Meeting Everyday Challenges in Rural Communities: Understanding the role of discretion in municipal financial management

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Meeting Everyday Challenges in Rural
CommunitiesUnderstanding the role of discretion
in municipal financial management

• Presenters Becky Lipton, Victoria Hagens
• Authors Victoria Hagens, Becky Lipton, Benoy
  Jacob, and Bill Reimer
• Contact r_lipton_at_alcor.concordia.ca

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Meeting local needs
Challenges to local government ?
How do local governments innovate?
How can innovation be enhanced?
How does governance differ between rural and
urban?
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Meeting local needs
Municipalities shape the
Built environment
Local economy
Social order
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Our hypothesis
Greater discretion
Autonomy
Better able to meet local needs
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Discretion

• Range of choices available
• Freedom to innovate
• Implies some level of autonomy

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Our hypothesis
Greater discretion
Autonomy
Better able to meet local needs
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Constraints on discretion

• Provincial level constraints
• Regulations (initiative autonomy)
• Funding
• Local level constraints
• Resources (skills, expertise, tax levels)
• Local support

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Methodology

• 4 case studies
• 2 Ontario
• 2 Saskatchewan
• Examination of provincial legislations
• Interviews
• administrators
• politicians

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Case study 1
Use of discretionary power capacity
Lawrencetown
Shannon
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Case study 1
Use of discretionary power capacity

• Conditions
• Input from citizens
• Increases in local revenues
• Higher levels of expertise and resources

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Case study 2
Discretion without resources the role of
autonomy
Hampsen
Hollow Corner
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Case study 2
Discretion without resources the role of
autonomy

• Lessons
• Local discretion helps mitigate fiscal stress
• Discretion and freedom from legislative
  constraints must coincide with available
  resources

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Conclusions on discretion

• Diversity in ability to use discretion
• Main constraints on discretion are lack of
  resources (staff, expertise, finances)
• Local Resources and inability to raise taxes
• Provincial Increased responsibilities without
  funding

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Conclusions on autonomy

• Autonomy is not a concern
• Legislative autonomy is sufficient
• Desire for more funding
• More autonomy does not lead to increased capacity
  without financial resources

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Meeting Local Needs

• Discretion is important
• The use of discretion is dependant on
• legislative autonomy
• Funding
• local resources
• local support

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Meeting Everyday Challenges in Rural
CommunitiesUnderstanding the role of discretion
in municipal financial management

• Presenters Becky Lipton, Victoria Hagens
• Authors Victoria Hagens, Becky Lipton, Benoy
  Jacob, and Bill Reimer
• Contact r_lipton_at_alcor.concordia.ca