The article examines the problems of implementation of the decentralization reform, announced by the Government as the most successful reform since Ukraine gained independence. The idealists, who yesterday believed in this reform, are today deeply disappointed in it. The lack of a package of laws necessary to implement the reform aggravated its progress and the local authorities became hostages of conflicts and gaps in legislation. The lack of an adequate level of infrastructure and professionally trained personnel also does not contribute to the successful implementation of the reform