Urbanization and Urban Management

Keynote Presentation

Dr. Lubomir Antonia Ficinski Dunin
Secretary of Urban Development and Superintendent of Paranacidade, the State of Parana, Brazil

The next century will continue to witness urbanization as a worldwide phenomenon occurring particularly in developing countries. With the rapid growth of many urban economies, and the attendant increase of urban population and demand for urban services, the issue of urban management becomes critical to the success of sustainable urban development. Lubomir Ficinski Dunin introduced the famous "Parana Success"--an innovative urban management program in the state of Parana, Brazil--which may serve as an example of how innovations may contribute towards urban development when local municipalities are often constrained by limited financial resources and a shortage of skilled personnel. He highlighted two key factors in Parana's success: strong political support, and an efficient institutional framework.

Fiscal Resources for Urban Management

Dr. Paul Smoke
Massachusetts Institute of Technology, School of Urban Planning

How to set up a relationship between central and local government that will facilitate the urbanization step rather than impede it? What should be the role of central government? What is the rational for decentralization? In his presentation on Intergovernmental Relations-Functions and Fiscal Resources of Central and Local Government, Revenue Sharing and Transfers, Professor Smoke explored these questions from the perspective of intergovernmental fiscal relations. He discussed the function and fiscal resources of central and local government, the gradual devolution of responsibility from central to local authorities through capacity building, and the use of grants and loans as tools of adjusting intergovernmental relations. He also introduced the case of Kenya, which is in the first phase of local government reform. While there is no single path to success in decentralization, the Kenyan experience offers many lessons.

Dr. Hugh Evans
University of Southern California, School of Policy, Planning, & Development

In many countries, local governments are struggling for greater autonomy and increased fiscal resources. In his presentation, Enhancing Revenue Generation, Dr. Evans reviewed potential sources of locally generated revenues, and suggested ways in which local governments might increase revenues from these sources, such as property and vehicles taxes, user charges and improvement levies. He first analyzed the reasons of deterioration in urban services from both the demand and the supply side. Then he addressed two facets to the issue of strengthening the local fiscal base and increasing revenue collection. On the technical side, he explained eight criteria for assessing alternative revenue sources, and the merits/demerits of each. On the political side, he underscored the importance of mobilizing broad support for fiscal reform from taxpayers, beneficiaries, and the local community.

Dr. Pachampet Sundaram
Ex Joint Secretary to Government of India in Charge of Housing and Urban Services

Efforts to decentralize in New Bombay were described by Dr. Sundaram. There, local government has the power to determine the budget and spending, approve land re-adjustment projects, and plan services to be provided in the metropolitan area. However, the central government still has a decisive role in the urban management process, and provides the lion's share of local financial resources through central transfers. He argued that the next step in local reform should focus on strengthening local fiscal capacity.

Local Governance and Civil Society

Mr. Marvin Braude
University of Southern California, School of Policy, Planning, & Development

In his talk on American Local Governments, Marvin Braude, first succinctly described the important role that local governments play in the functioning of democracy and in the provision of public services in the United States. He explained decision-making structures and administrative capabilities of the City of Los Angeles to meet the expectations of an increasingly diverse and demanding population. Filled with detailed information and numerous anecdotes that reflect his decades of experience as a City Councilman, Prof. Braude's talk highlighted some of the main challenges and opportunities that practitioners and policy makers face in creating and sustaining an effective local governance system in a metropolitan area.

Urban Service Delivery

Dr. Penelope Brook Cowen
World Bank

In her presentation on Private Sector Roles in Delivering Public Services--Policy, Provision and Production, Penelope Brook Cowen addressed the Why's, What's and How's of private sector involvement in urban services delivery. She emphasised the creation of an optimal match between the objectives that cities might pursue through private sector participation, and the various options that are available to them. Citing case examples from as such diverse areas as Mexico City, Guinea, Hong Kong, she provided the participants with the nuts-and-bolts of the design and implementation of private sector arrangements.

Dr. Laurence Hannah
World Bank

In his presentation on Housing Policy--Matching Supply with Demand, Enabling the Poor to Acquire Shelter, Lawrence Hannah first talked about the key indicators of housing sector performance, and explained why and how better housing matters for urban development. He provided an overview of how thinking on housing policy evolved from a "basic needs" perspective in the 50s and 60s, to an "enabling approach" in the 80s. The latter perspective, he stressed, views the role of government in housing not as producing or allocating, but as facilitating the actions of other actors. In such a view, he explained, governments are expected to utilize an integrated array of policy and lending instruments to stimulate demand, facilitate supply, and manage the housing sector as a whole. Supported with illustrative examples from around the world, his presentation described the Do's and Don'ts in enabling markets to work.

Real Estate Development and Urban Management

Dr. Koichi Mera
University of Southern California, School of Policy, Planning, & Development

The recent Asian financial crisis is a reflection, at least partially, of a failure in urban management. In a presentation filled with rich illustration and data, Professor Mera provided a systematic analysis of the relationship between real estate development and urban management. He talked about the conditions for the emergence of a real estate boom and its characteristics and consequences in developed countries. Using Japanese experience as an example, he discussed the linkage between land price and the economy, and raised the question of how government should intervene in the property market to promote rather than undermine the economy.

Dr. Frank Schnidman
Attorney At Law, Former Director of Graduate Program in Real Property Development, School of Law, University of Miami

Fragmented land ownership often creates severe obstacles to urban redevelopment. Accordingly, land readjustment, also known as land consolidation or land pooling, has been used as an important tool to overcome this problem in urban development. Frank Schnidman introduced the concept and worldwide practice of land readjustment techniques. Using a number of rich media tools, he illustrated procedures and principles in applying this technique for urban development and redevelopment in the belief that "land readjustment allows local authorities to do more with less money". He emphasized that the practice of land readjustment in different countries or regions should not simply replicate examples from elsewhere but rather should adapt these principles to the particular local context.