Urban Governance and Finance

Urban Governance and Finance

Course introduction

This course will discuss and deliberate on the efforts of governments, often in partnership with other stakeholders, to influence, steer, and deliberately intervene in the development of cities. The role and responsibilities of the public, private and civil society sectors are central to the academic debate on the governance of cities. This course focuses on this academic debate and the current trends in thinking and practice related to our urban centres' governance and finance.

Course objectives

After the module, participants should be able to:

• Describe the differences between network governance theory, traditional public administration, and new public management.
• Analyse a complex decision-making process by applying the core concepts of network governance theory.
• Describe the meaning, dimensions, and objectives of urban policy, as well as the importance of the policy process and tools for implementation.
• Understand what planning is and its relevance for intervening in urban areas, and assess different approaches to planning. These values underpin them and their influence on the planning outcomes and processes.
• Discuss the key principles and elements of local government finance.
• Apply economic and financial analysis to investment projects relevant to local governments, and incorporate uncertainty and probability in decision analysis.

Course Content

The course is organized into four different components:

1. Urban Governance

Decision-making in situations of complexity. We look at theories underpinning urban governance and focus on trends to networked forms of governance. Network governance is seen as an alternative to markets and hierarchies in situations of increasing complexity and uncertainty. Government is no longer the lead actor in development but one among many. This implies a new role for government, a role in steering and managing horizontal relations.

2. Urban Policy

Policies for urban development: This component introduces the meaning of ‘policy’ and looks at what makes a policy “urban” instead of sectoral. We will discuss the impact of changing concepts (for example, integration, decentralization, participation, and neo-liberal approaches) on urban policies, as well as what makes a good policy.

3. Urban Planning

This component focuses on the different meanings and interpretations of 'urban planning' and the changing role of the urban planner. This is also in the context of increasing complexity. It highlights trends in concepts, planning approaches and the shift from traditional land use planning towards more strategic forms of planning.

4. Local Government Finance

Local government finance is about the revenue and expenditure decisions of local governments. It covers the sources of revenue that are used by local governments, such as taxes (e.g., property, income, sales), user fees, and intergovernmental transfers. It also includes ways of financing infrastructure using operating revenues and borrowing, as well as charges on developers and public-private partnerships. Furthermore, local government finance also addresses issues around expenditures at the local level and the accountability for expenditure and revenue decisions, including the municipal budgetary process and capital investment planning.

Course Information