Decree No. 507 of the Italian Ministry of Cultural Assets and Natural Sites regulated tickets for admission

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Decree No. 507 of the Italian Ministry of Cultural Assets and Natural Sites regulated tickets for admission to monuments, museums, galleries, archaeological digs, parks and gardens classified as "national monuments." Article 4(3) of the Decree provided for free admission to EU citizens under the age of 18 years or over the age of 65 years. However, the Decree was only applicable to national monuments and did not apply to public monuments operated by local government authorities. Examples of public monuments included tourist attractions located in Treviso, Padua, Florence, and Venice. Reduced rates for admission to public monuments were restricted to Italian nationals and persons residing within the territory of the local authority operating such monuments. Favorable admission was denied to tourists who were nationals of other member states who fulfilled the same age requirements.
Italy defended this distinction on the basis that free admission to the sites could not be granted in disregard of economic considerations with respect to the management of local cultural sights and that the national government had no authority with respect to museums and other cultural sites operated by local authorities.
The Commission challenged the distinction between national and public monuments before the European Court of Justice. It claimed that Italy permitted discrimination in violation of its treaty obligations by allowing local governments to grant advantageous conditions for admission to Italian nationals and persons resident within the territory of those authorities running the cultural sites in question and by excluding from such advantages tourists who were nationals of other member states.
1. What was the ECJ's holding with respect to Italy's claims regarding the cost to local governments of maintaining cultural attractions and historic locations?
2. What was the basis for the ECJ's decision that the Italian national government was responsible for the conduct of local governments with respect to the fees charged for admission to museums and cultural attractions?
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