Government to Add NIS 900 Million to Arab Local Councils
(Communicated by the Prime Minister's Media Adviser)

Prime Minister Benjamin Netanyahu, this afternoon (Monday, 31 August 2015),
convened a discussion with the participation of Prime Minister's Office
Director General Eli Groner, Joint Arab List Chairman MK Ayman Udah, MK Dr.
Ahmed Tibi, MK Jamal Zahalka, MK Masud Ganaim and Arab Local Councils Forum
Chairman Mazan Ganaim. Representatives from the Finance and Social Equality
ministries also attended the meeting.

Agreement was reached on an outline that includes moving forward – within 30
days – on a multi-year plan on economic integration and reducing gaps by
enacting structural changes. Agreement was also reached on one-time
budgetary supplements to strengthen Arab sector local councils.

Following are the main points of the understandings that were achieved:

The multi-year plan

* Implementation within approximately one month of a multi-year plan to
promote economic integration and a reduction in gaps in Arab society by
advancing significant structural changes. In addition an implementation and
cooperation mechanism will be set up with the Union of Local Authorities and
Arab sector local councils. The various plans will be formulated and
implemented by the relevant ministries in full cooperation with Arb local
council and Arab society representatives.

One-time budgetary supplements

1. In 2015, support in the current budget for Arab sector local councils
will be increased by NIS 150 million. NIS 50 million will be allocated for
development budgets for Arab sector local councils.

2. A program for outstanding local councils – NIS 350 million will be
allocated over five years to outstanding Arab sector local councils; the
goal is to create economic growth engines that will lead to increased
revenues. The plan is also designed to encourage organizational change in
the local councils by though increased efficiency and filling essential
positions.

3. Investing approximately NIS 135 million in advancing plans for informal
education in Arab councils including community centers, nature centers and
youth movements.

4. Investing approximately NIS 150 million in strengthening personal
security in Arab communities by means of – inter alia – building police
installations, city-without-violence programs and assigning police
personnel.

5. NIS 100 million per annum will be added in 2017 and 2018 to Arab sector
local councils' development budgets.

Prime Minister Netanyahu: "I am the Prime Minister of all citizens of
Israel. The assistance plan that we decided on today is a significant
rectification and an additional step designed to integrate the Arab citizens
of Israel into Israeli society as equals among equals."