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