This study is a result of the project “Institutional support of SCTM”, implemented by Standing Conference of Towns and Municipalities.  It provides a brief analysis of needs and rationale for re-introduction of housing policy as a core responsibility of local governments and for its return into the governing structures at the national and the local levels. Partial recognition of these activities at the Republic level is represented through adoption of the Social Housing Law in 2009, while at the local level, some significant and specific responsibilities have been introduced through establishment of basic instruments of public intervention in housing policy, such as Municipal Housing Agencies and Municipal Housing Strategies.