Planning for
Effective Governance
in Metropolitan Areas in Mexico
May 2015
Edna Aguiñaga, B.S.E., M.Eng (SCI, Canada/Mexico)
Andres Aranda, BsC., M.S. (CMM, Mexico)
Larissa Ardis, M.A. (SFU, Canada)
Erika Castro, B.Arch, MSC.Pl (Independent Consultant, Canada/Brazil)
Maria do Livramento Clementino, B.S.E., M.S., Ph.D (UFRN, Brazil)
Richardson Camara, B.S.E., M.S., Ph.D candidate (UFRN, Brazil)
Gretchen Hernandez, M.CRP, Ph.D (SFU, Canada)
Sean Markey, M.A., Ph.D (SFU, Canada)
Jane McRae, B.Sc., M.Ed (SCI, Canada)
Silvia Mejia Reza, B.Arch, M.AR (SCI, Mexico)
With special thanks for their contributions to:
Alberto Orozco, M.U.P. Executive Director of IMEPLAN
Jesus Ríos, B.S.E, Ms.C. Executive Director of IPCo
Alfonso Iracheta, M.U.P., Ph.D. Consultant specialized in metropolitan issues
This report is presented as received from project recipient(s). It has not been
subjected to peer review or other review processes.
This work is used with the permission of Dr. Sean Markey & Dr. Gretchen
Hernandez, Simon Fraser University
*Copyright 2015, Markey & Hernandez
TABLE OF CONTENTS
3
4
7
10
11
11
13
13
14
16
2
EXECUTIVE SUMMARY
INTRODUCTION
MEXICAN CONTEXT FOR METRO GOVERNANCE
RESEARCH METHODS
METRO GOVERNANCE MODELS
Overview of Metro Governance Models
Canadian and Brazilian Examples
Metro Vancouver
The Natal Metropolitan Region
ASPECTS TO CONSIDER WHEN DESIGNING METROPOLITAN GOVERNANCE
17
21
23
25
Institutional Design
27
31
34
36
37
Land Use
Cooperation
Service Delivery
Social Participation
Financing
CONCLUSIONS
ADDITIONAL THOUGHTS
REFERENCES
Planning for Effective Governance
in Metropolitan Areas in Mexico
EXECUTIVE SUMMARY
This document outlines the context for metropolitan governance in Mexico, models of metropolitan
governance, and key considerations to take into account when attempting to design and implement a
metropolitan region. The information is derived from an action-research project that explored models
and issues in metropolitan governance from around the world, with particular emphasis on learning from
Canadian and Brazilian experiences.
The research involved a comprehensive literature review; one-on-one semi-structured interviews with
key players in the Guadalajara Metropolitan Area (AMG) and the Metropolitan Area Colima (ZMC) in
Mexico, and a learning exchange workshop held in Guadalajara in November 2014 with participation from
Mexico, Canada and Brazil. Although the project focused on the AMG and ZMC, the information is useful
for any Mexican region grappling with issues of metropolitan level inter-governmental coordination. The
paper does not intend to provide a one-size-its-all prescription for all regions of Mexico, but rather some
guidelines for a broad analysis in the different contexts.
The document irst explores the Mexican context for metropolitan governance. Like the rest of the world,
Mexico faces tremendous expansion across its urban areas. Its 59 metropolitan regions contribute 67% of
the country’s GDP (SEDESOL, 2010), yet most have limited capacities to manage shared interests across
their municipal jurisdictions. Although several government bodies have begun to address planning at the
metropolitan level (e.g. the revision of the General Law of Human Settlements), legal aspects continue to
hinder the formation of a metropolitan level of governance.
The document goes on to explain various models of metropolitan governance from around the world.
Classifying governance models according to some of their key distinguishing features helps us understand
their diversity. For example, models can be classiied as institutional or non-institutional, and ordered
from greater to lower levels of formality, political legitimacy, and sectoral reach. For the purpose of this
project, we analyzed two examples of Metropolitan Regions: Metro Vancouver in Canada and the Natal
Region in Brazil. Metro Vancouver was selected as an example of an effective metropolitan governance
structure from a Northern region that has been operating successfully for more than 40 years, while
Natal was selected as representative of a Southern region where conditions are more similar to those in
Mexico.
The document also highlights aspects to consider when designing a metropolitan governance model,
such as institutional design; cooperation; service delivery; social participation; land use; and inancing.
This section includes challenges, considerations, and related examples to help guide readers through
the issues and possibilities for each topic. The paper concludes with a summary of lessons learned from
this project and recommendations for governments and other stakeholders who are interested in better
coordination and collaboration at a metropolitan level.
3
Planning for Effective Governance
in Metropolitan Areas in Mexico
INTRODUCTION
The Metropolitan Governance in Mexico: Learning from the experiences of Canada and Brazil is an
action-research project that sought to identify the characteristics of design, implementation and policies
of metropolitan structures that might be applicable and useful in addressing the need for collaborative
governance and coordinated action in metropolitan areas of Mexico.
The project partners are:
• Simon Fraser University (SFU) in Vancouver, Canada.
• Sustainable Cities International (SCI) in Vancouver, Canada
• Mario Molina Center (CMM) in Mexico
• Universidade Federal do Rio Grande do Norte (UFRN) in Brazil
• The Planning Institute of Colima (IPCo) in Colima
• The Metropolitan Planning Institute (IMEPLAN) in Guadalajara
Learning Exchange workshop in Guadalajara.
4
Planning for Effective Governance
in Metropolitan Areas in Mexico
The project is funded by the International Development Research Centre (IDRC), a Canadian organization
that provides funding to generate and apply new knowledge to help solve challenges in developing
countries.
The concept of collaborative governance has been extensively analyzed and reviewed in studies such as
Innes & Booher (2000, 2003, & 2010), Gray (1989), Leach & Sabatier et al (2001, 2002, 2005), Ansell &
Gash (2007), Page (2008) amongst others. Despite the growing signiicance of collaborative governance
in the literature and in practice, few models or studies of collaborative governance exist in Mexico, where
issues arising from rapid urban expansion and the collision of jurisdictional boundaries are driving a
demand for solutions. Support for joint municipal and regional initiatives and accumulation of knowledge
and expertise in the area of collaborative governance has been sporadic to date and is now perceived as
critical, given the potential beneits associated with collaborative models. This research project responds
to this growing need and opportunity. Research conducted in the two participating Mexican regions of
Guadalajara and Colima conirms that key players are recognizing the urgency of inding ways to work
together in order to maximize inancial resources, preserve scarce and limited natural resources, and
optimize services and infrastructure.
The purpose of this document is to provide general guidelines on key considerations to take into account
when attempting to design and implement a metropolitan region and some recommendations derived
from current metropolitan level experiences and research. It does not intend to provide a one-size-itsall prescription for all regions of Mexico, but rather some guidelines for a broad analysis in the different
contexts.
The document is organized into ive sections. The irst section outlines the Mexican context for metropolitan
governance. In section two, the research methods used to gather information for this project. The third
section presents various models of metropolitan governance from around the world, and the particular
examples of Metro Vancouver, Canada and Natal, Brazil. The fourth section highlights aspects to consider
when designing a metropolitan governance model. The paper concludes with a summary of lessons
learned from this project and recommendations for governments interested in better coordination at a
metropolitan level.
5
Planning for Effective Governance
in Metropolitan Areas in Mexico
Guadalajara
Metropolitan Area
Zapopan
Guadalajara
Tonalá
El Salto
Tlaquepaque
Juanacatlán
Colima-Villa
de Álvarez
Metropolitan Area
Cuauhtémoc
Comala
Villa de Álvarez
Coquimatlán
One-on-one semi-structured
interviews were conducted with
key players in the Guadalajara
Metropolitan Area (AMG) and
the Colima-Villa de Alvarez
Metropolitan Area (ZMC).
6
Planning for Effective Governance
in Metropolitan Areas in Mexico
Colima
MEXICAN CONTEXT FOR METRO GOVERNANCE
Several recent developments have converged to make the international quest for effective metropolitan
governance arrangements more important than ever. Urban regions are also changing, both in form and
function.
Around the world, people are locking to cities in search of opportunities for a higher quality of life. The
percentage of people living in cities has increased from 13% in 1900 to 52% in 2011; cities will be home
to 80% of the population in Latin America by 2025 (Rojas, 2008) and 60% of the global population by 2030
(UN-DESA, 2012).
Clusters of adjacent cities have grown into metropolises—physically, economically, and culturally
interconnected regions delivering services for increasingly diverse populations, served by multiple local
governments as well as additional layers of government.
Globalization has rearranged production worldwide, metropolitan economies are seen as the new
competitive units in the global economy (Yaro & Ronderos, 2011). Metropolitan areas are assuming an
ever greater share of national production: Latin American metropolitan agglomerations (such as São
Paulo and Buenos Aires) concentrate more than 50% of the productive capacity of their countries, and are
expected to contribute more than 80% of future economic growth (Rojas, 2008).
Municipalities grapple with new responsibilities ofloaded by higher levels of government as well as the
increasingly complex planning challenges that arise from jurisdictional questions. At the same time, it
has become clear that high quality of urban life is a key element in success in the knowledge economy.
Changing economic and demographic realities are compounded by new environmental and social ones.
Climate change, environmental degradation, and resource depletion—and all of the attendant risks to
public health and energy security—lend new urgency to the need to develop planning and governance
systems that treat the environment as the basis of healthy economies rather than as marginal to them.
This is particularly so for urban areas, which are signiicant contributors to climate change and very
vulnerable to its effects.
More than three decades of research suggests that better governance and sustainable urban development
requires greater control over urbanization processes; procedural justice systems that support greater
participation of a wider range of urbanites; a fairer distribution of the beneits and costs of urban
development; urban planning systems that are more integrated and holistic; and greater intervention of
local government within urban systems to accomplish all of the above (Keil & Whitehead, 2012).
Mexico, like the rest of the world, faces tremendous expansion across its urban areas. During the last
four decades there has been an increase of the population living in cities due to migration processes and
7
Planning for Effective Governance
in Metropolitan Areas in Mexico
demographic growth. In 1960 the population in metropolitan areas was 9 million and by 2010 it was 63.8
million, distributed in 364 cities and 59 metropolitan regions (SEDESOL, 2010).
These 59 metropolitan regions contribute 67% of the GDP (SEDESOL, 2010), however most have
fragmented political and administrative capacities to manage shared interests across their municipal
jurisdictions. Some of the challenges these regions are now facing are land degradation, the unregulated
use of natural resources leading to a signiicant decline in availability and quality of some resources (for
example, water), strong social disparities, increasing inequality, lack of job opportunities and a rise in
informal settlements due to the lack of land or housing availability. Exacerbating these challenges is
the core issue of metropolitan productivity and competitiveness. As population in these areas continues
to grow, a metropolis with low productivity impacts the economy of the entire region and the national
economy.
These challenges have brought attention to the dire need for effective metropolitan governance
systems that facilitate coordination across levels of government and provide effective mechanisms for
decision-making on the territorial and economic development of regions. Although several government
bodies have begun to address planning at the metropolitan level (e.g. through the establishment of the
Metropolitan Coordination of the Valley of Mexico; the revision of the General Law of Human Settlements;
and the creation of a national Metropolitan Fund to address public works and infrastructure projects
in metropolitan areas), the more challenging questions of how municipalities can best work together
remain to be answered.
Legal aspects regarding the formation of another level of government present another formidable
challenge. The Mexican Constitution does not recognize metropolitan regions; therefore the possibility of
a formal metropolitan government structure cannot be contemplated without a change to the Constitution.
Indeed, Article 115 of the Constitution states that municipalities are responsible for the delivery of their
own municipal services. This article hinders the design of strategies and public policies to address the
challenges of metropolitan regions as it makes collaboration between authorities dependent on the good
will of the municipal governments, most of which are reluctant to relinquish this control.
Although the General Law of Human Settlements recognizes suburban areas as the physical union of
two or more locations, it does not address how they will work together. Thus, collaborative governance
structures at the metropolitan level remains a challenge.
On the other hand, Article 122-G of the Constitution speciically recommends the establishment of
Commissions for service delivery in the Metropolitan area of Mexico City. The General Law of Human
Settlements (LGAH) also recommends that Commissions be established to coordinate between authorities
in interconnected urban (conurbated) areas. Commissions include representatives from every municipal
government within the metropolitan region, and may also include state or federal representation.
Currently, a process is underway within the Senate to revise the LGAH to establish the general rules for
coordination, policy, and management of metropolitan areas. The goal is to create a framework that is
8
Planning for Effective Governance
in Metropolitan Areas in Mexico
lexible enough to consider the wide diversity represented by the 59 metropolitan areas. Since a single
legal instrument will not it all contexts, a wide array of possible structures to enable coordination and
organization needs to be considered within the law.
Mexico’s recognition of the need to address metropolitan area governance is further evident in the recent
establishment of the federal Metropolitan Fund. Several metropolitan regions (for example, Guadalajara
and Tijuana) have established Commissions to regulate funding being provided under the Fund. However
this is the exception rather than the norm.
9
Planning for Effective Governance
in Metropolitan Areas in Mexico
RESEARCH METHODS
The information in this paper was derived from a multi-faceted research process that included:
1. A comprehensive literature review on metropolitan governance focused on deinitions, models,
and best practices.
2. One-on-one semi-structured interviews with key players in the Guadalajara Metropolitan
Area (AMG) and the Metropolitan Area Colima (ZMC) on the challenges and opportunities for
metropolitan governance - including state and federal government oficials, subject experts,
and representatives of non-governmental organizations. Interview responses were analysed to
identify recurring themes and discussion topics for a learning exchange.
3. Learning Exchange workshop in Guadalajara with representatives of participating municipalities
in the AMG and ZMC, state and federal authorities, and experts from the Vancouver Metro Region
(Canada) and the Natal Metro Region (Brazil). The irst part of the two day learning event was
devoted to a sharing of results of the literature review and interviews, and direct experiences
of establishing and operating metropolitan governance structures from Vancouver and Natal.
The second portion focused on identifying the main characteristics of a governance framework
and identifying next steps toward solidifying metropolitan level governance in the AMG and ZMC
regions.
A project team from Canada, Mexico and Brazil consolidated the information gained through these
research methods and cooperated as authors of this paper.
Learning Exchange workshop in Guadalajara.
10
Planning for Effective Governance
in Metropolitan Areas in Mexico
METRO GOVERNANCE MODELS
Metropolitan governance is a process through which a set of governmental and non-governmental actors
(civil associations, public private partnerships, unions, etc.) collaborates in terms of collective services
and policy-making. Metropolitan areas around the world are organizing in a variety of forms to coordinate
between and across municipalities (Rojas, 2008; LeFevre, 2008; OECD 2015). This section provides an
overview of types of models, as well as speciic information about Metro Vancouver in Canada and the
Natal Metropolitan Government in Brazil.
Overview of Metro Governance Models
Classifying governance models according to some of their key distinguishing features helps us understand
their diversity. LeFevre (2008) classiies models as institutional or non-institutional, and orders them
from greater to lower levels of institutionalization, political legitimacy, and sectoral reach.
The typology below is adapted from LeFevre (2008), which assigns metropolitan level governance into
three broad categories:
1. One-tier governance results from the amalgamation or annexation of adjacent municipalities
into a single governing body. It provides many services and is inanced through user fees and taxes
across the metropolitan area.
2. Two-tier (or supramunicipal) governance results from the introduction of a new tier of government,
independent of existing local units. Its ive key features are: a) political legitimacy through direct
elections of decision-makers; b) a match between jurisdictional territory and functional territory;
c) iscal autonomy; d) relevant responsibilities and competences; and e) adequate staff to elaborate
and implement policies. Strong forms (comparatively rare) include all of these; weak forms only
a few.
3. Intermunicipal joint authorities (IJAs) create new institutions that are dependent for inancing
and functioning on existing units of government (e.g. municipalities) in the metropolitan
area. They are based on cooperation between these units. Cooperation may be voluntary or
obligatory. There are at least four subtypes (explained below), based on the degree and nature of
cooperation between them.
a. Metropolitan-wide IJAs are administered by indirectly elected boards (and
thus lack political legitimacy) but show other key elements of two-tier
governance, such as a close match between jurisdiction and function.
b. Inframetropolitan intermunicipal IJAs are plurisectoral but cover only parts of the
metropolitan area. They vary with respect to responsibilities, powers, and funding.
c. Monosectoral IJAs with plurisectoral potential are metropolitanwide, focus on one sector only, but show potential to move
towards the administration of other policy sectors.
11
Planning for Effective Governance
in Metropolitan Areas in Mexico
d. Special districts are monosectoral IJAs established to deliver services across municipal
boundaries, usually controlled indirectly by constituent municipal councils and focus
on one policy sector only, such as waste management, transit, hospitals, or schools.
4. Non-institutional Models are arranged as alternatives to setting up new institutions, and
focus on more eficient coordination of policies or services in various sectors and at the areawide level. These arrangements include coordination of existing structures and formalized
agreements.
The OECD (2015) classiies the models in a similar way, from the most informal forms of coordination
between municipalities to formal institutions with broad authority. The following table shows the four
broad categories of metropolitan governance, according to this classiication system:
From the lightest to the most stringent in institutional terms
Informal/ soft co-ordination: Often found in the instances of the polycentric
urban development, lightly institutionalized platforms for information sharing
and consultation are relatively easy both to implement and to undo. They
typically lack enforcement tools and their relationship with citizens and other
levels of government tends to remains minimal.
Inter-municipal authorities: When established for a single purpose,
such authorities aim at sharing costs and responsibly across member
municipalities – sometimes with the participation of other levels of
government and sectoral organizations. Multi-purpose authorities embrace
a deined range of key policies of urban development such as land use,
transportation and infrastructure.
Supra-municipal authorities: An additional layer above municipalities can
be introduced either by creating a directly elected metropolitan government
or with the upper governments setting down a non-elected metropolitan
structure. The extent of municipal involvement and inancial capacity often
determine the effectiveness of a supra-municipal authority.
Special status of “metropolitan cities”: Cities that exceed a legally deined
population threshold can be upgraded into a special status as “metropolitan
cities”, which puts them on the same footing as the next upper level of
government and gives them broader competencies.
Source: OECD (2014). OECD Regional Outlook 2014: Regions and Cities: Where Policies and People Meet, OECD
Publishing, Paris, http://dx.doi.org/10.1787/9789264201415-en
12
Planning for Effective Governance
in Metropolitan Areas in Mexico
Canadian and Brazilian Examples
For the purpose of this project, we analyzed two examples of Metropolitan Regions: Metro Vancouver
in Canada and the Natal Region in Brazil. Metro Vancouver was selected as an example of an effective
metropolitan governance structure from a Northern region that has been operating successfully for more
than 40 years, while Natal was selected as representative of a Southern region where conditions are more
similar to those in Mexico.
Metro Vancouver
Metro Vancouver is a partnership of 21 municipalities, one Electoral Area and an autonomous indigenous
territory, serving a total urban population of 2.5 million. Located on the West Coast of Canada, Metro
Vancouver collaboratively plans for and delivers regional-scale services. Its core services are drinking
water, wastewater treatment and solid waste management. Metro Vancouver also regulates air quality,
plans for urban growth, manages a regional parks system and provides affordable housing.
Metro Vancouver is a political body and corporate entity operating under provincial legislation as a
‘regional district’. The regional district is governed by a Board of Directors made up of elected oficials
from local authority. Each authority selects one director for every 100,000 residents, and has one vote for
every 20,000 residents on the Metro Vancouver board.
Lions Bay
Metro Vancouver
Bowen
Island
West
North Vancouver
Vancouver District
North Vancouver
City
UBC
Belcarra, Ioco,
Anmore, Port
Moody
Coquitlam
Vancouver
Burnaby
Port
Coquitlam
Delta
Surrey
White Rock
13
Maple Ridge
New
Westminster
Richmond
Planning for Effective Governance
in Metropolitan Areas in Mexico
Pitt
Meadows
Langley City
Langley
Township
Metro Vancouver has more than 1500 staff who manage:
• The delivery of core services (water, sewerage and drainage, and solid waste management) to
member municipalities.
• Planning for future needs related to the three utilities as well as air quality, regional growth, and
regional parks.
• The main political forum for discussion of signiicant community issues at the regional level.
Metro Vancouver’s sources of income include fee-for-service income in which municipalities pay for the
delivery of core services, provincial funding, and a small amount from direct taxation.
The Natal Metropolitan Region
The Natal Metropolitan Region (NMR), also known as Greater Natal, is located in Rio Grande do Norte
state in northeastern of Brazil, has eleven municipalities and a population of 1,495,669 inhabitants (IBGE,
2014), forming the fourth largest urban agglomeration in the Brazilian Northeast and the eighteenth
largest metropolitan area in the country.
The Natal Metropolitan Region, created from the Complementary Law n. 152/97 currently consists of a
Council of Metropolitan Development (CMD), with the following duties and responsibilities: to promote,
Ceará-Mirim
Extremoz
São Gonçalo do
Amarante
NATAL
Parnarnirim
Macaiba
Vera Cruz
São José de
Mipibu
Monte Alegre
Metropolitan
Region of Natal
14
Planning for Effective Governance
in Metropolitan Areas in Mexico
Nísia
Floresta
integrate, grant, supervise, stimulate the planning, organization and the implementation of public services
of common interest between the metropolitan municipalities.
The CMD is chaired by the State Department of Planning and Finance (SEPLAN) and includes members
appointed by the Governor, representatives appointed by the local Mayors and municipal councils,
Legislative Assembly members, and representatives of community organizations. The CMD receives
operational support from SEPLAN.
An important experience to highlight from the Natal Region is the case of the Parlamento Comun (Joint
Parliament), which was set up as a forum for discussions related to economic integration, political, social,
cultural and environmental issues within the Metropolitan Region of Natal. Formed by local councils
of municipalities in the Metropolitan Region, it brought together 99 councillors representing the nine
metropolitan municipalities. One of their main roles was to promote the Strategic Plan for Development of
the Metropolitan Region (PEDS) prepared by the state government. Unfortunately, due to lack of political
support and constant power struggles, their operation is now dormant, but a couple of direct results of
their work were the establishment of a shared system for solid waste and the creation of a metropolitan
council (Clementino, 2003).
15
Planning for Effective Governance
in Metropolitan Areas in Mexico
ASPECTS TO CONSIDER WHEN DESIGNING METROPOLITAN
GOVERNANCE
Through the research and peer learning activities undertaken in this project, six aspects were identiied
as critical for analysis when designing metropolitan governance in Mexico:
Institutional Design
Cooperation
Service Delivery
Social Participation
Land Use
Financing
These aspects are not all encompassing but are intended to capture the broad range of issues and
dynamics that need to be considered and evaluated in order to move forward effectively. Each aspect is
discussed below, with an overview along with some considerations related to the Mexican context and
relevant examples identiied through this research project.
16
Planning for Effective Governance
in Metropolitan Areas in Mexico
INSTITUTIONAL DESIGN
Institutional design refers to planning the organizational structure, procedures,
rules, and governance of institutions (Alexander, 2006). The goal of institutional
design is to establish effective arrangements in order to achieve common
objectives or execute tasks.
Challenges and Mexican Context
Institutional design is critical to effectively address current and future planning challenges in metropolitan
areas. Institutions can be formal legal structures, which bring together “groups of individuals bound
together by some common purpose to achieve certain objectives,” (North, 1993). But institutions also
mean formal and informal rules and how these are enforced through law, agreements, incentives, and
disincentives (North, 1989). As such, metropolitan governance can occur by establishing formal institutions
such as Metropolitan Governments, or through laws and agreements that facilitate coordination between
municipalities on metropolitan-level issues.
Mexican metropolitan regions are now the foci of urban growth in the country, and their continuing growth
adds to the complexity of designing systems involved in their day-to-day operation. These new metropolises
are served by multiple local governments as well as additional layers of government. Municipalities may
share common issues, such as access to fresh water supplies, yet lack a common vision for the region.
Furthermore, they may have conlicting administrative arrangements, different regulations governing
shared resources and lack effective mechanisms for inter-sectorial and intergovernmental coordination.
These obstacles for the proper functioning and development of metropolitan regions, while not unique
to Mexico, present serious challenges when combined with the Mexican reality of growing social and
economic disparity, environmental degradation and resource depletion. The increasing growth of
metropolitan regions requires more integrated and harmonized service delivery and policy decisions than
one municipal or single level of government can provide, as decisions made in or for one municipality
have impacts on the neighbouring municipalities. A metropolitan governance structure is needed that
has the capacity to establish and operate from a common vision for the region, and with the authority to
manage the disparate technical and political viewpoints of the individual municipalities it governs.
Considerations
Ideally, the design of a metropolitan governance arrangement would be subject to an area-wide debate
and visioning process that includes substantial public outreach and all relevant actors. Two main aspects
to consider are accountability and equity.
17
Planning for Effective Governance
in Metropolitan Areas in Mexico
• Accountability means that the people can openly discuss the activities and policies of metropolitan
governance, and get their questions answered. In planning metropolitan governance, it is important
to consider how decision-makers will answer to the people they govern. Decision-making bodies
and their leaders can be directly elected, indirectly elected (i.e. elected by and from elected
representatives), or appointed by elected representatives. Member votes can be made proportionately
representative. Directly elected members may represent geographically deined constituencies
or be at-large representatives of the region. Alternatively, decision-making structures may have
representatives from geographically deined areas and at-large members.
• Equity relates to disparities between socio-economic groups and between regions, both in access
to the beneits of urbanization and in the assumed share of its burdens. Effective metropolitan
governance reduces inequities between the rich and poor and spreads beneits and opportunities
more evenly. Equity also relates to sharing of burdens of economic growth and environmental
degradation. Scholars like Agyeman, Bullard and Evans (2003) have highlighted the connections
between urban development; race and class; and distributions of environmental risks and burdens,
like waste facilities, emissions, and polluted water.
Related Examples
• Puebla-Tlaxcala is a metropolitan region in the Central South area of Mexico that incorporates
a central core city and several smaller municipalities across two states (OECD, 2015). It is an
example of an Intermunicipal Joint Authority or Intermunicipal Authority. Like other Intermunicipal
Authorities, this metro area created a new institution to coordinate municipalities at a metro or
regional level, and is governed by a non-elected supra municipal authority. Normally, this type of
governance structure provides an excellent way to overcome policy fragmentation and to create more
eficient use of public funds. However, in the case of Puebla-Tlaxcala, a lack of direct involvement by
municipalities in regional-level decision-making and inter-municipal competition has undermined
the capacity of the regional institution (OECD, 2015). Metro Vancouver and the Metropolitan Region
of Natal are examples of Metropolitan-wide Intermunicipal Authorities because they encompass an
entire metropolitan area, have their own inancial resources, signiicant responsibilities, adequate
stafing. However, their decision-makers are not directly elected by residents.
• The Greater Toronto Area (GTA) is an example of one-tier metropolitan governance or a metropolitan
city. The GTA was established in 1998 by the amalgamation of six municipalities, becoming a single
municipality called the City of Toronto. The City delivers a wide range of services, including social
services such as welfare assistance; public health; housing; roads and transit; emergency services
such as ire and ambulance; and parks, culture, and recreation. The government is comprised of
18
Planning for Effective Governance
in Metropolitan Areas in Mexico
a Mayor and Council, who are directly elected by the residents every four years. City Council is
supported by seven standing committees, each consisting of a Chair and Vice-Chair (named by
the Mayor) and members appointed by City Council. Each standing committee has an executive
committee (comprising the Committee Chair, the Mayor, the Deputy Mayor, and four other
councillors). Councillors are also appointed to oversee the Toronto Transit Commission and the
Toronto Police Services Board. Four geographically deined community councils advise on local
matters and include members of City Council. The City’s government is also advised by about
40 subcommittees and advisory committees, whose members include private citizen volunteers
and city councillors appointed by the City Council. City operations are funded by property taxes,
provincial grants, user fees, and other revenues. (Source: Slack & Bird, 2013). Bogota, Colombia is
another good example of one-tier governance.
Puebla-Tlaxcala (below) is an example of an Intermunicipal Joint
Authority or Intermunicipal Authority.
Photo credit: Alonso, CC BY-SA 3.0, via Wikimedia Commons
19
Planning for Effective Governance
in Metropolitan Areas in Mexico
• The Comunidad Autonoma de Madrid [CAM] was created in
1983, and is one of 17 politically similar structures in Spain.
CAM is an excellent example of a two-tier governance or
a supra-municipal authority. The CAM acts similarly to a
federated state as in federated countries, and its powers
supersede those of its component municipalities. It is
responsible for urban development, housing, public works,
highways, railroads, transport, ports and water resources.
It shares authority with senior government in economic
planning, industry, security, education, and health. CAM
is administered by an assembly of 129 members, directly
elected by CAM citizens. The assembly makes regional laws
and elects the president of the Community of Madrid by
majority vote. The president, who is usually the leader of the
party or coalition with an absolute majority of seats in the
assembly, designates (and can dismiss) a vice-president and
nine councillors that form an executive cabinet. Assembly
members form parliamentary groups who then elect
members for committees that undertake Assembly work.
Committees have their own chairs, vice-chairs, secretaries
and spokespersons. The CAM is funded by its own resources
(regional taxes), a share of the national income tax, and central
government transfers. Like other autonomous communities,
it can manage its inancial resources as it sees it. (Rojas,
2008). Other examples of two-tier governance include the
Metropolitan District of Quito, Ecuador; the Greater London
Authority, UK; and the Metropolitan District of Portland, USA.
• The metropolitan area of Sydney, Australia is an example of
non-institutional or informal/soft governance. It is divided into
38 local government areas, each of which has elected councils.
The Councils are responsible for functions delegated to them
by the New South Wales State Government (a regional level
government), such as planning and garbage collection. The
metropolitan area has no clear metropolitan-wide authority.
Citywide activities such as public transport, main roads,
trafic control, policing, education above preschool level, and
planning of major infrastructure projects are controlled by
the government of the regional government.
20
Planning for Effective Governance
in Metropolitan Areas in Mexico
Toronto streetcar.
Photo credit: Benson Kua, CC BY-SA 3.0, via Wikimedia Commons
COOPERATION
Cooperation is a learning process, and builds social capital. Clear articulation of
incentives to cooperate for metropolitan governance is vital to maximize beneits
and mitigate costs of cooperation. These arrangements should stimulate
cooperation and reinforce interdependence. They should support coordination of
decision making amongst interrelated sectors.
Challenges and Mexican Context
The laws in Mexico are quite restrictive in relation to the creation of new structures at the metropolitan
level, thus formal cooperation is dificult to achieve. Municipal leaders within a region may represent
different political parties which complicates the desire or intention to collaborate, as this has not been
common practice. As a result of the legal restrictions governing Mexican Metropolitan regions, cooperation
around service delivery is one of the most common ways of managing a Metropolitan issue, even if it does
not involve all municipalities in the region.
Considerations
• Legal changes, at the national or regional level, can promote future development of metropolitan
governance arrangements. For example, legal frameworks could be developed for voluntary
cooperation that leaves the substance of the framework to be completed by local actors (e.g.
municipalities, stakeholders, and civil society representatives). Laws that enable, prescribe, and/or
simplify intermunicipal cooperation, perhaps through targeted initiatives, projects, or agreements
(LeFevre, 2008) are also helpful.
• Frameworks and legislation should include structural provisions to ensure coordination between
interrelated policy sectors (e.g. economic development, infrastructure, environment, spatial
planning).
• In special districts, coordination can be fostered by placing the same individuals on more than
one board, encouraging multi-function districts rather than single-purpose districts, and making
decision-makers electable (Bird & Slack, 2008). Making state funding support contingent on levels
of cooperation or inter-sectoral integration can be highly effective.
• A reduction of political costs of cooperation can be achieved by fostering citizens’ identiication with
the region (See Social Participation section). Central governments can promote development of
informal policy networks between actors to share information about policy alternatives, strengthen
interpersonal ties and faith in procedural fairness, and thereby reduce costs of enforcing and
monitoring cooperative agreements (Schneider et al., 2003). They can also reduce costs of
cooperating by providing administrative support and inancial and regulatory supervision (Yaro &
Ronderos, 2011). States can also impose arrangements that raise the costs of non-cooperation.
21
Planning for Effective Governance
in Metropolitan Areas in Mexico
Related Examples
Guadalajara, Mexico: In 2014, the state of Jalisco enacted legislation to formalize metropolitan
coordination in the Guadalajara Metropolitan Area (AMG). The main function of the Metropolitan Institute
of Planning (IMEPLAN) is to promote and coordinate integrated cross-jurisdictional and cross-sectoral
programs and actions. IMEPLAN is in the early stages of formation and has yet to develop a consultative
process for decision-making. Nonetheless, the IMEPLAN is considered to be a very advanced structure
in the country, breaking new ground in metropolitan management. The creation of the formal structure
took approximately two years to establish and involved modifying or creating a number of articles in the
Political Constitution of the State of Jalisco. In developing its structure, the AMG had considered that the
existing low level of social participation in the region would make a voluntary model dificult to promote
and achieve. A formal institution with clear accountability was viewed as a better model to begin building
trust in metropolitan institutions and governance.
Colima, Mexico: Colima, with its much smaller regional population of approximately 200,000, is working
on a voluntary cooperation model as a starting place for coordination of service delivery. There is currently
a cooperation agreement to provide water services to three of the ive municipalities of the Region
through the Intermunicipal Water Commission (CIAPACOV). Initially, two municipalities were involved
as they are the largest and closest municipalities in the region and the cost effectiveness of having one
shared system was evident. A third municipality was added later, and began receiving services under
the agreement as its population and territory increased. The CIAPACOV provides and coordinates the
water supply and wastewater services to the cities of Colima, Villa de Alvarez and Comala. The structure
consists of a Management Board, composed of representatives of local authorities, and supported by a
Consultative Committee, formed by different stakeholders from the cities.
22
Planning for Effective Governance
in Metropolitan Areas in Mexico
SERVICE DELIVERY
The concept of service delivery could be deined as the municipal services that
a municipality provides to or for the beneit of the local community, irrespective
of whether the municipality provides the service itself, or engages an external
agency, or whether fees, charges or tariffs are levied in respect of the service
(ETU, 2010).
The most important basic services typically provided by municipalities are: water supply, sewage collection
and disposal, waste removal, mobility and air quality, municipal roads and storm water drainage, street
lighting, municipal parks and recreation, and urban planning.
These services have a direct and immediate impact on the quality of life of the people in that community
as they contribute to the creation of healthy and safe living environments. Inadequate delivery of these
services can make it dificult to attract business or industry to an area and thus limit job opportunities for
residents. Basic services needed in rural areas may differ from those in urban communities, a factor to
be considered in designing integrated service delivery systems.
Challenges and Mexican Context
Many municipalities in Mexico are unable to deliver quality basic services to residents. There are multiple
reasons for this, including a lack of inances and/or capacity to provide eficient service at an affordable
price, and in some cases, a lack of the required skills.
Article 115 of the Constitution of Mexico states that municipalities are responsible for their own municipal
services, necessitating changes to the federal laws to establish cooperative and accountable service
delivery models.
These service delivery challenges are further compounded by cross-jurisdictional issues such as
increasing environmental pollution and resource depletion, lack of continuity of programs and policies
due to one-term limits for municipal leaders, and conlicting interests on federally held lands and
resources. (Arévalo, n.d.).
Considerations
• Effective communication between the municipal government and its citizens often leads to better
identiication of a city’s priority needs and to creative solutions.
• Improved inancial planning is required to optimize the use of available funds for consolidated
service delivery (NBI, 2006).
23
Planning for Effective Governance
in Metropolitan Areas in Mexico
• Upgrading technical skills within municipalities will
obviously lead to service delivery improvements. In some
cities, however, it may prove more cost effective and
realistic to utilize private contractors for certain services,
or portion of the services.
• Established Planning Institutes in the larger municipalities
within metropolitan regions, such as Guadalajara and
Colima, offer another option for consolidated service
delivery.
• The creation of municipal owned companies to provide
public services has also proven effective. Such companies
may be operated through an independent board but local
authorities retain responsibility for performance.
Related Examples
• Local and regional governments in different countries
such as Canada, South Africa, and the United States have
achieved large cost reductions for municipal services
and have developed signiicant revenue by implementing
corporatization systems for public services either in
the form of municipal owned companies, public-private
associations or non-proit organizations.
• In Metro Vancouver, the water treatment and delivery
service is paid for by each municipality beneiting from the
service based upon the actual amount of water purchased.
This provides an incentive for each municipality to introduce
their own water conservation measures. Wastewater
service is also provided to member municipalities on a
low-based cost allocation formula. Although there are
a couple of isolated cases where municipalities provide
their own services, by and large most of the servicing
for drinking water supply and wastewater collection and
treatment is provided for the region by Metro Vancouver.
24
Planning for Effective Governance
in Metropolitan Areas in Mexico
Metro Vancouver collects and treats the
region’s wastewater at ive treatment
plants. The Annacis Island wastewater
treatment plant (above) provides secondary
treatment for over 1 million residents in 14
municipalities (Metro Vancouver, 2015)
Photo credit: Jeff Hitchcock, CC BY-NC 2.0 via Flickr
SOCIAL PARTICIPATION
Social Participation is understood to be when the voice of the members of a society
is taken into account in decision-making, either directly or through legitimate
representatives and / or organizations that represent their interests. This requires
a system that guarantees decision-making processes that relect and promote
the ideals of citizenship, through the involvement of individuals of various social
groups and the representation of political leadership. In this regard, the greater
participation of society promotes greater legitimacy and representativeness of
public policies (UNDP, 1997).
Challenges and Mexican Context
Social participation in Mexico is highly connected to democratic processes, speciically around the
election of government representatives. The exercise of consensus and decision power around a policy
or a speciic issue, however, is still very limited to covering a “requirement for public participation” and
is rarely part of a planning or implementation process. Participation without redistribution of power is an
empty and frustrating process for the powerless as it reinforces the status quo (Arnstein, 1969).
As in other countries, Mexico shares the problem of how to engage effectively with civil society or, more
appropriately, how to allow for its sustained and effective presence within governance systems. The creation
of networks and partnerships between public and non-public agents is essential for metropolitan areas in
Mexico that are becoming increasingly fragmented. The agglomeration of various municipalities implies
that the management process has to be an interactive process as no single actor or institution has the
information, knowledge or resources to tackle the regional problems. For a social participation scheme
to be sustainable, it will be necessary to develop a process of collective learning where opportunities and
challenges are identiied.
Considerations
• Social participation through technical councils, representatives of metropolitan management
institutions, civil society organizations, professional associations and universities could contribute
to bring more information to support regional policies at the metropolitan negotiating table.
• A review of Mexican legislation would be useful, to identify areas where the structure of metropolitan
government and other special provisions, such as public consultation, decision-making, inancing
and various mechanisms of social participation, could be incorporated.
25
Planning for Effective Governance
in Metropolitan Areas in Mexico
• Meaningfully involve civil society and stakeholders in planning. Promote citizens’ identiication with
metropolitan region through cultural events, such as an annual day of the metropolis as in the
German cities of Hannover and Stuttgart. Balance new metropolitan governance structures with
new neighbourhood councils for citizens, as in the City of Montreal.
• Make metropolitan decision-making processes more equitable for communities that surround an
otherwise dominant central city by reducing the weight of central city votes.
Related Examples
• Participatory Budgeting (PB) is practiced successfully in 250 cities in the world, and around 130
Brazilian cities have already adopted several versions of this public policy (Cabannes, 2004).
In Brazil, the experience of Porto Alegre - the best known among the participatory budgeting
practices – inspired important activities linked to social movements, including other proposals to
enhance local participatory governance. It has been shown that the participatory budget, as a form
of participatory practice designed from bottom up, has deinitely had positive impact on improving
the quality of governance and popular participation. (Avritzer, 2008). The PB process has created
many additional beneits such as providing civic education, bringing improvements in infrastructure
and other vital services to communities, minimizing corruption and promoting public debate, all
essential for a more accountable and eficient regional management structure (Baiocchi, 2003).
• Participatory Councils are institutional spheres of power sharing established by the State with mixed
representation of state and civil society actors. In Brazil, the Councils originated through demands
from social movements and were institutionalized through decentralization policies in the areas of
health, education and social assistance. Today, more than 5,000 Brazilian municipalities have active
councils. There is evidence that the participation of civil society can improve the quality of public
policies. In the last decade, research has shown that social control in health policy and social care
in Brazil has led to positive effects in reducing poverty and improving the living conditions of the
population (Avritzer, 2008).
26
Planning for Effective Governance
in Metropolitan Areas in Mexico
LAND USE
According to the OECD (2005), land use is “based on the functional dimension
of land for different human purposes or economic activities. Typical categories
for land use are dwellings, industrial use, transport, recreational use or
nature protection areas” (ibid, para 1).
Land use in urban areas refers to the various types of activities, structures,
and patterns that emerge through public planning, markets, and the daily
activities of humans in a particular place. Planning for effective use of urban
land is critical to the overall wellbeing of people, the economy, and the
environment.
Challenges and Mexican Context
Key issues related to land use in urban areas of Mexico are:
• Lack of Effective Land Use Planning: Every state has its Territorial or Urban Development law that
promotes state and municipal urban development plans and programs, and requires that they be
registered in the Public Property Registry. However, only 36% of the municipalities in the country
have an urban development plan and in some cases, these planning instruments are over 20 years
old. Additionally only 28% of the municipalities have zoning and land ordinances, of which 23 % are
out-dated. 70% of the National Urban System has a plan or program of urban development and of
these 21% have been updated; the rest require revision and updating.
• Urban Sprawl: Territorial expansion is a challenge in many urban areas of Mexico. In dense
metropolitan areas, such as Mexico City, Guadalajara, Monterrey, and León, more afluent
households usually choose to move away from the city centre to suburban areas. This shift has
a signiicant impact on the metropolitan spatial distribution, as new roads and infrastructure are
built to service these residents. In addition, new arrivals to a region are often poor labourers from
other parts of the country seeking the more affordable housing on the outskirts. The result is urban
sprawl, and in the absence of effective land use planning, low-density developments become the
norm, with higher cost implications for transportation, facilities and services.
27
Planning for Effective Governance
in Metropolitan Areas in Mexico
• Housing: the lack of housing available for low-income
populations has led to an increase in informal settlements,
as the government has not been able to provide land in well
located areas, near job opportunities and services. Thus
the rise of informal settlements in the more affordable
outskirts of the cities has greatly exacerbated the pattern
of urban sprawl within Mexican Metropolitan areas.
This has correspondingly led to an inability to protect
service and infrastructure rights of way, and to safeguard
environmentally protected areas.
• Land Reserves: The provision for land reserves and the
deinition of public policies to address the increasing demand
for housing and infrastructure is a federal responsibility;
however the implementation of land use policies is the
responsibility of municipal authorities. At this time, there is
little or no regulation and intervention by public authorities
on the creation of land reserves for future growth of the city,
or to avoid existing market speculation. Urban land markets
in Mexico do not provide or guarantee suficient supply
of serviced land at affordable prices for the low-income
population. According to the proposed General Law of Cities
and Territory, which will replace the LGAH, the three orders
of government will promote land policy and land reserves
for urban development and housing and assure the social
function of property. The Federal government will promote
the creation of an arms-length entity with technical and
legal autonomy to implement national land policy. The
new Law also gives power to the Ministry of Agriculture,
Territorial and Urban Development, along with states and
municipalities to acquire land reserves.
• Service Provision: Serviced land, which includes basic
services, infrastructure and public facilities, needs to be
provided proportionally to population growth. For instance,
for every million dwellings, approximately 25,000 hectares of
serviced land is required. However, the lack of coordination
between authorities at municipal, metropolitan, and state
levels tends to exacerbate problems such as informal
settlements, land speculation, and urban sprawl.
28
Planning for Effective Governance
in Metropolitan Areas in Mexico
Belcarra Regional Park (above) is one of 22 parks in
Metro Vancouver’s regional park system
Photo credit: GoToVan, CC BY 2.0, via Flickr
• Property-related Tax: In Mexico there are a number of tax instruments for capital gains tax on
urban land such as taxes on property, sales, leases, the increase of the land value by projects
and contributions for improvements. However the actual application of these instruments is
very sporadic due to the low enforcement capacity in municipal governments. Property tax is the
second source of municipal inancing. According to Iracheta & Iracheta (2014), the Metropolitan
Funds provided by the Federal Government to the 59 metropolitan areas do not contain adequate
operation guidelines that guarantee fair distribution of resources within the metropolitan areas.
Decision making on how to apply the funds are not guided by an integrated or consistent policy
(ibid). Furthermore, there is a lack of monitoring to guarantee their proper use in regional projects.
Considerations
• The revision of laws and the current land use framework in order to enforce effective use of planning
instruments is an urgent step to be taken in the short term. The articulation of territorial and
urban iscal policy will increase investment and inancing opportunities for regional infrastructure
projects, increase transparency of the property market, help penalize speculation and facilitate
improved access for housing and land investments in the city (UN Habitat, 2013).
• Instruments will be necessary to promote land re-use, mainly in industrial areas where large
parcels of land that have been abandoned could be re-purposed for housing or regional facilities
and re-densiication policies that will allow better use of available land within the city.
• All levels of Government, especially Federal, need to implement the instruments to help contain
urban growth and consolidate the existing cities, as promoted by the recently created Ministry of
Agrarian, Territorial and Urban Development, SEDATU.
• Land-use planning that curbs territorial expansion within a region can produce higher land prices
and tax-burdens for low-income households (Klink, 2008). Therefore, policies for land regulation
should be implemented to prevent speculation within the city by sanctioning long term land vacancy
taxes and/or taxing according to its potential land use.
Related Examples
• In 2014, the Mexican Federal Government announced the formation of the National Institute of
Sustainable Land, INSUS, whose main functions will be to formalize informal settlements located
on federal land and to promote the acquisition of land reserves for urban development and housing,
especially for low income populations. However, the Institute has not yet begun operating.
29
Planning for Effective Governance
in Metropolitan Areas in Mexico
• An interesting example intended for land containment is the scoring system that has been applied to
housing subsidies by the National Housing Commission, CONAVI. The amount of subsidy available
for more dense developments was increased. Further changes to the rules are anticipated in 2018,
when subsidies will be allocated based on a locations’ access to public transportation and facilities.
• CONAVI also established urban growth boundaries in 2012 as a measure to deine areas for housing
development and constrain sprawl.
Territorial expansion is a challenge in many urban areas of
Mexico, including Mexico City (below).
Photo credit: Edmund Garman, CC BY 2.0, via Wikimedia Commons
30
Planning for Effective Governance
in Metropolitan Areas in Mexico
FINANCING
Financing of metropolitan regional services and operational systems has
always been a challenging aspect of the governance structure because there
is a constantly increasing need for funds to solve problems associated with
interconnected urban growth (conurbation). These problems emerge either
because of the lack of consensus between metro municipalities about the best
inancing mechanism, or the insuficiency of inancial resources obtained
through the traditional sources of public revenue. Sustainable, adequate
and eficient public inancing of metropolitan regional infrastructure and
services is urgently needed.
Challenges and Mexican Context
The greatest challenge associated with the inance aspect is to ensure the provision of stable and
reliable inancial support over the long term in order to support the development and implementation
of comprehensive urban development regional policy frameworks. This can only be achieved through
signiicant political support together with strong social control (social participation) and eficient regional
planning.
In the Mexican context, implementing agreements between metropolitan municipalities is essential, as
formal metropolitan governance structures are still rare. Future arrangements will depend fundamentally
on adequately addressing the complexity of shared information systems, political willingness and support,
technical expertise and clear regional planning goals. Trust between partner metro municipalities, as well
as an eficient structure of social participation, should be pursued through mechanisms of consensusbuilding and related processes. Revisiting the complex Mexican legal apparatus for inancing of metro
regions is an important and logical step at the Federal, State and Municipal levels.
The Mexican government’s Metropolitan Funds have not quite achieved their goal. It is necessary to have
a strategy that truly prioritizes initiatives from a territorial perspective and not a sector perspective.
However, some progress has been made. For example, the Secretaría de Desarrollo Agrario, Territorial
y Urbano (SEDATU) has recently asked IMEPLAN in Guadalajara to ensure the linkage between longterm strategic planning goals with a multi-annual investment plan using the Metropolitan Funds among
other state or municipal inancing sources. This kind of strategic planning will be integrated into the
Metropolitan Development Program 2015-2035 that IMEPLAN is currently elaborating.
31
Planning for Effective Governance
in Metropolitan Areas in Mexico
Key considerations for inancing include: the source of funding for administration and projects of the
metropolitan governance arrangement; the type of revenue-raising tools to be used; and determination
of where authority rests for regulation of use of funds.
• At least part of funding for metropolitan regions typically comes from higher levels of government.
Such subsidies or grants should be regulated by law, predictable, and transparent. Central
governments can also offer new revenue-generating powers to regions, such as the capacity to
negotiate international loans, aid and cooperation (Yaro and Ronderos, 2011).
• Metropolitan institutions controlling their inances tend to thrive; those that don’t are often
weakened by disputes among funders (Bird & Slack, 2008).
• Scaling up service provision to reduce costs works in some sectors like water and sewage, but not
all: expenditures in diverse regions tend to rise in policing, waste collection, and recreation. Wages
and service levels tend to harmonize upwards across regions (Bird & Slack, 2008), According to a
recent OECD report (2015), the key areas requiring metropolitan governance are: Land Use and
mobility (public transport). Thus inancing should be strongly oriented to these issues.
• Revenue-generating mechanisms can include: user fees, property taxes, excise taxes (on activities
or products), personal payroll taxes, income taxes, sales taxes, business taxes and development
cost charges. In the case of Latin America, various mechanisms were analysed by the Lincoln
Institute of Land Policy (LILP) in a conference in Quito in 2013 (Smolka & Furtado, 2014).
• City services can be billed on a “life-line” pricing system (in which the irst block of essential service
use is billed more cheaply than the next) to address equity concerns. Tax-base sharing mechanisms
can link eficiency and equity, as the region of Minneapolis-St Paul is doing (see related examples).
• Public-private partnerships (known as P3s) are partnerships between government and the private
sector party whereby the private sector provides infrastructure or services that have traditionally
been delivered by the public sector. Under a P3, government retains ownership of the assets and
sets policies and levels of service while tapping into the private sector for strategy and expertise.
Related Examples
• Tax-base sharing mechanisms can link eficiency and equity, as does Minneapolis–St. Paul
metropolitan region’s Fiscal Disparity Plan (Bird & Slack, 2008). It redistributes 40% of the annual
increase in tax base of each municipality’s commercial-industrial property to needy municipalities
with a formula that considers net commercial tax capacity and average market value per capita.
Beneits of rapid commercial or industrial growth in some communities are thus widely shared.
32
Planning for Effective Governance
in Metropolitan Areas in Mexico
• P3s are widely used in the U.S. and Europe, prompted by an interest in improving the eficiency
and effectiveness of local public service delivery. Partnerships BC (Canada), for example, is a
corporation owned by the provincial government that brings together ministries, agencies, and the
private sector for projects such as water treatment plants, bridges, roads, and a rapid transit link
to airport. In 2012 a law to regulate public-private partnerships was approved that could provide
useful opportunities for service management in metropolitan areas (Ley de Asociaciones Publica
Privadas, 2012)
• In Metro Vancouver, the water treatment and delivery service is paid for by all municipalities that
beneit from the service, according to the amount of service they receive, as determined through
water metering. This creates equitable cost sharing, and provides an incentive for municipalities to
introduce water conservation measures.
• There is a study on innovative examples that presents 21 cases such as the “Beneits on the
concession of the right to build” in Brazil, or the “Integrated development between developers and
municipal authorities” in Chile that offer sound and proven examples of what can be implemented
in Latin America (Smolka & Furtado, 2014).
33
Planning for Effective Governance
in Metropolitan Areas in Mexico
CONCLUSIONS
This project facilitated an exchange between Mexican, Canadian and Brazilians about options, models,
and considerations for developing effective metropolitan governance. Several important lessons
emerged through this process, which we include here for consideration by Mexican policy makers and
public oficials.
Mandatory metropolitan governance
Metropolitan regions require recognition in the Constitution and a legal framework for a national
metropolitan policy that will make regional coordination permanent and mandatory. While the model
of voluntary cooperation has appeal as it would avoid some of the existing legal barriers to establishing
formal structures, interview respondents suggested that in consideration of the Mexican culture and
experiences to date, mandatory regulation is more likely to be successful. Furthermore, in order to
make regional collaboration meaningful and durable it requires the stability and robustness of a legal
framework (Martin, 2010).
Allow for a variety of models to emerge
In the Mexican context, it’s necessary to look at a diversity of actions in public policy to coordinate
metropolitan efforts. Examples are the statutory metropolitan models or the speciic collaboration
agreements as part of new schemes of partnerships between state and municipalities. These public
policies have laid important groundwork for the purpose of creating optimal conditions for new structures
of metropolitan planning, administration and participation (Huacuz-Elías, 2012).
Accountability and participation are key to success
Decision-making bodies that are accountable and equitable require effective ways to involve stakeholders
and civil society. Interviews conducted with representatives of the metropolitan municipalities in ColimaVilla de Alvarez and Guadalajara indicated that there is a general awareness amongst government
oficials of this need, and for the reform of Mexican legislation to include public engagement mechanisms
and policies. Regular public hearings and speciic days for debate of metropolitan policies should be
mandatory, and held across the region. Deliberative democracy tools, like citizens’ juries and participatory
budgeting processes (such as practiced in many Brazilian municipalities), provide useful models.
Consider working with private sector for service delivery
Upgrading technical skills within municipalities can lead to service delivery improvements. In some cities,
however, it may prove more cost effective and realistic to utilize private contractors for certain services,
or portion of the services.
34
Planning for Effective Governance
in Metropolitan Areas in Mexico
For Public private partnerships, it´s important for the private sector to have conidence regarding the
stability of the rules applied to joint projects so there will be continuity despite the three or six years in a
political cycle (municipal and federal, respectively). Initiatives would be more solid if they were anchored
in a metropolitan plan backed by a commitment of all municipalities and ratiied by their Legislatures.
Start small
Coordinating just one or two services at a Metropolitan level can be a great place to start. This allows
municipalities to retain their autonomy while reducing costs and improving service delivery in particular
sectors such as waste management. This would require clear identiication of which service areas would
beneit from metropolitan coordination, and which fall within individual municipal interests.
The importance of leadership
Political leadership will be critical for moving efforts towards metropolitan governance forward. For this,
a certain level of education and knowledge needs to be promoted amongst leaders to create awareness
and encourage them to take action. In a political system such as Mexico’s where municipal leaders cannot
be re-elected for a second term, educational efforts will need to be accompanied by strong stakeholder
engagement and planning structures that support long-term thinking and are independent of political
cycles.
Explore City Labs – an innovation for solving urban problems
A way to promote collaboration not only amongst the municipalities involved but also across sectors is
through the relatively new concept of City Labs, a popular learning and innovation tool being set up in
cities worldwide. The concept involves bringing interdisciplinary teams of local stakeholders together to
develop solutions to practical city problems. City Labs produce multiple beneits, not the least of which is
their usefulness as engagement and collaboration tools. These can be further explored either at the city
or the region level.
Use multiple funding sources
It is critical to ensure there is a clear funding source for shared service delivery at a metropolitan level.
Revenue sources may include user fees, property taxes, excise taxes (e.g. on activities or products),
personal payroll taxes, income taxes, sales taxes, and business taxes. Development cost charges, publicprivate partnerships, and borrowing are also used.
35
Planning for Effective Governance
in Metropolitan Areas in Mexico
ADDITIONAL THOUGHTS
The ultimate aim of this project was to share expertise and to explore structures and tools that could
be adaptable for Mexico in its pursuit of effective metropolitan governance. We fostered an exploratory
process through literature, in-depth interviews with key players, and the opportunity to examine practices
from metropolitan regions outside Mexico, such as Vancouver, Canada and Natal, Brazil.
The research and the exchange held in Guadalajara revealed that there are several areas requiring further
research for Metropolitan governance to evolve in Mexico. The most critical of these are:
Jurisdiction
What kinds of services and policies are best coordinated at a metropolitan level, and which
are better left to municipalities to address individually? This information will make it easier to
know how to assign powers and responsibilities to metropolitan institutes.
Regulations
What kinds of legal changes need to happen to truly promote and incentivize metropolitan
governance in Mexico?
Social Participation
What are the best social participation mechanisms to ensure effective, long-term planning
happens, despite short tenures in political ofice?
36
Planning for Effective Governance
in Metropolitan Areas in Mexico
REFERENCES
Agyeman, J.,Bullard, R., & Evans, B. (Eds). (2003). Just sustainabilities: Development in an unequal
world. London: Earthscan.
Alexander, E.R. (2006). Institutional design for sustainable development. The Town Planning Review,
77(1): 1-27.
Arévalo, A. (n.d.). Diagnóstico del municipio en México. Mexico City: Centro de Servicios Municipales
(CESEM).
Arnstein, S. R. (1969). A Ladder of citizen participation. American Institute of Planners Journal, 35(4):
216-224.
Avritzer, L. (2008) Instituições participativas e desenho institucional: Algumas considerações sobre a
variação da participação no Brasil democrático. Opiniao Publica, Campinas, 14(1): 43-64.
Baiocchi, G. (2003) Participation, activism and politics. In Fung, A. & E. Wright (Eds.), Deepening
democracy: institutional innovations in empowered participatory governance (Real Utopias
Project). London: Verso.
Bird, R., & Slack, E. (2008). Fiscal aspects of Metropolitan Governance. In E. Rojas, J., Cuadrado-Roura,
J. & F. Guell (Eds.), Governing the Metropolis: Principles & Cases. New York: InterAmerican
Development Bank.
Cabannes, Y. (2004) Participatory budgeting: a signiicant contribution to participatory democracy.
Environment and Urbanization, 16(1): 27-46
CMM-Centro Mario Molina. (2013). Ciudades y estados con iniciativas climaticas: zona metropolitana de
Guadalajara. http://centromariomolina.org/wp-content/uploads/2014/01/4.-CiudadesEstados
IniciativasClim%C3%A1ticas_CasoGuadalajara.pdf
Dowding, K., & Feiock, R. (2012). Intralocal Competition and Cooperation. In Mossberger, K., Clarke, S.E.,
& P. John (Eds.), The Oxford Handbook of Urban Politics. Oxford, UK: Oxford University Press.
ETU-Education and Training Unit. (2010). Municipal Service Delivery. http://www.etu.org.za/toolbox/
docs/localgov/munservice.html
37
Planning for Effective Governance
in Metropolitan Areas in Mexico
Heinelt, H. & Kübler, D. (2005). Metropolitan Governance: Capacity, democracy and the dynamics of
place. London / New York: Routledge..
Hulst, R. (2005). Regional governance in unitary states: Lessons from the Netherlands in comparative
perspective. Local Government Studies, 31(1): 99-120.
Iracheta, A., & Iracheta, J.A. (2014). Evaluación de los fondos metropolitano y regional del gobierno
federal mexicano. México City: CIDE, Centro CLEAR para América Latina, SHCP, BID,
El Colegio Mexiquense, Centro Eure. http://www.clear-la.cide.edu/sites/default/iles/
Evaluaci%C3%B3n%20de%20los%20Fondos%20Metropolitano%20y%20Regional_
Iracheta%20e%20Iracheta.pdf
Iracheta, A. (2005). Zona Metropolitana del Valle de México: Crisis y Oportunidad. Colegio de México,
presentación de tema para Metropoli.org
Iracheta, A. (2003). Gobernabilidad en la Zona Metropolitana del Valle de México. Papeles de Población,
Universidad Autónoma del Estado de México, 9(36), 211-239.
Keil, R., & Whitehead, M. (2012). Cities and the Politics of Sustainability. In Mossberger, K., Clarke, S.E.,
& P. John (Eds.), The Oxford Handbook of Urban Politics. Oxford, UK: Oxford University Press.
Klink, J. (2008). Recent Perspectives on Metropolitan Organization, Functions, and Governance. In
Rojas, E., Cuadrado-Roura, J. & F. Guell, (Eds.), Governing the Metropolis: Principles &
Cases. New York: InterAmerican Development Bank.
Kroen, A. (2009). Cooperative Metropolitan Governance: Towards Effective Regional Sustainable
Development? PhD Dissertation, RMIT University, Melbourne, Australia. http://researchbank.
rmit.edu.au/eserv/rmit:6162/Kroen.pdf
Kübler, D., & Schwab, B. (2007). New regionalism in ive Swiss metropolitan areas: An assessment of
inclusiveness, deliberation and democratic accountability. European Journal of Political
Research, 46(4): 473-502.
LeFevre, C., & Weir, M. (2012). Building Metropolitan Institutions. In Mossberger, K., Clarke, S.E., & P.
John (Eds.), The Oxford Handbook of Urban Politics. Oxford, UK: Oxford University Press.
38
Planning for Effective Governance
in Metropolitan Areas in Mexico
LeFevre, C. (2008). Democratic Governability of Metropolitan Areas: International Experiences and
Lessons for Latin American Cities. In Rojas, E., Cuadrado-Roura, J. & F. Guell, (Eds.),
Governing the Metropolis: Principles & Cases. New York: InterAmerican Development Bank.
Ley de Asociaciones Publico Privadas (2014). http://www.diputados.gob.mx/LeyesBiblio/pdf/
LAPP_110814.pdf
Martin, R. 2010. Rethinking Regional Path Dependence: Beyond Lock-in to Evolution. Economic
Geography, 86(1): 1-27.
OECD-Organization for Economic Co-operation and Development. (2015). Governing the City. OECD
Publishing: Paris.
OECD-Organization for Economic Co-operation and Development. (2006). OECD Territorial
Reviews: Competitive Cities in the Global Economy. http://www.oecd.org/gov/
oecdterritorialreviewscompetitivecitiesintheglobaleconomy.htm
OECD-Organization for Economic Cooperation and Development. (2005). Land Use. https://stats.oecd.
org/glossary/detail.asp?ID=6493
Ostrom, E. (1990). Governing the Commons: The Evolution of Institutions for Collective Action.
Cambridge: Cambridge University Press.
Espejel Mena, J. & Rodríguez Mena, J.L. (2014). Los procesos urbanos y regionales de las metrópolis
en México. Centro Universitario UAEM Zumpango: Work presented at the 2nd International
Congress of the Mexican Association of Political Science (AMECIP), organized in collaboration
with the Autonomous University of the State of Mexico, in the City of Toluca on September
11th, 12th and 13th, 2014.
Moreno Pérez, S. (2006). La gestión, coordinación y gobernabilidad de las metropolis; Centro de
Estudios Sociales y de Opinión Pública, Documento de Trabajo número 9.
Pascual Esteve, J.P. & Fernández Paricio, A. (n.d.). La gobernanza democrática: un nuevo enfoque para
los grandes retos urbanos y regionales. http://www.aeryc.org/correspondencia/puerto%20
rico/PUB%20BOGOTA%20JA%20GOBERNANZA%20DEMOCRATICA,%20NUEVO%20
ENFOQUE%20RETOS%20URBANOS%20Y%20REGIONALES.pdf
39
Planning for Effective Governance
in Metropolitan Areas in Mexico
Rojas, E. (2008). The Metropolitan Regions of Latin America: Problems of Governance and Development.
In Rojas, E., Cuadrado-Roura, J. & F. Guell, (Eds.), Governing the Metropolis: Principles &
Cases. New York: InterAmerican Development Bank.
Rusk, D. (2006). Inclusionary zoning: A key tool in the search for workable affordable housing programs.
Public Management, 88(3): 18-22.
Rusk, D. (2005). Nine lessons for inclusionary zoning. Keynote remarks to the National Inclusionary
Housing Conference, Washington, DC., Oct. 2015. http://www.wellesleyinstitute.com/wpcontent/uploads/2013/01/ResourceUSRuskNIHC.pdf
Sancton, A. (2005). The Governance of Metropolitan Areas in Canada. Public Administration and
Development, 25(4): 317-327.
SEDESOL-Secretaria de Desarollo. (2010). Indicadores Sociales con Informacion de los Censos 1990,
2000 Y 2010. http://www.2006-2012.sedesol.gob.mx/es/SEDESOL/Censos_
Schneider, M., Scholz, J., Lubell, M., Mindruta, D., & Edwardsen, M. (2003). Building Consensual
Institutions: Networks and the National Estuary Program. American Journal of Political
Science, 47(1): 143-158.
NBI-National Business Initiative. (2006). Overview of Municipal Service Delivery Mechanisms.
Johannesburg, South Africa. http://www.nbi.org.za/Lists/Publications/Attachments/76/
Overview_Municipal_Service_Delivery_Mechanisms.pdf
Slack, E. & Bird, R. (2013). Merging Municipalities: Is Bigger Better? Toronto, Ontario: Institute on
Municipal Finance and Governance, Munk School of Global Affairs. http://www.munkschool.
utoronto.ca/imfg/uploads/219/imfg_no_14_slack_birdr3_online_inal.pdf
Slack, E. (2007). Managing the Coordination of Service Delivery in Metropolitan Cities. World Bank,
Urban Development Unit. Policy Research Working Paper 4317. http://munkschool.utoronto.
ca/imfg/uploads/99/world_bank_paper_aug_07.pdf
Smolka, M.O., & Furtado, F. (Eds.) (2014). Instrumentos notables de políticas de suelo en América
Latina. Lincoln Institute of Land Policy. http://www.lincolninst.edu/pubs/2414_
Instrumentos-notables-de-pol%C3%ADticas-de-suelo-en-Am%C3%A9rica-Latina
40
Planning for Effective Governance
in Metropolitan Areas in Mexico
Tretter, E. (2013). Sustainability and Neoliberal Urban Development: The Environment, Crime and the
Remaking of Austin’s Downtown. Urban Studies, 50(11): 2222-2237.
UNDP-United Nations Development Programme (1997). Governance for Sustainable Human
Development: A UNDP Policy Document. http://www.pogar.org/publications/other/undp/
governance/undppolicydoc97-e.pdf
UN Habitat, CONAVI. (2013). México. Peril del Sector Vivienda. Programa Universitario de Estudios
sobre la ciudad. http://www.economia.unam.mx/cedrus/descargas/peril_sector_vivienda_
digital.pdf
Urban and Regional Planning Economic Development Handbook. (2005). Fiscal Disparity Plan. http://
www.umich.edu/~econdev/iscaldisparityplan/
World Bank. (2007). Managing the Coordination of Service Delivery in Metropolitan Cities. Urban
Development Unit. http://elibrary.worldbank.org/doi/abs/10.1596/1813-9450-4317
Yaro, R., & Ronderos, N. (2011). International Metropolitan Government: Typology, Cases
and Recommendations. The World Bank Group and Regional Plan Association:
Colombia Urbanization Review. http://www.urbanknowledge.org/ur/docs/Colombia_
Interjurisdictional%20Coordination.pdf
Additional image credits
Brazil map:
GFDL, CC BY-SA 2.5-2.0-1.0, (http://creativecommons.org/licenses/by-sa/2.5-2.0-1.0)], via Wikimedia
Commons
Canada map:
Lokal_Proil image cut to remove USA by Paul Robinson, CC BY-SA 2.5, http://creativecommons.org/
licenses/by-sa/2.5)], via Wikimedia Commons
Mexico map:
Allstrak, CC BY-SA 3.0 (http://creativecommons.org/licenses/by-sa/3.0) or GFDL (http://www.gnu.org/
copyleft/fdl.html)], via Wikimedia Commons
Icons (in order of appearance) created by Воеводин Степан, Marco Galtarossa, Loyd Humphreys, and
Serkan Dogan from the Noun Project
41
Planning for Effective Governance
in Metropolitan Areas in Mexico
For more information about this project, contact:
Gretchen Hernandez: gha13@sfu.ca
Edna Aguiñaga: edna@icsc.ca
www.sfu.ca/cscd/Projects
This work was carried out with the aid of a grant from
the International Development Research Centre, Ottawa, Canada.
Report design: Michelle Vandermoor
Map production: Cory Cheung (except for Natal map)