Contract Regimes and Reflexive Governance: Comparing Employment Service Reforms in the United Kingdom, the Netherlands, New Zealand and Australia

Contemporary debates concerning the nature of 'new governance' typically focus upon the shifting roles played by bureaucracies, networks and markets in the provision of public services (Kooiman 1993; Ormsby 1988). At the core of these recent changes we find a strong interest in having private agents deliver public services. Sometimes this is expressed as privatization and in other cases a 'mixed economy' of public and private participation may be devised (Williamson 1975; Moe 1984). In this study a number of central elements of neo-liberal public management are brought together in a single focus upon the 'contract regime' in order to examine the extent to which single initiatives might combine to produce a recognizable system of governance. Such an institutional form may then be more carefully specified and its impact compared in different governmental systems. Using a four-country comparison of employment service reform the study shows that distinctions based upon degree of privatization do not adequately explain regime types whereas distinctions based upon 'compliance-centred' or 'client-centred' forms of contracting are more powerful. The type of reflexive interaction between different elements or levels of contracting also explains country differences.     

Private provision of public services: Contracting by large local governments

This study examines public service delivery by counties and municipalities of over 500,000 popula tion, through the practice of contracting out with the publicsector. It is based on responses to a question naire sent to purchasing officials in American and Canadian cities, counties, and state governments Results indicate the types of services contracted out the frequency of contracting out, procedures utilized and administrative attitudes. We find that a diverse group of non-professional,non-construction services are being provided by private contractors for these jurisdictions, but the jurisdictions are not providing a majority or even a significant portion of their services in this manner.     

Admitting a Bad Influence: Contracting the Public Service

Abstract

Emulation of the private sector is a longstanding controversy in public administration, but could it constitute a bad influence, of the kind that parents seek to guard against by scrutinizing their children's peers? Effectiveness provides a perspective on how helpful or harmful private sector influence has been for the public service. The practice of contracting-out under the A-76 process receives particular scrutiny relative to maintaining the effectiveness of public agencies. A second perspective on private sector influence examines, through the theoretical perspective of transaction-cost economics, the promise of cost savings that justified recent acceleration of contracting-out. The author, himself a government contractor, also bases his analysis on personal experience.     

The middle class in the Czech reforms: the interplay between policies and social stratification

Following the assumption that the middle class is important in the transition from communism to a democratic market society as its leading actor and guarantor of social integration, this paper presents evidence of the benefits it has gained from economic and social reforms. As these have turned out to be rather modest, it is likely that the middle class will be more reserved in its political support for a rigorous transformation. Special attention is given to the distribution and redistribution of income in which the middle seems to have been neglected, in comparison to the lowest and upper strata which have become better off. Evidence based on official statistics is complemented by a survey of attitudes which document both the still strong endorsement of the middle class with regard to the implemented changes and a certain split between the ‘old’ and ‘new’ component of this important social category.     

Care and treatment of the mentally ill in the United States: historical developments and reforms

Three major cycles of reform in public mental health care in the United States--the moral treatment, mental hygiene, and community mental health movements--are described as a basis for assessing the shifting boundaries between the mental health, social welfare, and criminal justice systems. Historical forces that led to the transinstitutionalization of the mentally ill from almshouses to the state mental hospitals in the nineteenth and twentieth centuries have now been reversed in the aftermath of recent deinstitutionalization policies. Evidence is suggestive that the mentally ill are also being caught up in the criminal justice system, a circumstance reminiscent of pre-asylum conditions in the early nineteenth century. These trends shape the current mental health service delivery system and the agenda for policy-relevant research on issues involving the legal and mental health fields.     

Local government reforms: between multifunction and single-purpose organisations

The paper argues that, in ‘revisiting’ the referred-to article published back in 2004, the concept then guiding the analysis would need to be modified particularly on three scores. For one, in order to achieve a more adequate comparison the country selection should be expanded beyond the earlier sample (UK, France, Germany and Sweden) to also capture Southern and Central Eastern European countries. Second, the ‘developmental’ (‘over time’) analysis of the pertinent institutional changes should be further accentuated and complemented by proceeding ‘by (developmental)stages’ instead of ‘country by country’. Third, while still deeming the distinction between ‘multifunction’ and ‘single-purpose’ organisations fruitful to guide a ‘government versus governance’ analysis and interpretation, the distinction between ‘political rationality’ and ‘economic rationality’ should be added with the former (ideal-typically) identified with elected (local) government and the latter seen characteristic of many of the actors in the governance-typical actor networks.     

Full and Open Competition in Public Procurement: Values and Ethics in Contracting Opportunity

ABSTRACT

Governments have sought to respond to increasing pressures to accomplish aims with efficiency and at low cost. A perception of the potential for corruption and waste of public resources has been met with calls for transparency and accountability. Competition is believed to lead to impartial, optimal outcomes, but attention paid to competition in the literature suggests that the benefits are not universally clear. This paper considers ‘full and open competition’ as a policy promise, ethical obligation, and a matter of justice, drawing upon work of John Rawls and others, in the United States case. The research question is: What do Federal procurement data tell us about the nature of full and open competition in practice? This study draws upon contract data available from the U.S. Federal government, for fiscal years from 2015 to 2018. Through an ordinal regression, it is suggested that variation in the extent of competition results in part from size of project, size of the business (or potential business) receiving the project, and the industry classification, particularly in cases centering on commercial acquisitions. While ‘full and open competition’ is frequently employed, the difference between the normative value of the concept in statute, and practical outcomes in implementation, is clear. This difference has consequences for both vendors and the government.     

Contracting Out: Dutch Municipalities Reject the Solution for the VAT Distortion

In 2003, the Dutch government introduced a VAT-compensation fund in order to create a level playing field for local governments with respect to Value Added Tax (VAT). This fund eliminates the effect of the tax difference between local governments that supply services themselves and local governments that contract out services to the private sector. However, as this article shows, according to most municipalities, differences in their treatment in terms of VAT did not hinder the contracting out of public services. Therefore, the VAT compensation fund lacks legitimacy. It appears to have had little effect so far, as the number of contracted-out public services has hardly increased since its introduction. In general, municipalities have a negative opinion of the fund. They state that non-budgetary effects and institutional considerations, such as the quality of services, the vulnerability of municipal activities and concern for employment in the municipality itself, are more relevant to decision making on outsourcing.     

Territorial reforms in Europe: effects on administrative performance and democratic participation

Territorial reform is the most radical and contested reorganisation of local government. A sound evaluation of the outcome of such reforms is hence an important step to ensure the legitimation of any decision on the subject. However, in our view the discourse on the subject appears to be one sided, focusing primarily on overall fiscal effects scrutinised by economists. The contribution of this paper is hence threefold: Firstly, we provide an overview off territorial reforms in Europe, with a special focus on Eastern Germany as a promising case for cross-country comparisons. Secondly, we provide an overview of the analytical classifications of these reforms and context factors to be considered in their evaluation. And thirdly, we analyse the literature on qualitative performance effects of these reforms. The results show that territorial reforms have a significant positive impact on functional performance, while the effects on participation and integration are indeed ambivalent. In doing so, we provide substantial arguments for a broader, more inclusive discussion on the success of territorial reforms.     

Local public management reforms in the Netherlands: fads, fashions and winds of change

Compared to other continental European countries, especially Germany and Switzerland, which have experimented with New Public Management (NPM) in local government, The Netherlands has been relatively quick in following trends stemming from Anglo-Saxon management thinking, but also relatively quick in redressing its course. The rise of the New Public Management in Dutch local government has been relatively swift and strong but also relatively superficial and non‐committal. The dominant picture that emerges is one of an administrative system that, while responsive to the latest trends, is also surprisingly stable. Management reforms, forcefully advocated in the 1980s, were decisively revised and redressed in the 1990s, with the city of Tilburg, celebrated for its 'Tilburg Model', a case in point. The Werdegang of NPM (that is, how things developed) in Dutch local government, detailed in this article, can be understood only partially as a result of changing economic and budgetary constraints. The article shows that endogenous features of the Dutch politico-administrative system – more specifically: the compact, dense and decentralized pattern of the intergovernmental network, the administrative tradition of pragmatism, dynamic conservatism and the comparatively technocratic character of local government – have also strongly influenced the reception, effect and correction of NPM in Dutch local government.     

Between Prescription and Practices in Seoul Metropolitan City: Institutional Constraints and Relational Contracting

Public choice theories suggest contracting out as a cure-all for various weaknesses of government bureaucracy and its absence of competition. The transaction cost economics theory challenges these theories, arguing that competitive contracting is appropriate only for hard services like human waste collection while relational contracting is for soft services such as welfare facility management. After examining contracting practices of 25 district governments of Seoul Metropolitan Government, however, this study found that informal institutional constraints led district governments to adopt relational contracting for human waste collection and to adopt competitive contracting for welfare facility management.     

The view from below: Local government and Putin's reforms

Local government reforms in contemporary Russia are placed in the broader contexts of political reform under Putin and the historical relationship between local administration and the state. Reforms of local government thus help illuminate the architecture of contemporary state building in Russia and the degree to which contemporary Russia perpetuates political traditions. This study reviews the antecedent action in local government prior to the Putin era. It then examines the Kozak Commission and the new law on local government, assessing the strengths and weaknesses of these reforms. Finally, this study examines the challenges of implementing the reforms and what these challenges tell us about devolution and centralisation under Putin.     

Corruption and reforms: A case of Poland's medical sector

This study focuses on the effects of Poland's reforms in the period 1990–2005 on corruption in the health care system. In the last 15 years Poland has transformed its economy drastically, introducing market-oriented reforms into almost every aspect of its economy. In this study we consider how different reforms changed incentives and mechanisms facilitating corruption in the medical care sector. Our conclusion is that corruption in Poland's medical sector has worsened since the onset of the marketization reforms. We support this conclusion primarily by analyzing changes in incentives for corruption and the number of mechanisms facilitating it. In addition, where available, quantitative data are provided, though we recognize that numerical estimates of corruption are subject to substantial error. We focus on three major forms of corruption: patient payments to secure medical treatment or improve its quality, payments from industry (mostly pharmaceutical and medical equipment producers), and the use by physicians of free public facilities for private patients.