Districts (Kreise) form the second and lowest level of territorial administration in Germany, with 397 districts covering the entire country. These include 294 rural districts (Landkreise) and 103 urban districts (kreisfreie Städte), which are cities that perform both municipal and district functions. Districts serve as an intermediate tier between state governments and municipalities, responsible for public services that exceed the capacity of individual towns and villages. Their administrative duties typically include operating hospitals, managing secondary schools, maintaining district roads, providing social welfare services, issuing vehicle registrations, and overseeing building permits. Each rural district is governed by a directly elected district council and an executive administrator (Landrat), while urban districts integrate these responsibilities into their city government structure.