Mildred E. Warner

Bio: Mildred E. Warner is an academic researcher from Cornell University. The author has contributed to research in topics: Local government & Service delivery framework. The author has an hindex of 42, co-authored 158 publications receiving 6792 citations. Previous affiliations of Mildred E. Warner include Ford Foundation & University of Barcelona.

Privatization and Its Reverse: Explaining the Dynamics of the Government Contracting Process

Abstract: Empirical evidence shows local government contracting is a dynamic process that includes movements from public delivery to markets and from market contracts back to in-house delivery.This ‘‘reversecontracting’’reflectsthe complexityofpublicserviceprovisionin aworld where market alternatives are used along with public delivery. We develop a methodology to link responses to national surveys and create a longitudinal data set that captures the dynamics of the contracting process. We present a framework that incorporates principal agent problems, government management, monitoring and citizen concerns, and market structure. Our statistical analysis finds government management, monitoring, and principal agent problems to be most important in explaining both new contracting out and contracting back-in. Professional managers recognize the importance of monitoring and the need for public engagement in the service delivery process. The results support the new public service that argues public managers do more than steer a market process; they balance technical and political concerns to secure public value.

Is Private Production of Public Services Cheaper Than Public Production? A Meta-Regression Analysis of Solid Waste and Water Services.

Abstract: Privatization of local government services is assumed to deliver cost savings, but empirical evidence for this from around the world is mixed. We conduct a meta-regression analysis of all econometric studies examining privatization of water distribution and solid waste collection services and find no systematic support for lower costs with private production. Differences in study results are explained by differences in time period of the analyses, service characteristics, and policy environment. We do not find a genuine empirical effect of cost savings resulting from private production. The results suggest that to ensure cost savings, more attention be given to the cost characteristics of the service, the transaction costs involved, and the policy environment stimulating competition, rather than to the debate over public versus private delivery of these services. © 2010 by the Association for Public Policy Analysis and Management.

Contracting or Public Delivery? The Importance of Service, Market and Management Characteristics

Abstract: Analysis of local government contracting decisions typically focuses on transactions costs related to service characteristics, especially asset specificity and difficulty of contract management. This analysis expands the focus to include market characteristics (competition), citizen characteristics (public interest in the service delivery process), and place characteristics (metro status and public management) and finds these are the more important factors. A 2007 survey of US city managers’ rankings of 67 services by transactions costs, competition, and citizen interest is combined with a 2007 national survey of city managers’ sourcing decisions (direct public, intergovernment cooperation, for-profit and nonprofit contracting). Multinomial logit models of service delivery sourcing choice find that metro status and competition are key explanatory variables. Intergovernmental cooperation represents an important public market alternative when contract management is difficult and competition is low. For profit contracting is less common when citizen interest is high and competition is low. Governments with professional managers appear more effective in addressing these broader transactions costs of citizen interests, political and labor opposition, and market management.

Local Government Restructuring: Privatization and Its Alternatives

Abstract: Local government restructuring should no longer be viewed as a simple dichotomy between private and public provision. A 1997 survey of chief elected township and county officials in New York shows that local governments use both private and public sector mechanisms to structure the market, create competition, and attain economies of scale. In addition to privatization and inter-municipal cooperation, two alternative forms of service delivery not previously researched—reverse privatization and governmental entrepreneurship—are analyzed here. Logistic regression on the 201 responding governments differentiates the decision to restructure from the level and complexity of restructuring. Results confirm that local governments are guided primarily by pragmatic concerns with information, monitoring, and service quality. Political factors are not significant in the restructuring process and unionization is only significant in cases of simple restructuring (privatization or cooperation used alone). Fiscal stress is not a primary motivator, but debt limits are associated with more complex forms of restructuring. Restructuring service delivery requires capacity to take risks and is more common among experienced local officials in larger, higher-income communities. Restructuring should be viewed as a complex, pragmatic process where governments combine public and private provision with an active role as service provider and market player. © 2001 by the Association for Public Policy Analysis and Management.

Does privatization of solid waste and water services reduce costs? A review of empirical studies

Abstract: Cost reduction was the key benefit claimed by privatization. We conduct a review of all published econometric studies of water and waste production since 1970. Little support is found for a link between privatization and cost savings. Cost savings are not found in water delivery and are not systematic in waste. Reviewed studies build from public choice, property rights, transaction costs and industrial organization theories. We conclude public choice theory is too focused on competition, which is typically not present in quasi-markets. Property rights theory gives attention to ownership and service quality, but absent competition, ownership makes little difference on costs borne by municipalities. Transaction costs argue privatization is best when contracts are complete—a rare situation in public service markets. We find the industrial organization approach most useful in explaining results because it directly addresses incentives, sector structure and regulatory framework. Overall, the empirical results show the importance of market structure, industrial organization of the service sector, and government management, oversight and regulation. Because there is no systematic optimal choice between public and private delivery, managers should approach the issue in a pragmatic way.

The Environmental Protection Agency

Abstract: The Environmental Protection Agency (EPA) provides access to information on a variety of topics related to the environment and strives to inform citizens of health risks. The EPA also has an extensive library network that consists of 26 libraries throughout the United States, which provide access to a plethora of information to EPA employees, scientists, and researchers. The EPA implemented a reorganization project to digitize their materials so they would be more accessible to a wider range of users, but this plan was drastically accelerated when the EPA was threatened with a budget cut. It chose to close and reduce the hours and services of some of their libraries. As a result, the agency was accused of denying users the “right to know” by making information unavailable, not providing an adequate strategic plan, and discarding vital materials. This case study explores the background of the digitization project, the practices implemented, and the critiques of the project.

The Nature of Managerial Work

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