Meeting Everyday Challenges in Rural Communities: Understanding 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@alcor.concordia.ca

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?

Meeting local needs… Municipalities shape the… Built environment Local economy Social order

Our hypothesis Greater discretion Autonomy Better able to meet local needs

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

Our hypothesis Greater discretion Autonomy Better able to meet local needs

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

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

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

Case study 1: Use of discretionary power & capacity Conditions: Input from citizens Increases in local revenues Higher levels of expertise and resources

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

Discretion without resources: 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

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

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

Meeting Local Needs… Discretion is important The use of discretion is dependant on: legislative autonomy Funding local resources local support

Meeting Everyday Challenges in Rural Communities: Understanding 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@alcor.concordia.ca