1. Governing Metropolitan Areas in the 21st Century
Myron Orfield

2. Metropolitan areas are the competitive unit in the modern global economy.
Location decisions are based on evaluations of entire metropolitan housing and labor markets and transportation systems
Policies to enhance the local characteristics with the greatest impacts on economic competitiveness must be regional in scope
Transportation/Congestion
Quality of the labor force
Quality of life
Environment and amenities

3. Despite this, policy decisions in most metropolitan areas are rarely made at regional scales.
Highly fragmented local governance systems are the norm, leading to a variety of inefficiencies and inequities.
Current and on-going stimulus packages represent an enormous opportunity to promote regional governance systems.

4. Fragmentation is inefficient
Zero-sum competition unnecessary public subsidies and uneven growth patterns
Duplication of administrative functions
Lack of economies of scale (e.g. water treatment)
Spillovers inappropriate incentives in
Land use planning/sprawl/environment
Housing/affordability/segregation
Transportation/transit/vehicles miles traveled
Economic development/clustering/fiscal competition

6. Regional Governance and economic/social outcomes
The two regions with the most highly-developed multi-purpose regional governments—the Twin Cities and Portland—fare better than expected in a variety of economic and social measures

7. Fragmentation and Sprawl
More fragmented local governance
Higher ratio of urbanized land growth to population growth
But the Twin Cities fares best among highly-fragmented large metros and Portland fares among the best of the less-fragmented metros

12. Fragmentation and Segregation
More fragmented local governance
Greater degree of housing segregation
But the Twin Cities fares best among highly-fragmented large metros and Portland fares best among less-fragmented metros

19. Fragmentation and Fiscal Inequality
More fragmented local governance
Greater degree of inequality in local fiscal capacities
But the Twin Cities fares best among the highly-fragmented large metros and Portland fares among the best of the less-fragmented metros

24. Fragmentation and Job Growth
More fragmented local governance
Slower job growth
But the Twin Cities fares best among highly-fragmented large metros and Portland is among the best of the less-fragmented metros

29. The Change in administrations and the on-going economic stimulus packages create the opportunity to encourage more active regional governments by tying funding to policies and outcomes in several important dimensions:
Land use
Segregation
Job clustering
Affordable housing in high-opportunity areas
Fiscal equity
Vehicle miles traveled

30. Institutional Options
Metropolitan Planning Organizations already exist in metropolitan areas across the country and their institutional form is highly flexible. They therefore represent the most viable starting point for creating regional multi-purpose governments. Councils of Governments and county-level organizations rarely provide reasonable alternatives.

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