European Union law does not provide a specific role for the local authorities. Neither are they integrated as democratic actors in the multi-level-governance nor taken as part of the European composite administration nor have powers and responsabilities been assigned to them which relate to their specific character as self-governing bodies. This surprises from a German perspective given the importance the Basic law attaches to them. Taking into account the European Charter of Local Self-Government and the existing local authorities in the other member states it seems to be obvious to take the local authorities into account in the law of the EU, too. The democratic potential of these small entities should be used by the European Union, as its democratic legitimacy still is perceived to be less assured than that of the member states. The schemes of financial aid by the structural funds of the EU provide for a good example in this respect.