Local Authorities and Regional Policy
Local authorities control and are responsible for their own administration as provided for by law and Art. 78 of the Icelandic Constitution. Issues concerning local authorities are under the administration of the Minister of Transport and Local Government, which is to safeguard their interests, independence, role and finances.
The Minister is to ensure that local authorities fulfil their obligations according to laws and other administrative provisions. Administrative decisions of local authorities can be appealed to the Minister insofar as such authority has not be entrusted to other parties by law.
Regional and rural policy is also the responsibility of the Minister of Transport and Local Government, including regional and rural research, industrial development and industrial development organisations and rural and development programmes.