A Proposal Submitted to the City of Mostar

by the Aga Khan Trust for Culture and  the World Monuments Fund

1.    Preamble

The historic city centre and residential neighbourhoods of Mostar are of unique architectural and cultural significance. As one of Bosnia-Herzegovina’s major attractions, their value and importance go beyond local interests and deserve international recognition and support. Their future preservation and development cannot be left to chance or to the present institutional setting, where planning controls have proved ineffective in the face of rapid and inappropriate development.

AKTC has drawn the Municipality's  attention to the urgent need to identify  institutional mechanisms specifically dedicated to the preservation and long-term management of Mostar’s historic areas - apart from the reconstruction of the Old Bridge, which is a major, but limited issue. The establishment of such mechanisms is all the more urgent in view of the recent spate of controversial private development in the old city, as well as the planned rehabilitation works made possible through municipal investment and donor contributions. In the future, and particularly once the donor agencies have left, the historic areas will need proper operation and maintenance as well as local income-generating mechanisms. Only a conscious planning and management effort will ensure that the quality and significance  of the urban fabric as a whole can be retained and a sympathetic development process continued.

This short note discusses the nature and aims of a proposed "Agency for the Rehabilitation and Presentation of Mostar's Starigrad" and makes suggestions regarding its mandate and its special implementation powers, organisation and financing. Further, it can be used as a draft policy paper for the establishment of the proposed Agency and the institutional mechanisms that will sustain it.

2.    Nature and Aims of the Proposed Agency

International experience has shown that the best results in preserving living historic towns have been achieved through the establishment of independent, specialised conservation and development agencies that have full control over a given area as well as special powers, resources and professional staff.

Contrary to a planning authority with general responsibility for an entire city, a dedicated Agency can focus on the historical area and treat it as a single, integrated whole. The planning methods and implementation mechanisms needed in historic urban areas are in fact quite different from those applied to contemporary city sectors as they require finer-grained planning methodologies as well as ad hoc building and restoration techniques. 

The specific aims of the proposed Agency should be to:

(a)    finalise an integrated conservation and development plan with supporting legislation and submit it for    official approval;

(b)   draw up a financial programme and a phased schedule of activities, and seek the funding required for    implementation, with the help of World Bank, UNESCO, AKTC, WMF and the International Stari Mostar Foundation;

(c)   provide technical advice and monitor private and public interventions in the area;

(d)   act as an executing agency for the implementation of public- and donor-funded projects and activities;

(e)   develop educational and training opportunities to increase awareness of Mostar's heritage and promote international conservation standards; 

(f)    administer rehabilitation grants and loan schemes for residents and commercial entities;

(g)   implement re-use projects in historic buildings and operate plots and buildings entrusted to its care;

(h)   enhance the environmental qualities of the Neretva River banks and improve and manage all public open spaces within the boundaries of historic city;

(i)    generate income from reuse of buildings and commercially used open spaces, for investment in the on-going conservation and rehabilitation effort;

(j)    enhance cultural tourism in the area and promote Mostar’s culture and traditional crafts, against a tourist tax to be perceived.

3.       Institutional Arrangements

The Agency should be established under the supervision of the Mayor's Office as an executive body charged with the planning, implementation and management of conservation and development activities in Mostar’s Historic centre and specific sites outside its boundaries, keeping in mind the multi-cultural character of Mostar’s architectural heritage

4.    Special Implementation Powers

The new Agency will need special implementation powers in order to be able to operate effectively. In particular, it should be able to:

(a)    buy and sell property, acquire property not presently in use, as well as manage public properties in the area;

(b)   collect revenue generated from re-use of historic buildings, commercial use of public open spaces,  cultural tourism and other sources, and re-invest these proceeds in the area;

(c)   enter into contractual agreements with residents, owners, contractors and other private and public bodies;

(d)   employ national personnel on a long-term basis at competitive salaries; 

(e)   recruit international short-term consultants when needed, or receive corresponding assistance from donors;

(f)    procure locally and internationally all items of equipment needed to carry out its programmes.

5.       Organisation of the Agency

In order to fulfil its mandate, the Agency will require an efficient and diversified organisational structure and access to technical and advisory expertise in key planning and management sectors. In general terms, the organisational structure would consist of:

(a)    an international foundation (the "Stari Mostar Foundation") acting as a "patron" of the agency, and established to promote the appreciation of Mostar's heritage world-wide and pursue the long-term goals of the Agency through international recognition and support;

(b)   a coordinating committee responsible for establishing policy and ensuring broad public consensus for the programmes and activities envisaged for the Agency. This committee would develop the objectives, review the plan during preparation and endorse it before submitting it for official approval. Subsequently, during implementation, the committee would set priorities and targets, and negotiate arrangements within the community and with external parties, donors, government agencies, etc.;

(c)    a technical planning office responsible for translating the committee's broad targets and decisions into detailed plans of action. The office will be staffed by an integrated group of professionals and external consultants who will provide inputs in key sectors including planning, engineering, traditional construction, conservation, adaptive re-usefinance and project management. Where local expertise is not available, external consultants will be hired. In the long term, local staff must be able to perform most of the necessary tasks. Training and capacity-building are thus an important part of the Agency's mandate from the beginning.

6.    Financial Sustainability of the Agency

The financial requirements of the Agency can be divided into funds needed to cover its operating costs and resources to pay for the implementation of the activities and projects foreseen by the Plan.

The Agency's operating budget and recurrent expenditures are to be met through:

(a)    income from municipal leases, endowments and concessions on properties in the Historic Neighbourhoods;

(b)   income perceived through the adaptive re-use of restored buildings and the management of public open spaces in the historic city;

(c)   a tax perceived from tour operators for the efforts in maintaining and enhancing the historic city;

(d)   a percentage of the government- and donor-sponsored project funds raised, charged during implementation to cover overhead and help pay for professional services and administrative expenses sustained by the Agency.

Development activities and projects in the Historic Neighbourhoods would be financed through:

(e)   government and municipal funds earmarked for infrastructure networks, public facilities, and major restoration works;

(f)    donor funds in the case of specific projects and initiatives;

(g)   direct investment or partnership agreements with state companies and business concerns interested in the development of economic and tourism development activities;

(h)    low-interest loans and matching funds earmarked for housing and commercial rehabilitation;

(i)     self-help activities and contributions in kind from residents toward the implementation of small-scale projects benefiting the community.

It is proposed that, as of now, the group of four donors (the World Bank, Unesco, WMF and AKTC) responsible for the rehabilitation projects in the historic areas consider supporting the constitution of the new Agency. The implementation of forthcoming projects should in fact be geared towards the establishment of this organisation, involve the corresponding local partners and contribute towards the necessary capacity-building.

The above concept was approved by the City of Mostar and will be implemented with immediate effect in cooperation with AKTC and WMF.

Mostar 29 June 2000

For the City of Mostar

Deputy-Mayor Neven Tomić                                                    Mayor Safet Oručević

For AKTC/WMF

Dr. Stefano Bianca