some villages vesnice are parts of cities sedlec pr ice is m sto but contain two towns and small villages as municipal parts some villages are parts of big municipalities which contain several up to tens of villages some villages constitute a small one village municipality municipalities which are neither m sto nor m stys are sometimes called vesnice but that is incorrect and confusing municipalities which are neither m sto nor m stys are called simply obec municipality cities and towns are also municipalities but use the word m sto or m stys instead of obec there exists also differentiation by administrative level the first grade is simply obec the second grade is pov en obec obec s pov en m obecn m adem the third grade is obec s roz enou p sobnost most of the second grade municipalites and nearly all third grade municipalities are cities but many of smaller cities are of the first grade the biggest cities cca over inhab are titled statut rn m sto besides that some cities are seat of the district okresn m sto now only formal or seat of the region krajsk m sto in both systems of regions prague as hlavn m sto capital city have a special status