Abstract: The objectives of this research were to explore the obstacles/problems of local health security fund management in Maung district, Phrae province investigate the key of success in managing Local Health Security Fund (LHSF) in Maung district, Phrae province and evaluate the potential development of Local Health Security Fund Committees (LHSFC) in Maung district, Phrae province. This study was a qualitative research. A Participatory Action Research process (PAR) was used to promote community-based health care management to be caring partners for their self-health care management with self-reliance. Data were gathered from both qualitative and quantitative methods. Focus group and interviews with the representatives of relative government and non-government organizations were used to collect the qualitative data. Self appraisal evaluation about the potential development of LHSFC in Maung district, Phrae province was collected as the quantitative data. Total 120 stakeholders were purposive sampling from chief executives of the SAO, chief executives of the SAO, public health officers, assessors of LHSF and LHSFC in C and B level from seven sub-districts surrounding Maung district, Phrae province. The study revealed two urgent problems of LHSFC among lacking of knowledge and understanding for conducting Strategic Route Map (SRM) and lacking of knowledge and understanding for operating action plan to promote health care in each area. Moreover, nine key factors of success in LHSF’s management in Maung district, Phrae province were revealed. They were the factor of partnership and networks participation from all sectors; the factor of monitoring and evaluation with continuously; the factor of community participation in conducting action plan; the factor of strategic route map conducting; the factor of understanding in role of LHSFC and managerial process; the factor of communication channel which rapid and accessible; the factor of learning exchange and field trip study from the best practice of LHSF’s management; the factor of the visionary leaders and the factor of LHSFC’s potential development annually. The results of LHSFC’s potential development found that LHSFC had knowledge and understanding increased after training. The difference was statistically significant at 0.000 confidence level of 99% (p<0.01) both of the strategic route map training and the action plan training.