The council session has taken place.

The decision has been adopted.

The secondary school is to become an academic lyceum, and it seems the hardest part is now over.

However, at this moment, a question arises in the education department of the community: is this a matter of re-profiling, reorganisation, or liquidation?

Therefore, will it be necessary to establish a new legal entity, open bank accounts, renew the licence, sort out employment matters, and go through a series of other legal procedures.

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What is the fundamental difference

In most cases, as practical experience shows, it is a matter of re-profiling. But to know for certain, it is necessary to distinguish between the different legal procedures.

In the process of transforming educational networks, the concepts of re-profiling and reorganisation are often confused. This confusion gives rise to fears about specialised secondary schools.

‘The re-profiling (change of type) of a general secondary school, the reorganisation of an educational institution, and its liquidation are fundamentally different procedures with different legal consequences for the legal entity itself, and they should not be confused.

When making the relevant decision, the founder should understand exactly which procedure they are implementing in relation to a particular educational institution. This will determine all subsequent actions concerning the institution and its staff,” warns Yana Brusentsova, “Decentralisation for Improved Democratic Education” DECIDE National Expert on Local Self-Government.

It should be noted that Article 32 of the Law of Ukraine “On Comprehensive Secondary Education” grants the founder the right to decide on the establishment, reorganisation, liquidation, or re-profiling of an educational institution. Each of these legal procedures has its own grounds, procedure, and legal consequences. However, in practice, the two most common procedures – reorganisation and re-profiling – are often mistakenly treated as equivalent.

The legal boundaries

Re-profiling means that the institution continues to operate as the same legal entity, but with a change in the type or level of education. The legal entity does not terminate its activities, and its EDRPOU code remains unchanged. The founder amends the articles of association and, where necessary, the name and licensing documents. This is usually where the legal part of the procedure ends.

Reorganisation is used when a legal entity terminates its activities, or when a new entity is created, when several institutions merge, when one entity is split into several legal entities, or in the event of an acquisition or other forms provided for by law. In such cases, issues arise related to legal succession, the registration of new licences, bank accounts, personnel documents, and other legal procedures.

Therefore, it is legally incorrect to use the term “reorganisation” in documents if the same legal entity continues to exist after the relevant decision has been taken. Even though, in everyday communication, it is used as a general term for any changes.

Four typical scenarios of transformation

In practice, communities most often encounter the following models of transformation of the education network.

• School I-III levels become an academic lyceum.

This involves a re-profiling with a change of licence. The institution remains the same legal entity, retains its EDRPOU code, and the changes relate to the charter, name, and licensing documents.

• A gymnasium and a lyceum, which previously operated as a single legal entity, are split into separate institutions.

This is a reorganisation by division. Two legal entities are created, each of which requires its own charter, licence, bank accounts, and principal.

• Several schools are merged into a single lyceum.

This is a reorganisation by merger. The previous legal entities are terminated, and a new institution is established with its own charter and licence.

• A school becomes a branch of another educational institution.

In this case, the legal entity is terminated, and educational activities are performed through the main institution. This is also a form of reorganisation.

However, despite the variety of scenarios, the main rule remains the same: if the same legal entity continues to exist after all the changes, it is a re-profiling. If it is terminated or a new one is created, it is a reorganisation. Therefore, the draft decision of the founder should be prepared taking this factor into account.

If the founder opts for a re-profiling, the procedure is simplified: amending the charter, approving the amendments by a resolution of the council, notifying the licensing authority, and registering the changes with the Unified State Electronic Register of Legal Entities (EDEBO). In the event of reorganisation, the community initiates the full set of procedures for the termination or establishment of legal entities in compliance with the Civil Code of Ukraine. The basic requirements for both procedures are set out in the Law of Ukraine “On Comprehensive General Secondary Education” and the Regulations on Lyceums.

However, identifying the correct procedure is only part of the story. The experience of communities already undergoing transformation shows that legal precision is a key factor, but often not the most challenging one. Ensuring communication with residents is no less important. Here are two examples – different in context, but similar in their conclusions.

Myronivka community: how unnecessary legal procedures were avoided

Myronivka community in Kyiv region approached the transformation of its network through optimisation and the differentiation of educational levels. Instead of renaming or liquidating schools, the community focused on establishing capable academic lyceums and downgrading certain schools – primarily those where it was impossible to maintain a specialised curriculum due to low enrolment.

The community sought to establish strong institutions with modern specialised education whilst retaining its teaching staff. It therefore opted for a re-profiling mechanism that involved changing the types of institutions. Alongside the creation of academic lyceums, certain schools continued to operate as gymnasiums. In other words, they managed to avoid the dissolution of legal entities and all the related procedures.

Communication with local residents proved crucial. The community leadership and representatives of the education department did not merely submit the decision for consideration at a council meeting. Even before it was adopted, they organised meetings in virtually every locality.

The communication centred on a simple argument: the community is committed to ensuring children’s right to a quality specialised education. In this context, maintaining senior classes with only a few students hinders the achievement of this goal.

Parents were shown statistics on the results of the National Multidisciplinary Test (NMT) and the External Independent Testing (ZNO), the opportunities offered by large lyceums were compared with those of under-enrolled schools, and explanations were provided as to why specialised education requires a larger number of students, teachers, and resources. Simultaneously, the community offered teachers options for employment and organised transport, thereby significantly reducing the level of internal resistance.

Bohorodchany community: different solutions are needed

Whilst reviewing its school network, Bohorodchany community in Ivano-Frankivsk region faced another challenge – it needed to establish an academic lyceum based on a local school and determine the future model for the surrounding schools.

The community did not apply a uniform solution for all. For some under-enrolled schools, reorganisation was chosen through merger, with these schools subsequently operating as branches. Larger schools, on the other hand, were converted into gymnasiums without terminating their legal status. This approach complied with legal requirements and alleviated fears of mass redundancies and the loss of institutional identity.

Investment proved to be the strongest argument in favour of the changes. Resources began to be concentrated where the quality of education could be realistically improved. At the Oleksa Hirnyk Lyceum No. 1 in Bohorodchany, modern STEM classrooms were opened, an inter-school resource centre for the subject “Defence of Ukraine” was established, and students were offered new study programmes – ranging from information technology to military and sports specialisations.

The community realised that the concept of “transformation” is not the same as “downsizing” or “reduction”.

How to explain changes properly

In Bohorodchany community, the changes began with open communication. Round-table discussions were held involving teachers, parents’ committees, councillors, and heads of schools.

Residents were shown proposed school bus routes, financial projections, and plans for development. Public discussion of draft decisions before they were tabled at council meetings went a long way towards allaying fears and focusing the debate on the main issue – how to provide children with a better quality of education.

‘I believe it is inappropriate to use the topic of rural schools for electoral publicity. It is easy to say, “You are destroying the village, the school, our future”, but we need to take a systemic view: what is in the children’s best interests? It is better for them to study in a quality, modern environment than in a small school with limited resources,’ says Rostyslav Zaremba, Head of Bohorodchany community.

The experience of Bohorodchany community shows that the transformation of the school network does not involve uniform solutions. The main thing is that every decision should correspond to the actual situation, the requirements of the law, and the interests of schoolchildren.

The legal distinction between re-profiling and reorganisation seems like a mere formality only at first glance. In reality, the scope of the community’s subsequent actions, the timeframe for implementing decisions and the level of organisational risks all depend on the correct definition of the procedure.

Myronivka and Bohorodchany communities have chosen different models of transformation, but they are united by a commitment to legal rigour as a tool for effective governance. Successful reform begins not with a change of name, but with the correct choice of procedure.

Detailed procedures are specified in the Law of Ukraine “On Comprehensive General Secondary Education” and the updated Regulations on Lyceums, approved by the Cabinet of Ministers of Ukraine.

The main message

So, when the phrase ‘The school needs to be reorganised’ is voiced at a local council meeting, it is worth asking, ‘Is this really about reorganisation?’

The correct answer will help avoid excessive bureaucracy, conserve resources, and focus on what matters most – quality specialised education for Ukrainian children.