In the search for an adequate set of indicators to measure the level of pro-rural aspirations of Local Governments (LG), the main existing approaches to endogenous development have been examined. However, the conclusion must be that none of them seem to fit the needs completely. For this reason, a new index, the Municipal Rural-Sensitive Index (MRSI), has been developed, representing the base for the Rural Sensitive Evaluation Model (RSEM). The MRSI integrates the key features of the LEADER (Liaison Entre Actions de Développement Rural) philosophy, consisting of 41 rural-sensitive indicators, grouped into 3 categories and 7 sub-categories. The resulting MRSI scores allow a quick comparison between LGs, show changes over time and assists in establishing a framework for institutional and guided rural development advancing towards set standards. This paper outlines the development of the RSEM and methods of use, including the calculation methodology. It also shows the main features of the RSEM as demonstrated from its application to test cases.