corruption & patronage

A Blueprint for Transparency: Integrity Pacts for Public Works, El Salvador, 2009–2014

Author
Maya Gainer
Focus Area(s)
Critical Tasks
Country of Reform
Abstract

When Gerson Martínez became head of El Salvador’s Ministry of Public Works in 2009, the organization was notorious for corruption that contributed to poor-quality construction, unfinished projects, and frequent lawsuits. Working with a prominent nongovernmental organization (NGO) and industry representatives, Martínez introduced integrity pacts as monitoring mechanisms intended to prevent corruption. The agreements publicly committed officials and companies to reject bribery, collusion, and other corrupt practices and enabled NGOs to monitor bidding and construction. Although limited capacity and resistance from some midlevel ministry staff hindered the monitors’ work, integrity pacts focused the attention of both the government and the public on problems in major public works projects; and participants said the pacts helped deter corruption in those they covered. In 2012, integrity pacts became part of El Salvador’s Open Government Partnership action plan, in implicit recognition of the tool’s contribution to reform. As of August 2015, the ministry had signed 31 integrity pacts involving five projects worth a combined US$62 million. Although sustaining the initiative proved a challenge, integrity pacts served as a foundation for increased collaboration between government, civil society, and the private sector—and as a first step toward a new institutional culture at the Ministry of Public Works.

 

Maya Gainer drafted this case study based on interviews conducted in San Salvador in July 2015. Case published in October, 2015. This case study was funded by the Open Government Partnership.

Seizing the Reform Moment: Rebuilding Georgia's Police, 2004-2006

Author
Matthew Devlin
Focus Area(s)
Country of Reform
Internal Notes
1.4.13 ST corrected name of Open Society Justice Initiative in text.
Abstract

In 2003, the bloodless Rose Revolution ushered in an era of unprecedented reform in the Republic of Georgia.  Widespread dissatisfaction with the undemocratic and corrupt post-Soviet regime culminated in the 2004 election of Mikheil Saakashvili as president.  Riding a wave of popular support and eager to act before the political winds shifted, Saakashvili immediately targeted the corrupt police service, seen by many Georgians as the epitome of state dysfunction.  By the end of 2006, his administration had abolished a KGB-style security ministry and its related police unit, dismissed every member of the country's uniformed police and created a new police force from scratch.  By 2009, it was clear that the reformers' strategy-capitalize on public support, think boldly, act quickly and fix mistakes as they arise had produced significant progress.

Matthew Devlin drafted this case study on the basis of interviews conducted in the Republic of Georgia during May 2009. Case published May 2010.

Associated Interview(s):  Batu Kutelia, Ekaterine Tkeshelashvili

Rejuvenating the Public Registry: Republic of Georgia, 2006-2008

Author
Andrew Schalkwyk
Focus Area(s)
Country of Reform
Abstract

In the wake of Georgia’s “Rose Revolution,” Jaba Ebanoidze took charge of the inefficient Public Registry. Housed within the Ministry of Justice, the registry held information about land, property rights and titling. Work procedures within the registry were overly bureaucratic and facilitated corruption by requiring multiple stages for application processes. The reform of the agency was part of the government’s wider economic program, which sought to open the country to private investment. A well-functioning registry was a key requirement for attracting foreign investors and allowing citizens to borrow easily against the capital in their homes. By rolling out information-technology systems and emphasizing monitoring and transparency, Ebanoidze achieved reductions in both processing times and corruption.

Andrew Schalkwyk drafted this case study based on interviews conducted in Tbilisi, Republic of Georgia, in May 2009. 

Associated Interview(s):  Jaba Ebanoidze

Ingraining Honesty, Changing Norms: Government Ethics in Brazil, 1995-2004

Author
Deepa Iyer
Country of Reform
Abstract
During the 1990s, conflict of interest scandals in Brazil weakened public trust in civil servants and rendered many competitive processes like procurement, privatization and employment inefficient and ineffective. In 1999, President Fernando Henrique Cardoso created a Public Ethics Commission to confront these problems. Led by João Geraldo Piquet Carneiro, a Brazilian lawyer, the commission developed and implemented the Code of Conduct for Senior Government Officials. Piquet first focused on the upper echelons of the civil service— public sector managers and highly visible presidential appointees. For the first time in Brazilian politics, specific rules set public standards on conflicts of interest. Within 10 days of taking office, senior civil servants had to agree in writing to adhere to the code and submit forms detailing personal and family assets. Piquet and his team developed procedures for detecting and addressing violations. The commission avoided a backlash by walking a tightrope between being a watchdog and working with senior civil servants to help separate personal and public interests. By the end of Piquet’s tenure in 2004, the commission had set a precedent. According to interviewees, norms in the upper echelons of Brazil’s federal government had changed, and senior government officials no longer had an assumed impunity. However, critics noted that the commission’s success hinged on presidential support, as the commission lost much of its momentum under the administration of Cardoso’s successor, President Luiz Inácio Lula da Silva.
 
Deepa Iyer drafted this case study based on interviews conducted in Brasilia and São Paulo, Brazil, in September 2010. Case published March 2011. Case revised and republished in March 2013.
 

Strengthening Public Administration: Brazil, 1995-1998

Author
Rushda Majeed
Focus Area(s)
Country of Reform
Abstract
In 1995, when Luiz Carlos Bresser-Pereira took charge of the Brazilian ministry responsible for administration and reform, problems plagued the nation’s public sector. Laws and regulations prevented ministries and public sector organizations from working efficiently. Payrolls had ballooned because of rapidly rising retirement costs. Irregular recruitment and a lack of proper training had eroded the talent pool. Soon after taking office, Bresser-Pereira put together an ambitious plan to overhaul public administration. He proposed amending the constitution to loosen constraints on hiring and firing. At the same time, he pressed for a new model of governance that relied on restructuring ministries and public sector organizations as contract-based “executive agencies” and “social organizations.” Under his leadership, the Ministry of Federal Administration and State Reform (MARE) collected and centralized payroll and personnel data, recruited successfully to fill crucial policy and management positions, and set up regular training programs. By 1998, MARE had guided the constitutional amendment through Congress and set up pilot programs for executive agencies and social organizations. While some efforts stalled after MARE merged with another ministry in 1998, the ideas and principles put forward by its team continued to inform subsequent changes. This case offers insights into the challenges of building accountable services.
 
Rushda Majeed drafted this policy note on the basis of interviews conducted in Brasilia and São Paulo, Brazil, in September 2010.
 

Professionalization, Decentralization and a One-Stop Shop: Tax-Collection Reform in Ghana, 1986-2008

Author
David Hausman
Focus Area(s)
Country of Reform
Abstract
Between 1986 and 2008, direct tax revenue collected by Ghana’s Internal Revenue Service nearly doubled as a proportion of the country’s gross domestic product. This case study offers an account of organizational change within the IRS during that period. When the agency became autonomous from the rest of the Ghanaian civil service in 1986, its leaders recruited a large number of accountants and lawyers, raised salaries by 50%-100% and instituted a collective bonus system tied to annual revenue targets. In order to make taxes easier to pay, they delegated functions, people and equipment to local branch offices, monitoring those offices through monthly revenue reports and regular internal audits. Finally, the agency focused attention on customer service for the largest taxpayers by founding a Large Taxpayers Office. That office formed the basis for a cross-agency one-stop shop, the Large Taxpayers Unit, which allowed the 360 firms and individuals that accounted for 50%-60% of the country’s revenue to pay customs taxes, value-added taxes and income taxes in one place.
 
David Hausman wrote this case study on the basis of interviews conducted in Accra, Ghana, in January 2010.  Case published July 2011.
 

Delivering on the Hope of the Rose Revolution: Public Sector Reform in Georgia, 2004-2009

Author
Richard Bennet
Country of Reform
Abstract

Following the peaceful Rose Revolution in November 2003, Georgia President Mikheil Saakashvili and State Minister for Reform Coordination Kakha Bendukidze sought to overhaul the country’s Soviet-style bureaucracy, which had become the target of public anger. Borrowing ideas from libertarian, free-market think tanks and the New Public Management model, Bendukidze recruited a staff, eliminated redundant functions in the executive arm of government, consolidated ministries and slashed the size of the civil service. Bendukidze’s vision of limited government complemented Saakashvili’s goal of eliminating corruption by reducing opportunities for bribe taking. Although Bendukidze was instrumental in developing many of the reform policies, his office left the implementation of reforms to individual ministries. This case chronicles the steps that the Georgian government took to reorganize and consolidate its operations, capitalizing on public support in order to make rapid and bold changes.

 
Richard Bennet drafted this case study based on interviews conducted in Tbilisi, Georgia, in June 2011, and interviews conducted and text prepared by Andrew Schalkwyk in May 2009. Case published December 2011.
 

Building Trust in Government: Afghanistan's National Solidarity Program, 2002-2013

Author
Rushda Majeed
Focus Area(s)
Core Challenge
Country of Reform
Internal Notes
added to site 5/23/2014
Abstract
In 2002, the interim administration of the Islamic Republic of Afghanistan sought quick ways to expand economic opportunities for the country’s poorest rural communities and promote a sense of shared national citizenship. Afghanistan had just emerged from 30 years of devastating conflict. Standards of living were low. Younger Afghans had never lived and worked together as members of a shared political community, and some had spent most of their lives abroad as refugees. In response, a team of Afghan decision makers and international partners created a community-driven development initiative called the National Solidarity Program (NSP). The NSP provided block grants directly to poor communities and empowered villagers to use the funds for community-managed reconstruction and development. With the help of an elected village council and a civil society partner, a community chose, planned, implemented, and maintained its roads, bridges, schools, and health clinics. External evaluations found that NSP projects generally succeeded in improving villagers’ access to basic utilities and helped give a short-term economic boost to communities, although some of the other planned benefits did not materialize and project success rates varied across districts. During a period of low government capacity, the NSP was among the few programs that made a visible impact at the local level. However, the program's reliance on donor funds and outside partners raised doubts about its sustainability.
 
Rushda Majeed drafted this case study based on interviews conducted in Kabul, Afghanistan; Jakarta; New York; and Washington from August through November 2013. Case published May 2014.