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Bosnia and Herzegovina), as well as the granting of own competencies to the Brčko District, the Dayton Constitution has led toa cumbersome multi-layered governance structure with limited clarity over the division of competencies and responsibilitiesboth between and within governments at central and entity level. Notwithstandingthe governing conditions of the time, the constitutional basis of the Dayton Agreement is today increasingly recognized to consist of a stumbling block to overall efforts in turning BiH into a fully functional modern state in line with EU standards.their “full service” role in planning, managing and coordinating effective policies.Since 2007 the process of improving governance through the strengthening of Centers of Government (CoGs) has taken increased signi cance through the publication of a Blueprint for the Development of Central Bodies of Government in BiH.The blueprint builds upon earlier achievements including past and ongoing efforts under the PAR and proposes a new structure for the CoGs, their functions andMore than a decade after the Peace Agreement, a consensus is gradually developing for a more coherent and concerted approach to policy-making and coordination across all levels of government and across entities.Most notablein this context has been the establishment in 2005 of the Public Administration Reform Coordinator’s Office (PARCO)responsibilities, as well as the methods to be employed in discharging their tasks within the overall policy system. The present project builds upon this effortand aims to assist the BiH authorities at the central and entity levels to implement and enforce the model envisaged by the blueprint across four core axes:This momentum forchange, although still facedwith considerable resistance from long standing vested interests, has been re ected in a number of institutional and strategy developments.Most notable in this context has beenthe establishment in 2005 of the Public Administration Reform Coordinator’s Of ce (PARCO) within the Council of Ministers and the subsequent launch of the 2006 Strategy for Public Administration Reform (PAR), where the strengthening of the policy-making systems, planning and coordination across the state and entity level governments is given a primary role.According to the PAR Strategy, spearheading the reform and modernization of the policy-making and coordination systems should lay with the Centers of Government (Secretariats) across all levels whose structure, capacity and performance need to be improved so that they assume(a) nalizing and completing the legislative framework.(b) reinforcing the planning and monitoring processes.(c) improving coordination and(d) strengthening policy development.It is understood that a rst phase of implementation has begun in July 2010, through a project supporting the rst round of blueprint recommendations.infoThe project is funded by the European Commission and implemented by the EPLO in partnership with the European Profiles, Greece (leader), Ecorys South East Europe, Bulgaria, and the Hungarian National Institute for Public Administration.ACTIVITY REPORT 2016 113