46th Congress of the European Regional Science Association: "Enlargement, Southern Europe and the Mediterranean", August 30th - September 3rd, 2006, Volos, Greece
The district authorities were canceled and substituted by self-governments branch offices after the public administration reform in the Czech Republic. So-called municipalities with extended sphere of authority were proposed for placing of branch offices. These branch offices were chosen regardless of their transport availability. The article deals with the problem of determination of optimal number of branch offices and of their attract areas, from view of their transport availability. The problem is solved with the methods of mathematical programming. The problem was by the help of Lagrange multiplicator converted to incapacitated location problem with criterion function sum(fyi)+sum sum (cij xij) where xij is arbitrary variable expressing whether the municipality j is allocated to the branch office i, cij is a coefficient representing distance from branch office i, weighted with population of the municipality j, yi is bivalent variable expressing whether in the municipality will be established the branch office and f is constant presenting branch office establishment costs. Model is solved with Erlenkotter method realized by the help of BB dual algorithm.