade them that the future of the EU could depend on it."

Dr Schausberger laughs as he suggests that his recent presence in Dublin to give a lecture at UCD, meet Government officials and take part in a conference on regionalism at Dublin Castle is, in a way, a return visit for that of the Irish St Virgil, Salzburg's first diocesan bishop in the eighth century.

Dr Schausberger was elected to his powerful position by the provincial (Land) parliament of Salzburg last April, but his background as a senior university lecturer gives strength to his reputation as an accomplished political strategist who understands and ably uses the consensual system that permeates the Austrian way of doing things.

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Dr Schausberger dealt with questions about Mr Joerg Haider, the anti-EU right-wing radical, whose position was strengthened by the European Parliament election in Austria a week ago.

Mr Haider climbed to prominence as governor of the Land of Carinthia, but his support, according to Dr Schausberger, is entirely a protest vote on certain domestic issues, and has not much to do with opposition to the EU.

"Haider," he says, "has the aim, I think, of setting up a presidential democracy. He is not a centralist, but he is certainly anti-parliament."

Austria's Lander are the source of authority for central government since they founded the federal state by the constitution of 1920, which is still in force. But since the second World War, a major shift has taken place through regular meetings of the provincial governors, roughly four times a year, and more frequent consultations by provincial civil servants.

The Conference of Provincial Governors, as it is called, is not provided for in the constitution, but it has absolute power in shaping federal legislation relating to the Lander as the government in Vienna must accept its decisions.

The Austrians believe that this results in a much closer link between the ordinary citizen and those in power than is possible in centralised states, and argued at last week's regional conference that the EU's doctrine of subsidiarity must be redefined to narrow the range of decisions taken in Brussels to those which cannot be taken nationally or regionally.

"The basic necessity is acceptance by public opinion of official decisions," said one of Dr Schausberger's officials, "and this is not possible under the present EU system."

The strength of Austria's devolved government lies in a division of taxes to fund the different levels of representation. Every five years, the proportions are agreed in a tough round of negotiations and formally adopted by law. At present, the division is roughly 55 per cent for central government, 30 per cent for the Lander and 15 per cent for the Gemeinde, or communes, the lowest level of government.

While the Lander have very limited powers to raise taxes of their own, the Gemeinde are the beneficiaries of the Austrian property tax, similar to the rates abolished by Fianna Fail in 1977.

The broad lines are decided by the Land government, but the Gemeinde sets the rate property-owners must pay. There are no disputes about how much a house is worth since payment is made on a "book value", not notional market price, and no owners of houses or land are excluded.

Dr Schausberger has one objection to the method of dividing the total national tax take between the centre and the devolved levels of government. "The ratio of the state's share to the Land share is roughly 60/40, but we argue that 60 per cent of the competences are exercised by the Lander." That is obviously difference that can run and run.

But he is adamant that in regionalisation lies the EU's salvation. While there are forms of regional government in all EU states, standards differ and "I think we should try to adopt the standards of the German and Austrian federal systems. This must become Europe of the regions."