US embassy cable - 03ZAGREB2296

UNCLAS ZAGREB 002296 
 
SIPDIS 
 
 
SENSITIVE 
 
DEPT FOR EUR/SCE 
USAID/E&E FOR ACONVERY 
 
E.O. 12958: N/A 
TAGS: PGOV, PHUM, EAID, KDEM, HR, Political Parties/Elections 
SUBJECT: ELECTION TIME IN DJULOVAC 

 
SUMARY 
--------- 
 
1. (U) ON OCTOBER 22, WE VISITED DJULOVAC MUNICIPALITY TO 
OPEN A USAID AND EUCOMM FUNDED SCHOOL REHABILITATION PROJECT, 
A COMMUNITY CENTER, AND A ROAD PROJECT.  SMILING VILLAGERS, 
SINGING STUDENTS, AND TABLES LADEN WITH LOCAL DELICACIES AND 
HOMEMADE BRANDIES GREETED US, THE LOCAL POLITICAL 
ESTABLISHMENT, AND UNTOLD OTHERS AT THREE RIBBON CUTTING 
CEREMONIES.  AS IF IT WAS HIS DAUGHTER'S WEDDING, MAYOR MILAN 
GRAHOVAC, OF THE CROATIAN PEOPLE'S PARTY (HSS), ATTENDED TO 
EVERY DETAIL AT A SIT DOWN LUNCH FOR APPROXIMATELY THREE 
HUNDRED.   IT IS ELECTION TIME IN CROATIA, AND INCUMBENTS ARE 
TAKING EVERY OPPORTUNITY TO DEMONSTRATE WHO IS BRINGING HOME 
THE BACON.  END SUMMARY. 
 
A GOOD DAY IN DJULOVAC 
-------------------------------- 
 
2. (U) ON OCTOBER 22 THE AMBASSADOR AND USAID DIRECTOR 
VISITED DJULOVAC MUNICIPALITY IN WESTERN SLAVONIA TO OPEN AN 
ELEMENTARY SCHOOL RECONSTRUCTION PROJECT, A COMMUNITY CENTER, 
AND AN 8 KM ROAD RECONSTRUCTION PROJECT.  USAID SPENT 
APPROXIMATELY $1.2 MILLION AND EUCOMM AN ADDITIONAL $220,000 
IN THE MUNICIPALITY, WHICH HAS A POPULATION OF JUST OVER 
4,100.  THE MUNICIPALITY, OVER TWO HOURS BY CAR DUE EAST OF 
ZAGREB, WAS ON THE FRONT LINES OF THE 1991-1995 WAR, LYING 
THE FARTHEST NORTH THAT SERB PARAMILITARIES PENETRATED IN 
CENTRAL CROATIA.  DURING THE WAR 55 PERCENT OF THE REGION'S 
HOUSING STOCK WAS EITHER BADLY DAMAGED OR DESTROYED.  SIX 
    VILLAGES WERE COMPLETELY DESTROYED AND REMAIN UNINHABITED 
TODAY. 
 
3. (U) THE MAJORITY OF ETHNIC SERBS LIVING IN THE REGION FLED 
IN THE BEGINNING OF 1992.  THE TUDJMAN GOVERNMENT ALLOCATED 
EMPTY HOMES BELONGING TO ETHNIC SERBS FOR THE "TEMPORARY USE" 
OF 1,950 KOSOVO CROATS AND 250 BOSNIA CROATS WHO SETTLED IN 
THE AREA.  WHILE THE POPULATION HAS NEARLY RETURNED TO ITS 
PREWAR LEVEL, THE COMPOSITION HAS CHANGED DRAMATICALLY, AND 
THE CHALLENGE REMAINS TO FIND PERMANENT HOUSING SOLUTIONS FOR 
SETTLERS (KOSOVAR AND BOSNIAN CROATS) SO THAT PROPERTIES CAN 
BE RETURNED TO OWNERS (SERBS). 
 
4. (U) IN A MODEL OF COOPERATION, IN 2001 THE MUNICIPAL 
AUTHORITIES, ASSOCIATION OF KOSOVO CROATS "LETNICA," AND THE 
NGO "SERB DEMOCRATIC FORUM" PRESENTED A JOINT PLAN FOR 
RECONSTRUCTION AND DEVELOPMENT TO THE GOC AND INTERNATIONAL 
DONORS.  FUNDING WAS SECURED, AND THE PLAN HAS BEEN 
SUCCESSFULLY IMPLEMENTED, AS EVIDENCED BY INCREASED RETURNS 
OF REFUGEES.   HOWEVER, UNEMPLOYMENT AND ECONOMIC STAGNATION 
REMAIN THE MAJOR PROBLEMS FOR THE REGION.  ACCORDING TO 
OFFICIAL FIGURES ONLY 350 PEOPLE ARE EMPLOYED IN THE 
MUNICIPALITY, WITH OVER HALF IN THE FORESTRY INDUSTRY. 
OUTSIDE SMALL-SCALE AGRICULTURAL BASED PRODUCTION -- HONEY, 
WINE, AND CRAFTS -- FEW REAL POSSIBILITIES EXIST FOR THE 
HILLY AND ISOLATED REGION. 
 
5. (SBU) DJULOVAC AND ITS ENVIRONS IS A STRONGHOLD OF THE 
HSS, THE SECOND LEADING PARTY IN THE RULING COALITION AND THE 
THIRD LARGEST PARTY IN PARLIAMENT.  WHILE MORE COMFORTABLE 
SITTING ON A TRACTOR THAN BEHIND A DESK, GRAHOVAC, LIKE ANY 
    POLITICAL PRO, WAS QUICK TO SEE THE CAMPAIGN ADVANTAGES 
INHERENT IN THE DAY'S EVENTS.  THE RECONSTRUCTION AND 
BUILDING PROVIDED EMPLOYMENT, AND THE SCHOOLS WERE SORELY 
NEEDED FOR THE LARGER AND BURGEONING POPULATION OF 700 
SCHOOL-AGE CHILDREN -- A "SMALL" FAMILY OF KOSOVAR CROATS HAS 
SIX CHILDREN. 
 
6. (SBU) THE MAYOR HAD LONG LOOKED FORWARD TO THE THE DAY'S 
CELEBRATIONS, WHICH CULMINATED IN A HUGE LUNCH IN THE TOWN'S 
MAIN HALL.   LIKE THE FATHER OF THE BRIDE, GRAHOVAC WENT FROM 
TABLE-TO-TABLE -- FIREMEN, TEACHERS, CIVIC AND BUSINESS 
LEADERS -- MAKING SURE EVERYONE'S GLASS WAS FULL.  HSS 
LEADERS, INCLUDING TWO ADDITIONAL HSS COUNTY PREFECTS FROM 
NEIGHBORING COUNTIES --  WERE CONFIDENT THEY WOULD DOMINATE 
THE UPCOMING ELECTIONS IN THE REGION.  THE BAND -- WE WERE 
TOLD A MIXED SERB AND CROAT ENSEMBLE -- PLAYED ON, AND FOR 
ONE DAY, AT LEAST, DESPITE WHATEVER PROBLEMS THERE MAY BE, 
THERE WAS SOMETHING TO CELEBRATE IN DJULOVAC. 
FRANK 
 
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