Ensuring good governance, improving the quality of public services provided to citizens and streamlining the activity in public sector can be achieved through the successful implementation of the decentralization policies and modernization of public administration. The historical opportunity to achieve positive change of the decision-making paradigm in the public administration is offered by approving the National Decentralization Strategy, considered the main public policy document in the area of local government. Implementing the actions of the Strategy and ensuring the modification of the local public finance system for a better predictability and equity of own revenues will lead to a genuine local autonomy, and will transform the public authorities into modern, effective and efficient entities.