MEASURABLE OBJECTIVES FOR PUBLIC SERVICES: THE EXPERIENCE OF THE 2007-2013 PERFORMANCE RESERVE IN SOUTHERN ITALY IOLANDA ANSELMO – SIMONA DE LUCA Ministry of Economic Development DG REGIO EVALUATION NETWOR MEETING BRUSSELS, 14-15 OCTOBER 2010

Description of the scheme The role of indicators, monitoring and evaluation From a performance reserve to a programming practice?

2007-2013 performance reserve rewarding final policy results: indicators really matter 11 statistical indicators on provision and quality of Education Child and elderly care Water service Waste management Targets are set at minimum standard (the same for all Regions) Indicators and targets drive programs and implementation (action plan, integration of different financial sources and policies) 3 billion Euros assigned to eight Southern Regions if quantified targets are met in 2013 (reward for each target fulfilled) A share of the resources is assigned in 2009 on the basis of the improvements from the baseline (640 million Euros) Resources not assigned in 2013 to Regions that don’t achieve the targets can be assigned directly to well performing municipalities in the same region and after to other better performing Regions

Regional disparities in Italy Centre- North South: 8 regions; Population 21 millions (36%)

Indicators and targets

The picture in 2009 Gap still to be filled Baseline Improvement   Baseline   Improvement   Worsening  

Binding indicators need special attention … when choosing indicators: Official source Comparable data (across time and territories) Regional/sub-regional breakdown Data available timely and frequently … when setting targets challenging but realistic (Lisbon strategy, benchmarking with other regions) … when implementing the system Guarantee timely and sub-regional data (ad hoc agreement with statistic provider) Improve the quality of statistics (moral suasion through regional authorities and at local level to increase the response rate) Make clear and transparent the meaning of indicators (methodological notes and workshops with statistic provider) Regular update and diffusion of data on the website (including innovative tools)

Monitoring: feedback on action and transparency Every year: data indicators updated (most with sub regional breakdown) + Reports from the regional administrations Technical group (central and regional administrations, statistical national institute ISTAT) use data and report to promote corrective actions (other than guaranteeing the correct implementation of rules) All data and reports on the web-site

Evaluation challenges Monitoring statistical indicators and actions is not enough to assess the progress in well being of citizens More in-depth assessment is needed to drive action Main challenges: Issues not covered by indicators (e.g. integration between social and health services to elderly people) Quality of services (e.g. sea water pollution) Cost of services (sustainability)

Lessons for the future 1 Reward device is not sufficient without clear identification of responsibilities and strong engagement of citizens So far... specific commitments at all levels identified (regional action plans, technical assistance project by line Ministries) local incentive scheme introduced relevant investment to guarantee soundness and transparency of rules and indicators However ... still limited commitment at political level difficult integration between policies need to increase engagement of citizens

Lessons for the future 2 From a reward scheme to a result driven programming practice: binding programs to indicators can work Conditioning financing to the achievement of results (stick) is a much stronger incentive than rewards (carrot) Binding programs not only to final results: need to introduce intermediate steps to be monitored together with statistical indicators

THANK YOU! iolanda.anselmo@tesoro.it simona.deluca@tesoro.it http://www.dps.tesoro.it/obiettivi_servizio/eng/ml.asp http://www.dps.tesoro.it\DPSeXplorer