Municipal centers of government

Reviving Philadelphia: Using the Hud Section 108 Program to Create a Loan Pool for Economic Development, 1993 – 2000

Author
Hilary Duff
Focus Area(s)
Country of Reform
Translations
Abstract

In 1995, Philadelphia, a city on the East Coast of the United States, pioneered a unique use of a long-running federal loan program to bolster economic development and create jobs for low-income communities. Conceived by elected officials and economic development staff and championed by an ambitious mayor, the novel approach employed a lesser-known component of the US Department of Housing and Urban Development’s Community Development Block Grant program known as a Section 108 loan guarantee. Philadelphia established the nation’s first citywide loan pool funded by the Section 108 program and became a model for other communities wishing to undertake similar projects. This case is the first in a series on financing local housing and economic development initiatives.

Hilary Duff drafted this case study based on interviews and research conducted in Philadelphia during November and December 2022. This case is part of a series about using the U.S. Department of Housing and Urban Development’s Community Development Block Grant program effectively. The views expressed in the case study do not necessarily represent those of the Department of Housing and Urban Development. Case published in April 2023.

Defending the Environment at the Local Level: Dom Eliseu, Brazil, 2008–2014

Author
Maya Gainer
Country of Reform
Abstract

A former center of the timber industry in the Brazilian Amazon, the municipality of Dom Eliseu had built its economy around deforestation—much of it illegal. In 2008, as part of a strategy to enforce the country’s environmental policies, the federal Ministry of the Environment included Dom Eliseu on a list of the worst violators of deforestation laws. The blacklist cut off residents’ access to markets and credit and made the municipality the target of intensive law enforcement. To get off the blacklist, the community had to overcome a collective-action problem. The local government had to persuade the owners of 80% of private land—more than 1,000 properties—to map their property boundaries, declare the extent of deforestation, enter their properties in the state environmental registration system, and adopt more-sustainable methods of production. The municipality also had to build the capacity to take on new responsibilities for environmental protection—most important, environmental licensing, which would enable the local government to regulate land use. With support from nongovernmental organizations and the state, Dom Eliseu successfully coordinated private compliance with the national policy and left the blacklist in 2012.

 

Maya Gainer drafted this case study based on interviews conducted in Belém and Dom Eliseu, Brazil, in September 2014. This case was funded by the Norwegian Agency for Development Cooperation in collaboration with the Science, Technology, and Environmental Policy program at the Woodrow Wilson School of Public and International Affairs. Case published March 2015.

Controlling Deforestation in the Brazilian Amazon: Alta Floresta Works Towards Sustainability, 2008-2013

Author
Rachel Jackson
Focus Area(s)
Country of Reform
Abstract

In the early 2000s, the municipality of Alta Floresta was part of Brazil’s Arc of Fire, a curving frontier of communities whose residents were clearing old-growth forests in the Amazon region so they could graze livestock, harvest timber, or cultivate crops. In 2008, the federal government cracked down on deforestation and pressured local governments to implement national environmental regulations. It created a blacklist of municipalities that were the worst violators of deforestation laws. Alta Floresta, as one of the 36 municipalities on the list, was thrust into an unfavorable national spotlight, cut off from access to rural agricultural credit, and its ranchers embargoed from selling their cattle to slaughterhouses. To get off the list, the municipality had to convince the owners of 80% of privately held land—more than 2,500 owners in all—to register their property, map property boundaries, declare the extent of deforestation, and agree to restore any illegally degraded or deforested areas within 10 years. Making compliance feasible for local ranchers meant that the municipal government had to promote more efficient agricultural production and provide opportunities for alternative livelihoods. This approach protected land set aside for restoration and reduced the economic need for future deforestation. In 2012, Alta Floresta became the third municipality in Brazil to earn removal from the blacklist.
 
Rachel Jackson drafted this case study based on interviews conducted in Brazil, in March and April 2014. This case was funded by the Norwegian Agency for Development Cooperation in collaboration with the Science, Technology, and Environmental Policy program at the Woodrow Wilson School of Public and International Affairs. Case published July 2014. To learn more about national deforestation efforts, see "A Credible Commitment: Reducing Deforestation in the Brazilian Amazon, 2003-2012."

Reclaiming an Egyptian Treasure: Restoring Infrastructure and Services, Alexandria, 1997-2006

Author
Rushda Majeed
Focus Area(s)
Country of Reform
Abstract

When Mohamed Abdel Salam El-Mahgoub became governor of Alexandria in 1997, he took charge of a storied Egyptian city on the verge of collapse. Garbage and trash lined streets that were clogged with traffic. Roads, highways, water and sanitation systems required urgent repair. Corrupt municipal employees exacted costly bribes for business licenses and building permits. The city’s economy had slowed, as investors, put off by the city’s fading infrastructure and poor services, took their money elsewhere. Alexandria’s fortunes began to turn at the beginning of a nine-year period that came to be called “the Mahgoub era.” Determined to restore the city’s greatness, Mahgoub encouraged citizen participation, formed alliances with key groups, and won public support via high-visibility projects.  He made government more business-friendly by tackling corruption that inflated the price of required documents, and he lured back investors with tax incentives and improved infrastructure. During his nine years in office, Mahgoub saw Alexandria’s economy bloom, fueled by construction projects and an improved business climate. Although some reforms lost momentum when Mahgoub was promoted to a cabinet position in 2006, his accomplishments as governor underscored the value of citizen participation in Egypt’s centralized government.

 
Rushda Majeed drafted this case on the basis of interviews conducted in Cairo and Alexandria, Egypt, in October and November 2010. Sarah El-Kazaz contributed. Case published April 2012.
 
Associated Interview(s):  Mohamed Hanno, Mahmoud Mohieldin

Rebuilding Public Confidence Amid Gang Violence: Cape Town, South Africa, 1998-2001

Author
Richard Bennet
Focus Area(s)
Core Challenge
Country of Reform
Abstract

Violence in neighborhoods on the outskirts of Cape Town, South Africa, escalated in the late 1990s. In areas like Manenberg and Hanover Park, gangs dominated community life, interrupted the delivery of public services, and in some instances threatened civil servants working in housing offices, medical clinics, and libraries. Following the African National Congress’s victory in the first democratic local government elections in 1996, city officials sought new ways to reduce the impact of the gang presence on the delivery of community services. Ahmedi Vawda, executive director of the Directorate of Community Development (called ComDev), and his team thought that the only ways to succeed were to build confidence among residents—thereby increasing their resolve in standing up to the gangs—and to lower the attraction this way of life had for young people. By giving a greater voice to residents, including greater discretion over service delivery, the team hoped to build social capital and gradually enlarge the space under public control. The ComDev team mapped the economic and social challenges facing the most-vulnerable communities and created Area Coordinating Teams (ACTs) that enabled local organizations to play major roles in governance. These forums increased community understanding of local government responsibilities—along with the community’s role in development—by identifying areas where municipal funding could support community initiatives. Although the ACTs did not take direct action against the gangs, in the neighborhood of Manenberg they provided a space for local participation in development projects and laid the foundation for progress by soliciting local feedback for city services, by asserting the presence of government in previously insecure areas, and by restoring a degree of community confidence.

 Richard Bennet drafted this case study on the basis of interviews in Cape Town and Pretoria, South Africa, in March 2011. Case published May 2012.

Palermo Renaissance Part 1: Rebuilding Civic Identity and Reclaiming a City from the Mafia in Italy, 1993-2000

Author
Laura Bacon and Rushda Majeed
Country of Reform
Internal Notes
1.22.13 new draft includes corrected links and Palermo titles as well as new reader feedback language.
Abstract
In 1993, Palermo residents elected Leoluca Orlando mayor with 75% of the vote. At the time of Orlando’s election, a series of assassinations of high-level anti-Mafia leaders had left the city reeling. For decades, the Sicilian Mafia had held a strong political, cultural and physical grip on the city. Orlando’s election affirmed that voters wanted him to continue what he had begun but couldn’t complete during his first mayoral term (1985–1990): to purge the government of Mafia influence and help restore Palermo’s cultural and economic vibrancy. Prior mayors had tolerated or assisted Mafia activity while the city center deteriorated, cultural life and business activities dwindled, and the education system weakened. Backed by a national crackdown on organized crime, the mayor used his second and third terms in office (1993–1997 and 1997–2000) to engage civic groups and businesses in revitalizing Palermo. By the time Orlando left office in 2000, his administration had renovated or reacquired hundreds of public buildings and monuments, built a cultural center and founded a downtown concert series, kick-started entrepreneurial activity and tourism, built dozens of schools and integrated civic consciousness into classrooms. Those actions helped reawaken civic pride. Although subsequent city administrations abandoned or rolled back many of the reforms, Orlando’s administration helped define and lead a “Palermo Renaissance.”
 
Laura Bacon and Rushda Majeed drafted this case study based on interviews conducted in Palermo, Italy, in March 2012. Aldo Civico, assistant professor in the department of sociology and anthropology at Rutgers University and cofounder of the International Institute for Peace, provided initial ideas and guidance on this case. Roberto Pitea, Valentina Burcheri, and Brian Reilly provided research assistance. Case published September 2012.
 
Two companion case studies address simultaneous reform efforts in Palermo from 1993 to 2000: “Palermo Renaissance Part 2: Reforming City Hall” focuses on the city’s budget, taxes, one-stop shop for licenses and documents, and citizen outreach. “Palermo Renaissance Part 3: Strengthening Municipal Services in Palermo” details efforts to improve service delivery, management, hiring, and bidding processes in Palermo’s water, gas, transportation, and waste management services. 
 

Palermo Renaissance Part 2: Reforming City Hall, 1993-2000

Author
Rushda Majeed and Laura Bacon
Country of Reform
Internal Notes
1.22.13 uploaded new drafts that include corrected titles and Palermo links as well as reader feedback language.
Abstract
In 1993, Palermo, Italy, mayor Leoluca Orlando launched an ambitious strategy to reclaim a city from Mafia-related corruption and violence. To move projects forward, however, he had to overcome several obstacles. Nepotism and patronage had created a mismatch between the skills available and the talents required to run the city effectively. Municipal offices lacked adequate records, and information retrieval was difficult and time-consuming. City finances were in shambles. And citizens did not trust the government to get things done and deliver services. Using a landslide electoral victory as an opportunity for major institutional change, Orlando and his cabinet members worked with community leaders to develop a “culture of legality” by cutting the Mafia out of government transactions and transitioning the city from norms of secrecy and bribery to norms of transparency and respect for rules. The administration improved records management, built administrative capacity in key departments, improved budget processes and expanded revenues, increased efficiency and tackled corruption, and started to rebuild the social contract between government and citizens. Those reforms earned Palermo multiple awards, as well as a strong first-time rating (Aa3) from ratings company Moody’s Investors Service. Although some gains slipped after Orlando left office in 2000, his reforms weakened the Mafia’s hold over government. This case study recounts Orlando’s reform efforts at city hall from 1993 to 2000.
 
Rushda Majeed and Laura Bacon drafted this case study based on interviews conducted in Palermo, Italy, in March 2012. Aldo Civico, assistant professor in the department of sociology and anthropology at Rutgers University and cofounder of the International Institute for Peace, provided initial ideas and guidance. Roberto Pitea, Valentina Burcheri, and Brian Reilly provided research assistance. Case published September 2012.
 
Two companion case studies address simultaneous reform efforts in Palermo from 1993 to 2000. “Palermo Renaissance Part 1: Rebuilding Civic Identity and Reclaiming a City From the Mafia” focuses on the restoration of public spaces, arts and culture, tourism, and schools. “Palermo Renaissance Part 3: Strengthening Municipal Services” details efforts to improve service delivery, management, hiring, and bidding processes in Palermo’s water, gas, transportation, and waste management services.
 

Palermo Renaissance Part 3: Strengthening Municipal Services, 1993-2000

Author
Rushda Majeed and Laura Bacon
Country of Reform
Abstract
In 1993, Palermo, Italy, mayor Leoluca Orlando took charge of city services that were on the verge of collapse. Garbage and trash lined the streets of the city. Natural gas for cooking and heating was available only intermittently, and public buses rarely ran on time. The municipality rationed water during the day. The city’s four municipal companies for waste disposal, natural gas delivery, public transportation, and water had deteriorated during decades of mismanagement and corruption. The Mafia’s hold over the companies’ public works and procurement contracts contributed to massive waste of tax money and other resources. But Palermo’s fortunes began to turn at the beginning of a seven-year period known as Palermo’s Renaissance (1993–2000). Orlando hired competent managers and gave them broad leeway to root out corruption and fix operations and finances. Under the new managers, the companies expelled Mafia-linked companies from contracts, implemented stronger control and supervision procedures, and sharply improved the quality of service for Palermo’s citizens and businesses. Although public transportation and garbage collection services slipped when Orlando left office in 2000, Palermo’s upgraded gas and water systems continued to serve the entire city. This case study recounts Orlando’s efforts to rebuild municipal companies and improve the provision of public services.
 
Rushda Majeed and Laura Bacon drafted this case study based on interviews conducted in Palermo, Italy, in March 2012. Aldo Civico, assistant professor in the department of sociology and anthropology at Rutgers University and cofounder of the International Institute for Peace, provided initial ideas and guidance on the cases. Roberto Pitea, Valentina Burcheri, and Brian Reilly provided research assistance. Case published November 2012.
 
Two companion case studies address simultaneous reform efforts in Palermo from 1993 to 2000. “Renaissance in Palermo, Italy, Part 1: Rebuilding Civic Identity and Reclaiming a City from the Mafia in Italy,” details the restoration of public spaces, arts and culture, tourism, and schools. “Renaissance in Palermo, Italy, Part 2: Reforming City Hall,” focuses on the city’s budget, taxes, one-stop shop for licenses and documents, and citizen outreach.
 

David Escobar

Ref Batch
J
Ref Batch Number
6
Country of Reform
Interviewers
Matthew Devlin
Name
David Escobar
Interviewee's Position
Campaign Manager, Secretary to Sergio Fajardo, former mayor of Medellín
Interviewee's Organization
Colombia
Language
English
Nationality of Interviewee
Colombian
Town/City
Bogotá
Country
Date of Interview
Reform Profile
No
Abstract

David Escobar describes his role as private secretary to Medellín Mayor Sergio Fajardo and his strategy for reducing violence and bringing about improvements to the city’s complicated problems. He relates how the mayor introduced a package of social interventions such as education, health, public works, and urban transformation. He also describes the process of tackling corruption and getting a development plan approved by the City Council. He specifically highlights the importance of City Hall’s public communication program. He recalls efforts to work with the teachers to implement education reform rather than making demands or ostracizing them. Escobar lists four qualities that he looked for in his staff: knowledge, honesty, social sensitivity, and passion. He describes a process of prioritization, whereby the mayor chose to focus on 13 large projects and develop a simple monitoring system to ensure their completion, instead of pursuing many smaller ones.

Case Study:  From Fear to Hope in Colombia: Sergio Fajardo and Medellín, 2004-2007

Profile

At the time of this interview, David Escobar was manager of Sergio Fajardo’s presidential campaign in Colombia. Previously, he served as private secretary during Fajardo’s mayoral administration in Medellín. During that time, he led the office that controlled and directed strategic projects. He also served as the de facto chief of staff.

Full Audio File Size
33.2MB
Full Audio Title
David Escobar- Full Interview

Bola Tinubu

Ref Batch
D
Focus Area(s)
Ref Batch Number
13
Country of Reform
Interviewers
Graeme Blair
Name
Bola Tinubu
Interviewee's Position
Former Governor
Interviewee's Organization
State of Lagos, Nigeria
Language
English
Nationality of Interviewee
Nigerian
Town/City
Lagos
Country
Date of Interview
Reform Profile
Yes
Abstract
Bola Tinubu, former governor of the state of Lagos in Nigeria, reflects on his administration’s successes in reforming the civil service, reducing corruption, and improving state infrastructure.  He details the process he went through to reform the state government, from the waste management system to financial mismanagement within the public sector.  Tinubu lays out the steps he took to improve incentives for civil servants, including salary increases, improving quality and hygiene of working environments, and teaching investment principles and how to work toward home ownership.  His payroll-system reforms removed thousands of ghost workers from the system.  Tinubu explains how he applied principles he learned in the corporate world to the public sector reform effort.  Tinubu also details the steps he took in removing endemic corruption in the public sector, which included eliminating cash payments to the government.  He discusses how he brought back expatriates to improve the hospitals and transportation system.  He also touches on the difficulties in working with a federal government that sometimes undermined reform efforts.
 
Profile
Bola Tinubu served as governor of the state of Lagos from 1999 to 2007, during which he initiated reforms that improved the efficiency of the civil service and improved infrastructure.  He served from 1992 to 1993 as a senator until the end of the Nigerian Third Republic.  Prior to entering politics he worked in the private sector for companies including Arthur Andersen and Deloitte, Haskins, & Sells.  He was also an executive of Mobil Oil Nigeria.  After Tinubu left politics, he became active in negotiations to unite Nigeria’s opposition parties and in pushing for electoral reforms.   He earned a bachelor’s degree from Chicago State University in business administration in 1979.  He holds the tribal aristocratic title of asiwaju, given to him by the Oba of Lagos, who holds a ceremonial position as traditional leader of the state of Lagos.
Full Audio File Size
71 MB
Full Audio Title
Bola Tinubu - Full Interview