Denmark is in the middle of a fundamental structural transformation of the public sector. The Local Government Reform (kommunalreformen), passed by the Parliament in 2005, has decreased 275 municipalities and 14 counties to 98 municipalities and 5 regions. The reform came into force on 1 January 2007 and will be fully implemented by 2012.
According to the reform, the former cultural responsibility of the counties, now abolished, has been transferred to either the state level or the new municipalities e.g. the state has taken over the responsibility for regional theatres, orchestras, museums etc., while the new grand municipalities have been given the full political, administrative and financial responsibility to handle cultural institutions and activities with a natural local affiliation including libraries, museums, sport facilities, amateur activities etc. In case of libraries and museums the municipalities still has to act according to the legislative framework agreed upon on a national level.
The new regions do not have ongoing responsibility for cultural activities.