The Kyiv city council has decided to reorganize the municipal enterprise Kyivzelenbud.
The Kyiv city council passed this decision at its session.
The reorganization will include merger of eight district enterprises on maintenance of landscaped areas and three parkland economies.
In particular, the municipal enterprise Kyivzelenbud merge enterprises on maintenance of landscaped areas of Obolon district, Sviatoshynskyi district, Podolskyi district, Pecherskyi district, Solomianskyi district, Darnytskyi district, Dniprovskyi district, and Desnianskyi district, and parkland economies Darnytske, Sviatoshynske, and Koncha-Zaspa.
The Kyiv city council granted the municipal enterprise Kyivzelenbud a right to run all property of the district municipal companies and instructed the Kyiv city state administration to hold the reorganization.
The Kyiv city council believes the reorganization will allow perfection of the management system at the enterprise, more effective use of the municipal property and budget funds, reduction in the spending on maintenance of the administrative personnel by UAH 3 million a year on average.
The explanatory note to the resolution reads that the municipal companies Kyivavtodor and Kyivpastrans have a similar management structure.
As Ukrainian News earlier reported, the Kyiv city state administration in February 2008 moved forward with an initiative on transformation of 27 municipal enterprises into joint-stock companies and subsequent sale of up to 50% stakes in them, including in Kyivzelenbud. The municipal administration also planned to transform the Kyivzelenbud and enterprises belonging to the association (the Sviatoshynskyi and Darnytskyi forest parks) and 10 district enterprises for maintaining green plants into joint-stock companies.
The Kyiv city state administration then quitted the plans to corporatize and sell up to 50% of the shares of Kyivzelenbud.
Kyivzelenbud incorporates ten district municipal enterprises.
