PRO M OTING R E FU G E E I NT E G RAT I O N A ND I NC LU SI ON : E M P OW E R I N G M U N I C I PA L I T I E S AC R OSS E U R OP E P R O MOT IN G R E FUGE E IN T EG R ATIO N AN D IN C LUSIO N : EMP OWE R IN G MUN IC IPAL ITIES ACROS S EUROPE 1. Funding To effectively support the longer-term inclusion of refugees, while delivering on wider strategic priorities for their local citizens, municipal actors require access to diverse funding sources. This includes more effective cooperation and streamlined processes with traditional actors, and the forging of new partnerships with urban innovators and investors who can support large-scale, cutting-edge solutions.19 Main issues & challenges for municipalities: February 2024, Panel discussion on local level integration planning, coordination and partnership between local authorities and integration practitioners from Nordic and Baltic countries at the final FOR-IN conference in Vilnius. REFUGEE INCLUSION & INTEGRATION: MAIN ISSUES AND CHALLENGES FOR MUNICIPAL GOVERNMENTS ● Lack of long-term, predictable financing: EU and private funding sources are often projectbased, while integration is a long-term process requiring multi-year, predictable financing, along with well-funded local public services, to achieve maximum results.20 ● A mismatch between responsibilities and financial support: Particularly for municipalities whose population size has increased following the full-scale invasion of Ukraine,21 current budgets are incompatible with the populations they are hosting, particularly as these same administrations grapple with already existing dilemmas related to cost of living and public service coverage. ● Municipalities are often not consulted or invited to central-level decision-making spaces on EU funding allocation, leading to mismatches between the funding allocated and real on-the-ground needs.22 ● Particularly for peripheral municipalities with little communication with the central government, local actors and administrations therein cannot easily access EU funds, as again these are often managed by national or regional authorities. Key background & guidance: Understanding the Municipal Finance Landscape for Migrant and Refugee Inclusion: Broadly speaking, city governments can finance their programs, projects, and services through three main channels: municipal or own source revenues, donor funding, or external financing.25 The European Commission has developed a Toolkit on the coordinated use of EU funds for the 6 UNHCR REGIONAL BUREAU FOR EUROPE, AUGUST 2024 ● Mayors of EU-accession countries are at a particular disadvantage and have expressed a need for a rethinking of policies and funding options for local administrations of candidate countries. This might include support for cross-border actions between cities, both within and outside the EU.23 ● Mayors often exhaust their limited budgets on costs essential to the upkeep of a city and population wellbeing, such as public health and policing, as well as the provision and support of essential public goods. In turn, strategic longterm investments in innovations are consistently postponed. ● Catalyzing private sector investment: The rapid response of business organizations willing to support refugees from Ukraine was extraordinary compared to other refugee crises. However, city administrations now require expert support to develop proposals that will attract private investments and loans to reach the scale of investment needed for larger infrastructural transformations.24 UNHCR REGIONAL BUREAU FOR EUROPE, AUGUST 2024 integration of people with a migrant background (2021–2027). Member States have established national sites serving as single entry points for information on Union funds managed by their national and regional authorities for the 2021-2027 funding period. A complete list is available at: National single portals. 7

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