Background

The Community Funds Project is part of the Community Funds and Social Enterprises Pilot Program funded by USAID and implemented by Counterpart International Bulgaria. The Community Fund is a non- governmental organization created for the public benefit, set up by the local people to raise funds in support of citizen initiatives reflecting local needs. It brings together representatives of the business, nonprofit organizations, local government and broad range of the public.

Chepelare Municipality is one of the three pilot municipalities selected by USAID in 2001 for the implementation of this project. The aim of the project is to stimulate citizen participation in solving problems of the community through creating a Community Fund, which accumulates local resources and allocates them on the basis of achieved citizen consensus on the priorities for local development.

Practice

The preparation for setting up of the Community Fund began in March 2001 with individual and group meetings with key representatives of the local government, business and NGOs, by presenting the idea for creating the community fund and discussing the way of its establishment in Chepelare Municipality. With the help of a local coordinator appointed through competition and a group of volunteers from all sectors, a Community Forum was conducted with the participation of over 100 citizens organized in 10 working groups representing local government, citizens, business, education and youth; culture; sports. The Forum identified and prioritized the needs with respect to enhancing local development, and defined the priority areas to be supported by the Community Fund. The citizens taking part in the forum determined as most important areas tourism and sport, solving infrastructure problems and development of education and culture. A wide public consensus was reached for the creation of the Community Fund. The Forum elected an Initiative Committee for the founding of the Community Fund and defined the goal of a pilot donation campaign, which was meant to demonstrate the mechanism of the Fund s activity and to convince citizens in the benefits it can bring.

The pilot donation campaign started on 24 May 2002 during Chepelare s official holiday and was devoted to the modernization of the street lighting with energy saving lamps. The funds raised only in one day amounted to 2000 levs. Larger donors had the possibility to transfer their donations to a bank account, opened for this purpose. Chepelare Municipality which has supported the project development from its very start in every possible way, became the major donor in the campaign. Following the court registration of the Community Fund at the end of June 2002 the funds collected were transferred by the Initiative Committee to the Fund s bank account and the Fund is going to hold a bid for the implementation of the street lighting project.

The main activities of the Chepelare Community Fund as defined by the Initiative Committee for the Fund s creation will be as follows:

- systematic survey of local needs;
- mobilising the community for solving the problems identified by the citizens themselves;
- organising fundraising campaigns;
- holding competitions for funding of projects in the priority areas determined by the citizens;
- management of donated funds in accordance with the principles of working for the public benefit and the donor s will.

The steps for implementing the practice are:
1. Accepting the idea of creating a Community Fund and ensuring support of the Chepelare local government. Chepelare Municipality confirmed its participation both as a donor and as a partner in the program.
2. Promoting the idea for a Community Fund in the municipality conducting an active information campaign in the local and regional media.
3. Involving key figures from all sectors (business, NGOs, local government, and the citizens) in the process of developing the Fund;
4. Survey of local needs, resources and possibilities for development conducting meetings and discussions with representatives of all social groups on the territory of Chepelare Municipality.
5. Conducting a broad public discussion Community Forum, for building a consensus about the priorities of the Community Fund.
6. Conducting a pilot donation campaign targeted to a public benefit purpose determined by the local people.
7. Constituting the Community Fund on 27 June 2002.
8. Developing a strategy and action plan of the Chepelare Community Fund.
9. Institutional strengthening and making contacts with other Community Funds in Bulgaria and internationally.

Results

- Broad public agreement achieved on the creation of a Community Fund in Chepelare;
- Participation of key public figures from the three main sectors: local government, business and civil society in the process of creating the Fund;
- Citizen consensus achieved regarding the priority directions of local development, to be supported by the Fund;
- A successful donation campaign of the Chepelare Community Fund;
- Broad promotion of the Fund s constitution and possibility for each citizen to be a founder;

The practice described is being developed simultaneously in three Bulgarian cities Chepelare, Gabrovo and Blagoevgrad. The Program aims to set a model in the municipalities selected, which can be replicated in other Bulgarian cities.