Official Structuring

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                   Law on Istanbul 2010 European Capital of Culture

Law No. 5706                                                         Date of Ratification: 2 November 2007

                              Part one

                      Purpose, Scope and Definitions

Purpose

ARTICLE 1 (1) The purpose of this law is to establish and set out the mandate for the Istanbul 2010 European Capital of Culture Agency with a view to preparing the city of Istanbul as the 2010 European Capital of Culture, to plan and manage the activities to be undertaken in 2010 to this end and to establish coordination in activities to be undertaken by public and private bodies in this framework.

Scope

ARTICLE 2 (1) This law entails provisions and other arrangements concerning the establishment of the Istanbul 2010 European Capital of Culture Agency, setting out the mandate of this agency and laying down the responsibilities of public enterprises and bodies in preparing the city of Istanbul as the 2010 European Capital of Culture.

Definitions

ARTICLE 3 (1) The following terms that will be used throughout this law shall have the following meanings;

a) Istanbul 2010 European Capital of Culture : The city of Istanbul which has been declared as the 2010 European Capital of Culture by the European Union Council of Ministers,

b) Agency: Istanbul 2010 European Capital of Culture Agency,

c) Coordination Board: Istanbul 2010 European Capital of Culture Coordination Board,

cc) Advisory Board: Istanbul 2010 European Capital of Culture Advisory Board,

d) Executive Board: Istanbul 2010 European Capital of Culture Executive Board,

e) Project: Istanbul 2010 European Capital of Culture Project.

                              Part two

                Agency and its Duties and Responsibilities

European Capital of Culture Agency

ARTICLE 4 (1) In addition to arrangements included in this law, Istanbul 2010 European Capital of Culture Agency, which is based in Istanbul, has its own legal person and is subject to the provisions of private law has been set up.

(2) The Agency is comprised of the Coordination Board, Advisory Board, Executive Board and the Secretary General.

Coordination Board

ARTICLE 5 (1) The Coordination Board is headed by the Minister appointed by the Prime Minister, the Minister responsible for undertaking the EU Accession Negotiations, the Minister responsible for promotion funds, the Minister of Interior Affairs, the Minister of Finance, the Minister of Culture and Tourism as well as the Governor of Istanbul, the Mayor of the Istanbul Metropolitan Municipality, the Chairman of the Advisory Board and the Chairman of the Executive Board.

(2) The Coordination Board lays down the framework, nature and priorities of the activities to be undertaken in Istanbul as the 2010 Capital of Culture, follows up the preparations for these activities and takes the necessary measures to enable public and civil society bodies and enterprises to work in coordination with each other.

(3) The Board meets when necessary but at least once a year.

Advisory Board

ARTICLE 6 (1) Advisory Board;

a) The Board comprises representatives from the Ministry of Foreign Affairs, Ministry of Finance, Ministry of Culture and Tourism, General Secretariat of European Union Affairs, Turkish Radio and Television Higher Board General Directorate, Foundations General Directorate, the Governorship of Istanbul and the Istanbul Metropolitan Municipality,

b) One member each to be determined from among the members of the Istanbul Provincial General Assembly and the Istanbul Metropolitan Municipality,

c) Five representatives each, to be appointed by the Istanbul district sub-governors and mayors, four representatives each to be appointed by the mayors belonging to the ruling party, one representative to be appointed by mayors who are members of the opposition parties,

cc) Twenty-five representatives to be determined by the Coordination Board whereby one each representative will be nominated by the Istanbul Chamber of Commerce, Istanbul Chamber of Industry, Travel Agents Union of Turkey and the Istanbul Chamber of Architects; members of national and international bodies, professional organisations which can be considered public bodies recognised with their activities in the areas of culture, arts and tourism as well as individuals renowned for their work in Istanbul’s history, culture, architecture or art,

d) Five representatives to be determined by the Coordination Board, each one to be nominated by a university founded in Istanbul, whereby three will be faculty members from a state university and two will be from a foundation university,

(2) The chairman of the Advisory Board may invite to meetings experts he/she deems appropriate in connection with the meeting agenda.

(3) Advisory Board chairman is determined by the Office of the Prime Minister. The public enterprise representatives stipulated in ARTICLE 6(1)(a) must be as a minimum at the level of General Director, Deputy Governor and Deputy Secretary General and the members of civil society organisations must not have been banned from public duty.

(4) Representatives assume their duties either when elected or when their letters of appointment are submitted to the Executive Board.

(5) The Advisory Board meets at least once every two months and more as required. The quorum for holding a meeting is one vote more than half the total number of members and the majority needed for taking a vote on a decision is the simple majority of those attending the meeting. The chairman can hold an emergency meeting of the Advisory Board. Representatives who fail to attend two consecutive meetings or a total of three meetings in a year without an excuse shall be considered as having resigned and the Advisory Board membership of the body or organisation that member represents shall be annulled.

Duties of the Advisory Board

ARTICLE 7 (1) The Advisory Board works in order to realise the project in line with the decisions of the European Union on the issue, takes the principle decisions it deems appropriate, states its views on the annual program of the project or on other issues deemed necessary, follows up the work of the Executive Board and makes suggestions.

Executive Board

ARTICLE 8 (1) The Executive Board has the primary responsibility for preparing Istanbul for the 2010 European Capital of Culture project, for planning and executing the plans and executing the budget. The legal person of the Agency is represented by the Executive Board.

(2) The Executive Board comprises one each representative from the Ministry of Culture and Tourism, the Governorship of Istanbul, the Istanbul Metropolitan Municipality, Istanbul Chamber of Commerce, Istanbul Chamber of Industry ; two members to be selected by the Advisory Board from among representatives of the civil society organisations included in the Initiative Group indicated in the provisional article 2 and two members the Advisory Board will select from among other members of the Advisory Board.

(3) The chairman of the Executive Board shall be selected by the chairman of the Coordination Board. The Executive Board elects from among its members three assistant chairmen at least one of which is a public body and enterprise representative. One of the deputy chairmen selected from public bodies and enterprises shall be determined as the deputy chairman who chairs Executive Board meetings in the absence of the chairman.

(4) The Executive Board meets at least once a week and more as required. Decisions are taken with a simple majority. The Secretary General of the Agency attends Executive Board meetings.

The duties of the Executive Board

ARTICLE 9 (1) The Executive Board is responsible for planning and executing all activities concerning the project and their follow up.

(2) The Executive Board undertakes the following duties:

a) Plan all exhibitions, concerts, performances, conferences, urban planning and tourism activities with a social and cultural content to take place within the framework of the project and determine communication and promotion strategies,

b) Make recommendations to the relevant bodies and institutions concerning the development of urban transformation projects

c) Effect coordination between public institutions and enterprises, professional chambers, civil society organisations, real persons who will take part in the activities on a voluntary basis and legal persons subject to private law.

cc) Appoint the Secretary General, and other administrators who will be responsible for culture and arts, communication, administration of immovables and venues, administrative and financial matters

d) Determine commissions, committees and project teams to be set up within the office of the Secretary General,

e) Follow up the work done by the Secretary General and approve his/her recommendations for recruitment of personnel,

f) Recommend projects for the maintenance, repair and restoration of immovable cultural heritage buildings and items within the framework of Law Number 2863 dated 21/7/1983 on the Preservation of Cultural and Natural Heritage,

g) Coordinate the project’s promotion within Turkey and to implement it abroad,

gg) Undertake external relations concerning the project and establish links with the programs of other cities which have been determined as the European Capital of Culture for the same year,

h) Ensure efficient and effective use of the budget and resources,

i) Prepare the annual program, budget, work plan and final accounts for the project and submit them to the Coordination Board,

ii) Inform the public about preparations, resources and projects,

j) Receive donations,

k) Decide on the recruitment of full time or part time Turkish or foreign personnel for the project in accordance with the provisions of private law and determine the financial rights of these personnel,

l) Decide on the use of immovables,

m) Undertake the purchase, sale and lease of all kinds of goods and services concerning the project in accordance with the procedures it will determine,

n) Effect all correspondence with ministries and public institutions and enterprises, determine the actions and procedures public institutions and enterprises will undertake concerning the project and coordinate their being done,

o) Propose the venues where the events will take place and make recommendations to the bodies concerned for developing new culture and art venues,

oo) Undertake the duties conferred upon it by the Coordination Board and evaluate input from the Advisory Board,

(3) The Executive Board may, when deemed necessary, form subcommittees and teams, determine the working principles and procedures of the Secretary General, committees and teams, take measures that will enable it to work in coordination with the relevant directorate of the European Union Commission based in Brussels and effect division of labour.

Secretary General

ARTICLE 10 (1) A Secretary General to undertake the duties to be determined by the Executive Board shall be appointed.

(2) The Secretary General is responsible for programming, executing and coordinating all activities within the framework of Istanbul 2010 European Capital of Culture project in line with the provisions to be determined by the Executive Board.

(3) In order to assist the Secretary General in the activities he/she will undertake, managers responsible for culture and arts, communication, the administration of immovables and venues, administrative and financial matters may be appointed. These managers are determined by the Executive Board upon the recommendation of the Secretary General. They work under the management of the Secretary General and report to him/her.

(4) Project groups may be formed under these units.

(5) The working principles and procedures of the Secretary General are determined by the Executive Board.

Cultural centre and Library

ARTICLE 11 (1) Allowances to be transferred from the Ministry of Culture and Tourism budget, Ministry of Culture and Tourism Non-appropriated Fund, the special account indicated in article 44/2 of Law No.5846 on Intellectual Property and Works of Art dated 5 December 1951, the Istanbul Provincial Special Administration budget, Istanbul Metropolitan Municipality budget, Office of the Prime Minister Promotion Fund and the special account to be opened in accordance with Article 12 of this law in the amount to be determined by the Coordination Board shall be deposited by the end of January every year in a special account to be opened in a national bank on behalf of the Ministry of Culture and Tourism to be spent within the framework of this law. The ministry shall have the following activities undertaken by using funds from this account:

a) The project design and construction of a new complex of Atatürk Culture Centre buildings and annexes in the area to be developed by combining Plot 750, Lot 104 of the Gümüşsuyu district of the Beyoğlu sub- province of the province of Istanbul where the Atatürk Culture Centre is located with Lot 105 owned by the Istanbul Metropolitan Municipality – with the possible addition of other municipal and treasury lands.

b) The preparation of the measured drawings, restoration, and all types of project design and construction work for the Istanbul Library and Culture Center buildings and annexes in the area in Plot 268, Lot 17 of the Eyüp sub-province of the province of Istanbul which is currently occupied by the Rami Military Barracks.

c) All kinds of project design and building work for Culture Centre construction currently under way on Sheet 3, Plot 2, Lot 38 of the Ayazağa district of the Şişli sub-province of the province of Istanbul.

(2) Principles and procedures concerning the implementation of this article are determined by the Ministry of Finance and the Ministry of Culture and Tourism.

                              PART THREE

                 Other Provisions

Budget, revenue and expenditure

ARTICLE 12 (1) Expenses to be made for the project are met from the special account opened at a national bank.

(2) The revenue for the special account is comprised of the following resources:

a) Allowance to be set aside in 2008, 2009 and 2010 from the budgets of the Istanbul Provincial Special Administration.

b) Amounts to be transferred in 2008, 2009 and 2010 by the Istanbul Chamber of Commerce and the Istanbul Chamber of Industry.

c) Donations and aids in grant and sponsorship revenues to be provided from within Turkey and abroad.

cc) Ticket sales revenues and other revenues to be obtained from the activities undertaken.

d) Revenues to be obtained from the use of the logo and name rights of Istanbul 2010 European Capital of Culture.

e) Funds to be allocated by the European Union Commission for the project.

f) Financial income to be obtained from the above revenues.

(3) Allowances to be set aside from the budgets of establishments indicated in sub subparagraphs (a) and (b) shall be deposited in the special account in the beginning of March, June and September.

(4) Principles and procedures concerning the financial income to be obtained from the monies deposited in the special account are determined by the Executive Board.

Purchasing, sale and tendering procedures

ARTICLE 13 (1) The Executive Board selects a five member Budget and Tendering Committee, where one member comes from the Governorship of Istanbul, one from the Istanbul Metropolitan Municipality, one from the Ministry of Culture and Tourism and two from civil society organisations. The budget and Tendering Committee elects a chairman from among its members. The Committee is tasked to undertake the following:

a) Purchasing, manufacturing and having other agents manufacture all types of goods and services that may be needed,

b) Preparing the annual budget,

c) Effecting all expenditures that have to do with the project,

cc) Taking all revenue generating decisions,

(2) The Executive Board shall submit the project program and budget to the Coordination Board every year on 15 September. The Coordination Board shall either approve the budget as is or make the necessary modifications by 30 September.

(3) Chairman of the Executive Board has the spending authority for the project.

(4) The Executive Board determines and implements the project’s financial management and the use and expenditure principles of the resources in the special account within the framework of the principles of competence, competitiveness, transparency and accountability.

(5) Principles and procedures concerning sale-purchase and bidding shall be determined by regulations to be developed by the Council of Ministers decision.

Use of the contribution rate for the repair of immovable cultural heritage items

ARTICLE 14 (1) The Executive Board may submit to the Governorship of Istanbul projects (barring expropriation projects) concerning the protection, maintenance and rearrangement for the purposes of the project of immovables owned by real and legal persons subject to public or private law in accordance with the regulation that has been developed based on article 12 of Law No. 2863.

(2) The Governorship transfers financial resources for the projects submitted by the Executive Board without the limitations to which municipalities are subject.

Use of immovables and movables and obligations concerning services

ARTICLE 15 (1) Immovables under the private ownership of the Treasury as well as immovables under state control and discretion but which have not been allocated for public service may, upon the request of the Executive Board, be allocated by the Ministry of Finance to the Agency to be used for the duration of the service in question. These immovables and those whose ownership belong to other public administrations and which have been allocated to a public administration shall be allocated to the Agency in the event the public administration to which the said immovables have been allocated deems it appropriate by their allocation status being lifted either the Ministry of Finance or the public administration to which they are allocated depending on which ever body is concerned within the framework of the purposes of this Law and to be used for the limited duration for which they are needed.

(2) Upon the Executive Agency’s communication to the administration which has the ownership of the said immovables that the need for the said immovables is no longer existent, the allocation shall be lifted by the administration that has granted the allocation and the provisional protocol of utilisation shall be annulled.

(3) Expenses incurred during the time the immovable is under the utilisation of the Agency shall not be requested from the relevant public administration.

(4) Goods and vehicles belonging to public institutions and bodies other than those belonging to judiciary bodies and the military may be placed under the temporary use of the Agency for a temporary period.

(5) Public institutions and bodies shall meet the requests of the Executive Board with priority during the project preparations and events.

The use of the name and logo

ARTICLE 16 (1) The use for advertising, commercial reasons, propaganda and the like of all broadcasts, commercials, market and marketing services concerning the project, other than broadcasts in the nature of news items, and the use of the name and logo of Istanbul 2010 European Capital of Culture is subject to the permission of the Executive Board.

Responsibility

ARTICLE 17 (1) Agency personnel shall be considered civil servants in the actions they take within the framework of this law vis-à-vis the implementation of the Turkish Criminal Code.

Inspection ARTICLE 18 (1) Audit and inspection of actions and activities undertaken within the framework of this law and the expenses incurred in connection with these shall be subject to the provisions of Law No.3346 dated 2/4/1987. Moreover, the aforementioned actions and transactions shall be audited annually by a committee comprising of an Office of the Prime Minister Inspector, Ministry of Finance Inspector, Ministry of the Interior Inspector and Ministry of Culture and Tourism Inspector.

Provisions that will not be implemented

ARTICLE 19 (1) In the purchase of goods and services, construction, sale, rental and all kinds of transactions to be undertaken within the scope of this law, provisions of State Tender Law No.2886 dated 8/9/1983, Public Tender Law No.4734 dated 4/1/2002 and Public Finance Administration and Control Law No.5018 dated 10/12/22003 shall not be applicable.

Liquidation

ARTICLE 20 (1) The Executive Board shall complete liquidation procedures within six months following the project termination date of 31/12/2010.

(2) The remaining unspent amounts accumulating from allocations, revenues and donations shall, upon liquidation, be divided into two equal parts and added to the budgets of Istanbul Provincial Special Administration and Istanbul Metropolitan Municipality as revenue.

Period of Implementation

PROVISIONAL ARTICLE 1 (1) This law shall be superseded upon completion of liquidation procedures described in article 20.

(2) The special account indicated in article 11 of this Law is liquidated in accordance with principles and procedures to be determined by the Ministry of Finance and the Ministry of Culture and Tourism.

The Initiative Group and the Year 2008 Budget

PROVISIONAL ARTICLE 2 (1) The existing budget of the Initiative Group formed by Council of Ministers decision No.2005/9706 dates 23/11/2005 on the Establishment of an Initiative Group for Istanbul 2010 European Capital of Culture shall be transferred to the Agency with all its rights and receivables.

(2) The Executive Board shall, within sixty days of the completion of its establishment procedures, submit the project 2008 program and budget to the Coordination Board. The Coordination Group either approves the budget as is or approves it upon amending it.

Validity

ARTICLE 21 (1) This law becomes effective on the date of its promulgation.

Execution

ARTICLE 22 (1) The provisions of this law are executed by the Council of Ministers.