The present article examines the process concerning the transfer of State Property to Regions and Local Authorities, recently introduced in Italy pursuant to Decree 85/2010. The transfer of State owned assets and properties to territorial bodies according to this legislation is the first step in the implementation of the Fiscal Federalism Reform. The article analyses in depth the legal framework of this “Public Property Federalism” (“federalismo demaniale”) and the various steps leading to the actual transfer and assignment of some State assets to Regions and Local Authorities. The financial issues of this transfer are also discussed. The article concludes with some remarks on the future prospects of this reform
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