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Since performance assessment is vital for the management, it is important to develop a stable system for this process. That being the case, performance assessment system has been used for a long time in the private sector in Turkey. However, within the legal compulsories, it became an obligation for most of the municipalities satisfying the conditions. Performance program in the municipalities is regarded with the strategic plan which is the long term plan of a company. Performance program related with a strategic plan is the application program of the strategic plan throughout the years. In this paper, a fuzzy AHP based performance assessment system is developed for the municipalities in Turkey. First, the current performance assessment system in some of the municipalities in Istanbul is analyzed. Then, different from the current system, a new methodology including unit weighted performance score based on fuzzy AHP is developed for municipality performance score calculation. An example based on real life applications is utilized so as to validate the model.