In the second reading, the Opposition criticised the Government for proposing the forming of municipalities in areas in which the ruling Croatian Democratic Union (HDZ) expected good electoral results.
"This law is nothing but political engineering," Pero Kovacevic of the Party of Rights (HSP) said.
The Opposition said that the majority of municipalities that were to be found under the bill would not have enough funds for all needs and some would not even be able to pay salaries to their employees.
"The right to local self-government units belongs to all citizens and the founding of municipalities cannot be connected with money," state secretary Antun Palaric said.
Should parliament adopt the amendments, Croatia will have a total of 125 town, 433 municipalities and the City of Zagreb.