DECENTRALIZATION, LOCAL

GOVERNANCE AND COMMUNITY

PARTICIPATION:
A CARIBBEAN PERSPECTIVE

PRESENTATION TO
CARIBBEAN SUB-REGIONAL FORUM ON

EFFECTIVE LOCAL GOVERNANCE: INNOVATIVE

APPROACHES TO IMPROVING MUNICIPAL
MANAGEMENT
MONTEGO BAY, JAMAICA
MAY 16-17, 2000

BY: KEITH L MILLER

INTRODUCTION
THE CARIBBEAN SUB REGION AND CARICOM
The Caribbean Sub-Region is internationally regarded as comprising the string of islands stretching
from the Bahamas in the North-West to Trinidad & Tobago in the South-East, as well as the
mainland countries of Belize in Central America and Guyana, Surinam, and French Guyana on the
South American continent. The latter 3 countries and the Bahamas are not physically located in, or
bordering on, the Caribbean Sea from which the Sub-Region derives its name, but are traditionally
treated as part of the Caribbean.
Caribbean countries are all former colonies of European powers, i.e. England, Spain, France, and
Holland. The USA joined this club towards the end of the 19th century by assuming control of
Puerto Rico and US Virgin Islands. Most Caribbean states have now gained their independence, but
several remain colonies, or have been given some form of special status as part of their metropolitan
country. Caribbean states vary in size and population, the largest being Cuba with an area of 44,000
square miles and 10 million people. The vast majority however, are small islands which fall within
the international definition of small or micro states. The mainland states, while having relatively
large land areas, are very sparsely populated (e.g. Guyana with a land mass of 215,000 sq km and a
population of 850,000), and therefore also fall within most definitions of smallness.
It is the combination of small size, colonial heritage, relative state of under-development and their
vulnerability to external forces such as globalization, which characterize the countries of the Subregion, and provide the context for an examination of the applicability and usefulness of concepts of
decentralization, local government and citizen/community participation as being relevant to the
quest for development and good governance in the Sub-region. For the purposes of this Paper
however, the focus of analysis will be on CARICOM member states.
CARICOM (the acronym for Caribbean Common Market) is an economic integration treaty

embracing some 14 Caribbean countries. It is slated to become a Single Market and Economy by
December 2000, and can be seen as a Caribbean response to the global trend towards creation of
larger trading blocks, in order to provide larger markets for local business-people. The majority of
members, and original signatories to the treaty, are the former British colonies of Antigua/Barbuda,
Barbados, Bahamas, Belize, Dominica, Grenada, Guyana, Jamaica, Montserrat, St Kitts/Nevis, St
Lucia and Trinidad & Tobago. These have subsequently been joined by Haiti and Surinam. The
Dominican Republic has been accorded observer status, and is now seeking full membership.

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A GLOBAL PERSPECTIVE ON DECENTRALIZATION

As the third millennium dawns, decentralization, enhancement of local government and

participation of civil society in governance have become major agenda items in discussions on
political/public administrative reform, and now command the attention of major international
agencies, academicians and policy-makers throughout the world. Heightened interest in these
inter-related concepts is driven by a growing imperative for countries around the globe to find
ways to improve the quality of governance, deliver services in a more cost effective and
responsive manner, and to reverse the growing alienation of citizens from the electoral process.
Equally compelling is the fact than several global trends and factors pose problems and
challenges which threaten to overwhelm the capacity of national governments to find appropriate
responses. These point to the need for a paradigm shift in the concept and practice of governance
and public administration, towards new approaches which can meet those challenges. Factors
which drive the search for this new paradigm, and which while being applicable to most
countries are particularly acute in respect to developing countries, include the following:
1.

Rapid population growth and urbanization will cause the urban populations in developing
countries to more than double by 2050, as most of the expected increase in world
population, from 6 to 12 billion, will occur in urban centres in these countries. As a case
in point the urban population of Jamaica stood at 1,154,000 in 1991, and is projected to
rise to 2,642,000 by 2020, an increase of 120%. These nations therefore face the uphill
task of providing, within 50 years, housing, infrastructure and social services/ amenities
equivalent to what it has taken them centuries to provide for their existing urban
populations.

2.

Most developing nations have huge existing deficits in providing basic social services for
their citizens. They therefore not only need to meet the demands of rapidly expanding
urban populations, but also to make up on those deficits. High levels of poverty;
inadequate/poorly maintained infrastructure, alarming levels of environmental
degradation, lack of a social safety net for vulnerable groups; lack of basic social
amenities, and poor planning, are symptomatic of conditions in most of these urban
centres.

3.

Growing concerns about environmental sustainability bring new challenges to public

management and impose serious restraints on the development agenda of developing
countries, as efforts to satisfy urgent socio-economic needs must now be balanced by
concerns about environmental degradation. Potential and actual impact of phenomena
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such as global climate change and natural disasters (e.g. earthquakes, hurricanes, etc),
constitute special security concerns for small island states, such as in the Caribbean.
4.

Globalization and the accompanying communications/information revolution have

sparked an explosion in expectations of the average citizen as to the quality of life to
which they consider themselves entitled, and have made them impatient in being able to
achieve it.

5.

Increasing life expectancy in developing countries mean that the phenomenon of rapidly
increasing aged populations is occurring at an earlier stage of economic transformation
than was the case in developed countries, and simultaneously with an explosion in their
youth population. Thus developing countries are having to cope with problems associated
with phenomena related to both stages of development.

6.

An increasingly assertive citizenry, bolstered by ready access to information of public

affairs and of their rights and powers, is no longer prepared to passively consent to
decisions handed down to them, or to accept choices made on their behalf by leaders who
they see as being remote to their situation/concerns.

7.

Extremely limited resources, on which there are competing claims for social services,
national security, debt servicing, and developmental needs, present difficult political
choices with attendant risks of social upheaval, particularly in the context of widespread
alienation from the political process and mainstream society. In such situations, a critical
requirement for effective political management, social cohesion and building of social
capital, and for reconciling expectations/desires to available resources, is the creation of
mechanisms for broad participation in decision-making about national and local
priorities, and about the use of resources to meet those priorities.

The nature and magnitude of challenges arising from these trends and factors point to the need
for a model of governance and public management which emphasizes local self-management and
greater participation of local stake-holders, to facilitate innovative and problem-solving
approaches in these processes, and to ensure that policy directions and initiatives adopted have
the support of key stakeholders, and benefit from the collective wisdom of the community. Such
a model would also facilitate mobilization of local resources (both financial and human) and
energies, which existing approaches are unable to do. Decentralization, particularly through
stronger and more effective systems of Local Government, is an essential element of such a
model.

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CARIBBEAN PERSPECTIVES ON DECENTRALIZATION

AND LOCAL GOVERNANCE
Caribbean States are classified as developing countries. They face an urgent need to achieve
development and are subject to the trends identified above, and therefore must be interested in
new models of governance/public management which promise to be better able to respond to the
new challenges and to facilitate development. However, several peculiar physical, historical,
socio-political and institutional factors have consequences for decentralization and the viability
of local government in Caribbean states, given their size and post-colonial character. These
concepts must therefore be assessed in the context of those peculiar factors, to determine their
applicability and suitability to states with such characteristics. Factors which are particularly
relevant include:

The Factor of Size: The major factor raised in respect to the relevance of
decentralization and/or the viability of local government to Caribbean states is that of
size. It is raised particularly in respect to smaller islands, but have been advanced in the
case of the larger islands, which by world standards also qualify as small states. Among
arguments advanced in support of the view that they are not relevant are:

That the limited resource base of these economies cannot maintain two levels of
government.
That the range and volume of public management tasks and functions in these
small states are not sufficient to justify two distinct levels of Government.
That most functions assigned to Local Government can be more efficiently
performed centrally, because of economies of scale and more effective use of
scarce trained/competent manpower.
That developments in communications/transportation have obviated the original
justification for local government i.e. the remoteness/inaccessibility of outlying
areas from the Capital.

Counter arguments to the above include the following:

It is precisely where resources are limited that the need for local participation is
greatest, as this facilitates innovativeness & mobilization of local resources and
contributions which would be unavailable to centrally directed initiatives, and

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which add value to the development process.

Small size is relative. Countries with limited land areas/populations operate
effective and viable local governments. Others have found that advantages gained
through local self-management make it worthwhile to maintain municipalities
with populations of a few thousand.
The much heralded economies of scale are often more theoretical than real, as the
extended chain of command and remoteness from the action scene which
characterizes centralized operations often result in poor decision-making,
unresponsiveness, inability to effectively supervise or take timely action, and an
absence of a sense of ownership.
The view that modern technology can satisfy the communication needs of good
governance is predicated on a top-down, authoritarian approach to the exercise of
political power. It assumes a one-way flow of information and opinions, and
ignores the imperative of dialogue between the governors and the governed as an
essential element of good governance in modern-day society.

The issue as to what constitute a minimum size at which a local authority is viable is also
relative. While many contend that some local authorities in Jamaica with populations of 70,000
are too small to be viable, Malta with 67 municipalities ranging in population from 18,000 30,000, considers all of them to be viable. Sweden has rationalized its local government system
over the past 50 years by reducing the number of municipalities from 2,400 to 289, but still retain
municipalities with populations of 3,000, holding that they are viable.

Inherited Model of Governance and Public Administration. English speaking

Caribbean nations have inherited the Whitehall/Westminster Model of governance/public
administration. There is much debate as to the continued usefulness of the model to the
development needs and realities of these countries. Of immediate interest to this
discussion however, is the implications and consequences of the features of this model for
the process of, or prospects for, decentralization.

The Model is characterized by an over-centralization of state functions and an

authoritarian approach to public management. Efforts at decentralization are
therefore usually seen as threats to the control and status of the centre, and are
treated with suspicion or even hostility. To the extent that central bureaucracies
have had to accommodate Local Government systems, they have sought to make
that institution subordinate or inferior.

The inherited model and colonial experience have produced a cadre of public
administrators who are primarily status oriented, imitative and reactive, rather
than achievement oriented, innovative problem-solving and pro-active. This is

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Institutional Capacity. Weak capacity to respond to the tasks/challenges of national

development, in the context of post-colonial state of underdevelopment and recent
phenomena such as globalization, is a feature of the inherited model. Over-centralization
is a major inhibitor to capacity development. Decentralization provides a facilitating
framework for institutional development/capacity building, but itself faces challenges
because of weak capacity at all levels, i.e. at national and local government levels, and
among the key partners in the process of participatory governance, such as civil society in
the form of non-governmental and community based organizations. Institutional capacity
building issues include:

characteristic of both central and local administrators, and constitute major

concerns for a decentralization process aimed at creating local capacity to take on
the challenges of locally led development.
Another characteristic of this model is that it marginalizes and dis-empowers a
vast majority of the population, making them mere spectators in the development
process. Deprived by the formal structures of opportunities to contribute
positively to the society, their creativity, energies and talents are often channeled
into a wide array of anti-social behaviors and attitudes.

Enhancement of technical competence, professionalism, and performance

orientation among the bureaucracy at both central and local government levels,
and engendering a problem-solving, entrepreneurial, and customer orientation
among this class.
Modernization of the public management apparatus, including greater application
of technology and state on knowledge in the field.
Training and other HRD interventions, to enhance skills and competencies
particularly in critical areas such as financial and project management, social
mobilization and coalition building.
Establishment of institutional forms and structures to facilitate the creation of
genuine and effective partnerships between government and civil society,
Strengthening of organizational, leadership and problem solving capacity among
community based and non-governmental organizations, and other civil society
entities..

Traditional Role and Functioning of Local Government. The Model of Government

instituted by colonial powers in their Caribbean territories often included a local
government component. However, the type of local government established was
fashioned on the then existing metropolitan model, and was definitely not intended to be

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instruments of popular local expression or to promote empowerment of the local

citizenry. Typical features of local government systems which were established in the
sub-region, and which have survived and developed over time, are illustrated by the
following:

Local Government in the early colonial to post-slavery eras was totally controlled
by and served the interests of plantation owners and the landed classes. Hostility
by Local Authorities to attempts by ex -slaves to establish free villages/peasant
communities testify to this class interest.
Local Governments are subject to strong central control, and usually require
approval from the Centre for most actions. This oftentimes lead to decisions taken
by elected Councils or high level local officials being over-ruled or thwarted by
low level functionaries in central ministries.
Local Authorities are subject to arbitrary Central Government action, such as
dissolution of the elected Council or removal of subjects for which they are
responsible, often without process, notice or any opportunity for local
participation in or ability to influence the decision.
Central control over Local Authorities is further tightened by excessive financial
dependence of Local Authorities on the Central Government.
Functions for which local government is responsible tend to be limited, and vary
with countries. In larger states functions extend to sanitation, road/drains, public
health, markets/abattoirs, and zoning control, while in smaller states it is confined
to community related affairs and projects
Local Government is treated as an instrument for effecting Central Government
programmes at the local level, or distributing scarce benefits (pork barrel), rather
than as an instrument for local self-management and self-expression. Essentially
therefore, the traditional relationship between Central and Local Government has
been that of Principal/Agent.
Local Government is traditionally perceived as a provider of specified local
services, rather than as having responsibility for overall management of local
affairs within its jurisdiction.
Despite constraints and public dissatisfaction with its ability to respond to local
needs, Local Government has acquired significant public support, as illustrated by
the severe backlash against the Government in Jamaica, when that it attempted to
dismantle Local Government in the 1980s.

Financing of Local Government/decentralized activities. Methods for financing local

governments determine the effectiveness of a decentralized system. Critical factors are

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whether Local Authorities are allocated independent sources of revenue, and enjoy
relative autonomy in managing/controlling those sources. Another key indicator is the
proportion of total public expenditure which is effected through these bodies. Caribbean
experience to-date is that Central Governments have been reluctant to concede any
significant degree of financial autonomy or clout to local government. The following is a
brief overview of features/issues relating to financing of local government in the region.

Local Governments are funded primarily by Central Government Grants. This

approach to local government financing severely restricts the role/responsibility of
local authorities in determining the level of revenues available to them, and does
not encourage local initiatives in this regard. It also does not enable local
authorities to predict the funding likely to be available to them, and usually allows
little scope for local discretion in the use of funds at their disposal.

Where Local Government is given its own specified revenue sources, these are
usually managed by central agencies, and Local Authorities have limited roles,
other than to receive the revenues.

Local Authorities have very limited or no scope for taking any initiative to secure
financing for purposes which they deem necessary or desirable for local
development or to satisfy local needs.

The percentage of national public expenditure effected through local governments

in Caribbean states is generally less than 1%. Comparison show that similar
figures for major world regions are: <10% for Africa, 20% in Latin America, 30%
for Asia and 40-70% for North America and Europe. These figures support the
claim that there is a strong correlation between the level of development and the
level of expenditure undertaken at the sub-national level of government.

Caribbean Governments have been reluctant to grant local governments real

financial autonomy, or endow them with more that a token share of national
resources. Jamaica has implemented measures toward the goal of taking Local
Government off the national budget within 5 years, by allocating tax sources to
local government and giving them autonomy to optimize own-source revenues.
However, these measures will not significantly change the fact that the % of gross
public expenditure controlled by Local Government will remain minuscule.

Public accountability of local authorities is a major issue in granting them

financial autonomy, as it is argued that if the grant autonomy means that they are
no longer accountable to the Minister or Parliament, then appropriate mechanisms
must be established at the local level to ensure that they are made accountable to
the local citizenry for their performance and use of public funds.

Human Resources Management & Training Issues. Difficulty in securing/retaining

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quality staff, and in providing relevant training for such staff, are major impediments to
Local Government effectiveness in providing innovative responses to local needs and
development challenges. Decentralization will create an even greater need for high
quality staffing. Factors which contribute to this situation include:

Local Governments are often staffed from the Central Government. Where staff is
employed to a Local Government service, they are subject to central control
regarding appointment and other employment issues. Local Authorities thus have
no control over their staff and staffing issues.

Local Government is usually regarded as a backwater, and conditions of

employment are less attractive than in the central service, making it an
unattractive career choice for high achievers

.Local government bureaucrats show similar characteristics to their central

government counter-parts, in terms of being predominantly status oriented,
reactive and imitative.

Very limited resources, and a dearth of relevant training to properly prepare them
for the task environment in which they function, are major impediments to
development of a cadre of local government practitioners capable of taking on the
challenges which face them. However, some initiatives in developing such
training have been taken, including the following as examples:
UWI has introduced Certificate in Local Government Studies at St
Augustine, and with UTech is collaborating with the Government of
Jamaica in developing a range of training programmes for local
government personnel, including Councillors.
A number of international agencies, including the Organization of
American States and Commonwealth Local Government Forum, have
sponsored several regional seminars/ workshops for Mayors, Councillors
and senior civil service/local government officials, to provide training in
local governance issues, and facilitate an exchange of views.

Effects of Globalization: Globalization has massively impacted on Caribbean states in

many respects. Firstly, it poses a severe threat to many of the critical industries and
trading relationships on which most countries in the region has traditionally depended for
their economic survival. It has also facilitated deep cultural penetration of the region,
which has the effect of changing traditional values, life styles and patterns of
consumption, thus serving to undermine the social, cultural and economic traditions in
the Caribbean. Globalization has also served to heighten the expectations of the
population, and to promote greater assertiveness of citizens in demanding that their voice
be heard, and in challenging authority.

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Regional integration is seen as a critical survival response by Caribbean states to

globalization. At first sight this may seem to be in opposition to a policy of
decentralization. However, to cope with the challenges and take advantage of
opportunities presented by globalization, Caribbean states will need to build social
capital, increase social cohesiveness and enhance the quality of governance and public
management. Decentralization and participation are essential elements in achieving those
outcomes, and therefore must be seen as complementary rather than contradictory to the
process of integration.

DEFINITION OF TERMS AND SOME CONCEPTUAL ISSUES

DECENTRALIZATION
Decentralization is the transfer of state/public functions from central to sub-national levels of
government, or from central agencies/offices to regional bodies or local offices, or nongovernmental organizations. It is also defined as the redefinition of structures, procedures and
practices of governance to be closer to the citizenry, and can take the form of deconcentration,
delegation or devolution. Deconcentration is the delegation of administration functions to
regional/local offices, without transfer of political power. Delegation entails the transfer of
responsibility for specified functions and associated authority to organizations outside of or
indirectly controlled by government. Devolution involves the transfer of functions and
responsibility to sub-national Authorities or levels of government which are largely independent
of central government control, and involves the delegation of political authority.
Divestment/privatization is sometimes treated as a separate form of decentralization, while
deconcentration and delegation are grouped as a single form called Administrative
decentralization. The purpose of this Paper is not however to discuss the relative merits of
different definitions or views of decentralization. It suffices to say that in this Paper, the term will
generally be used to mean devolution.
Devolution is the form of decentralization most conducive to development of strong autonomous
systems of local government. It facilitates the empowerment of communities and the
participation of civil society in the process of governance, and attains its highest point when the
scope of local government extends beyond being a mere service provider, to embrace overall
responsibility for local self management and development. In this mode it assumes the lead role
in forging strong horizontal integration at the local level, and building alliances between all local
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stakeholder groups; and it also coordinates the activities and programmes of all entities
operating within its jurisdiction, including central agencies, civil society, communities, CBOs
and NGOs.
LOCAL GOVERNMENT V.S. LOCAL GOVERNANCE
It is important to distinguish between the terms local government and local governance. The
former refers to the institution/structure which conduct governmental functions at the local level,
while the latter is the process through which public choice is determined, policies formulated, or
decisions are made and executed at the local level, and the roles and relationships between the
various stakeholders or interest groups in this process. This distinction is important in discussing
the relevance of decentralization in the region, because of the need to realize that many of the
principles, concepts and objectives of participatory local governance are relevant and can be
realized even in the absence of a formal local government system..

CENTRALIZATION V.S. DECENTRALIZATION

Centralization and Decentralization are frequently juxtaposed as tendencies which are inimical to
each other, i.e. that adoption of a policy of decentralization must inevitably result in diminution
of the centre in terms of size, scope and importance. While it is axiomatic that devolution entails
a significant transfer of power to the sub-national level, this does not necessarily mean a
reduction in the scope or importance of the centre. What it entails is a redefinition of roles and
relationships. In fact, if decentralization is not lead to chaos and other dys-functional
developments, it is essential that certain central functions be significantly enhanced. These
include the development of a comprehensive national policy framework which, while allowing
adequate scope for local governments to adopt strategies which reflect local conditions and
preferences, will ensure broad coherence and direction in respect to national development. Other
central functions which also need to be strengthened include coordination, monitoring and
evaluation, setting national standards and specifications, and research.

THE PRINCIPLE OF SUBSIDIARITY

This principle posits that responsibility/authority for any task/function should be assigned ton the
lowest level at which it can be effectively performed, or to the level nearest to the persons
directly impacted by it. It provides a very useful guideline for determining the distribution of
responsibilities for state/public functions between the national, sub-national and community

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levels of administration, in a decentralized system of governance.

REVIEW OF THE CURRENT STATUS OF

LOCAL GOVERNMENT IN CARICOM STATES

There are wide variations among countries in the Caribbean sub-region regarding the history and
present status of Local Government. Differences can be attributed to several factors, including
size and population, the dominant colonial power, and past and contemporary political
developments which have favored movements either towards or away from decentralized
approaches to governance. The following is an attempt to present a broad categorization into
which Caribbean states can be grouped, based on their historical and contemporary experience
with local government. This is followed by brief summaries/assessments of the situation in each
CARICOM state (A tabular presentation of this information can be found in Appendix One):

Countries in which a system of local government has never existed, and in which there is
little interest in or disposition toward adopting a formal local government system in the
foreseeable future.

Countries which in the past have had a system of local government, but has since
abolished the institution, and which show little interest in or disposition toward reviving
the system.

Countries in which there are official local government systems on the Books (i.e. by
statute or in the Constitution), but the system has either been suspended or is nonfunctional. In some of these states there are credible efforts towards restoring the system,
while in others such efforts are ambivalent.

Countries in which no local government system previously existed, but which in recent
years have established such systems, or are in the process of doing so.

Countries which have had a long tradition of local government, some of these having
been in existence for over 300 years, and which continue to support strong local
government systems..

There are several cases of twin-island states (i.e. unions between two main islands of
unequal size). Antigua/Barbuda, St Kitts/Nevis and Trinidad & Tobago are such cases.
Constitutions of these states usually confer a degree of local autonomy to the smaller
island, and this is seen as constituting a form of local self-government, in addition to any
other system which might exist for the entire nation.
1.

ANTIGUA & BARBUDA

Local Government in Antigua/Barbuda consists of District Councils. The Districts coincide with
the 16 political constituencies. The system is by administrative decree rather than by legislation,
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and Councils are nominated rather than elected. District functions of are confined to community
activities and projects, and promoting volunteerism. Current efforts to enhance Local
Government consist of giving the District Councils a larger role in disaster management, through
rekindling the spirit of cooperation. The Antigua/Barbuda Constitution confers substantial local
autonomy on Barbuda, and this is regarded as a form of local government.
2.

THE BAHAMAS

The Bahamas did not have any form of Local Government until 1996, when such a system was
established by Act of Parliament. The system introduced then consisted of 23 District Councils
covering the 29 inhabited islands (out of a total of 700 islands, cays and reefs which comprise the
Bahamas). The number of Districts has subsequently been increased to 31 by an amendment to
the Local Government Act in 1999. Local Authorities are funded by grants from Central
Government, and are responsible for upkeep of roads, harbours, parks, and public buildings,
public transportation and development of youth and culture. Reform and further strengthening of
local government is being pursued by way of review of the Local Government Act.
3.

BARBADOS

Barbados does not have a local government system, as this level of government was abolished
some years ago. Proposals for the re-introduction of this institution has been made in several
constitutional review exercises, but none of these have been adopted, and there is no active effort
to restore it. Nonetheless, Barbados has attempted to provide mechanisms to facilitate local
participation in addressing local issues through the establishment of Urban and Rural
Development Commissions
4.

BELIZE

There is a vibrant local government system in Belize, and significant initiatives have been
undertaken in recent years to enhance this system. This process is continuing. Initiatives include
legislative reform to give greater autonomy to Local Authorities; capacity building programmes
to strengthen policy-making and managerial competence/systems; and expanding the role of
municipalities in the provision of services and public amenities.
Local Government takes the form of 6 District Councils and 9 municipalities (2 cities and 7
towns), but these do not cover the entire land space of Belize. Councils of the Local Authorities
are democratically elected..
5.

DOMINICA

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Dominica has a strong tradition in respect to Local Government, and the commitment to this
institution is continuing. The present system is based on Town, Village and District Councils,
which are comprised of a mix of elected and nominated members. It is established by Act of
Parliament, and its main functions relate to the management of community affairs, project
implementation and community self-help. Local Government Reform is currently under
consideration, and this might facilitate greater participation of civil society in governance.
6.

GRENADA

Grenada has a quite advanced system of Local Government entrenched in its Constitution.
However this has been suspended since 1983, and therefore there is no functional local
government at this time. While statements have been made in respect to restoration of some form
of local government, there has been no clear indication as to when the institution will be restored.
At present efforts in this direction is focused on granting some form of local government to
Carriacou and Petit Martinique, which are two small islands that form part of Grenada.
7.
GUYANA
Guyana has a very elaborate system of local government, which is entrenched in the Constitution.
The various levels include County, Regional, City & Town, District and Amerindian Councils,
which are all democratically elected. There is also provision for Village Councils, neighborhoods
and peoples cooperative units. Not all of these are fully established however. Local Authorities
are financed primarily from their own sources of revenue, as Central Government subventions
have dried up because of the financial situation. The present arrangements do not yield adequate
revenues to meet mandated responsibilities. While some Councils enjoy a degree of autonomy,
approval of the Minister is still required for many actions, e.g. appointment/control of staff, etc.
8.

HAITI

Haiti had no form of local government prior to 1987, when the new Constitution established a
very elaborate and sophisticated system consisting of 4 hierarchical levels of Local Authorities i.e. 9 Departments, 41 Arrondissements, 133 Communes and 564 Communal Sections.
Theoretically, these enjoy substantial financial and administrative autonomy from Central
Government. So far, this system has not been operationalized, and in fact while Mayors have
been elected they have no administrative support and therefore are unable to function. In the
meantime, local services are being administered by officials appointed by the President and
controlled by the Ministry of the Interior and Local Government. Many observers are of the view
that Haiti does not have the culture, history or resources (financial and human) to operate such an

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elaborate and sophisticated system.

Prior to 1987, control of the countryside was effected, under the Code Rural of 1862", by
chiefs of section who were army auxiliaries instructed and trained to block and repress any
claims/rights of the rural population. This approach to dealing with the rights, interests and needs
of local people would certainly have become entrenched in the culture of public management
after more than a century of practice, and will certainly prove to be a major impediment to
achieving the admirable goals of the new local government system.
9.

JAMAICA

Jamaica has had almost 350 years tradition in having a local government system in place , and
this has served to create a strong culture of local administration. There have been fundamental
changes to the system since it was first introduced shortly after the British capture of the island in
1655. The present structure of local government consist of 13 Local Authorities - 12 Parish
Councils and 1 Municipal Authority (Kingston). Further details on the Jamaican local
government system is provided in the Case Study on Local Government Reform.
10.

ST. KITTS/NEVIS

St Kitts/Nevis does not have a formal local government system for the country as a whole.
However, it is one of those twin island states in which the Constitution confers substantial local
autonomy for the smaller partner in the union, which in this case is Nevis.
11.

ST LUCIA

Local Government was introduced in St Lucia in 1947 under 2 Acts of Parliament. The system
consist of 1 City Council, 3 Town Councils and 6 Village Councils, which are normally made up
of elected members. However, elections have been suspended since 1979 and therefore the
membership of Councils are presently nominated. Local Authorities are funded entirely by grants
from Central Government, and at present expenditure by these Authorities constitute
approximately 0.5% of gross annual public expenditure. St Lucia is currently engaged in a
comprehensive review of local government, with the intention of carrying out substantial
reforms.
12.

ST VINCENT & THE GRENADINES

St Vincent and the Grenadines have no existing local government system. However, that country

Page 17 of 27

has attempted to introduce some element of citizen participation in governance through the
establishment of a Participatory Monitoring and Evaluation system, which is intended to provide
local communities with the opportunity to be involved in all stages of the project cycle.
13.

SURINAME

Local Government was introduced into Suriname in June, 1989 by means on the new
Constitution and by Act of Parliament. The system is based on District Councils, whose
membership are partially elected and partially nominated. The Local Authorities have
responsibility for a range of functions, including waste disposal, maintenance of secondary and
tertiary roads, public markets, public guest houses, and procurement of licences.
They are funded primarily by Central government grants, and expenditure by these Authorities
constitute about 1% of gross annual public expenditure. A number of measures have been put in
place to encourage/facilitate the participation of civil society in governance, including a
provision that District Ordinances drafted by the District Councils must be open to public
discussion, and objections can be lodged to the National Assembly by citizens.
14.

TRINIDAD & TOBAGO

Trinidad and Tobago has one of the oldest traditions of local government in the Caribbean. The
institution was first introduced to the island in 1596 by the Spanish. However the modern system
is dated back to 1768. The present system is established by Act of Parliament, and consist of
Municipal and Regional Corporations, and the Tobago House of Assembly which has special
status. These authorities are controlled by democratically elected members, and are funded by
Central government grants and locally derived rates, user charges and licence fees, with central
government grants making up as high as 80% of the funding of municipalities. Trinidad and
Tobago has initiated several measures to expand the scope of local government, including
making them responsible for the administration of unemployment benefits.

A CARIBBEAN CASE STUDY:

LOCAL GOVERNMENT REFORM IN JAMAICA

BACKGROUND AND BRIEF HISTORY

This case illustrates a Caribbean approach to decentralization, the role of local government in
managing local affairs, participation of civil society in local governance, financing of local
government and institutional capacity building. Local Government in Jamaica dates back to just

Page 18 of 27

after its British capture in 1655. Development of the institution over the years, and its features,
reflect the patterns and characteristics symptomatic of Caribbean local governments. Several
Studies/Reports on Local Government Reform have been commissioned over the past 60 years,
the first being the Hill Report of 1943. These have been largely ignored. The current Programme
constitute the first attempt at meaningful reform of Local Government. In 1985 however, the then
Government - citing incompetence and mismanagement, virtually dismantled the local
government system. The Municipal Authority for Kingston was dissolved, and most local
government functions were transferred to central agencies. Strong public backlash against this
move contributed to the loss of power by the government in 1989. The new government came to
power on a platform which included the restoration/reform of local government

Objectives of the Local Government Reform Programme (LGRP)

The focal objective of Local Government Reform, as outlined in Ministry Paper 8 in 1993, is to
bring about a fundamental transformation in the process of local governance, by facilitating
greater self-management of local affairs, and by creating a decentralized system of Local
Government which would facilitate the active and direct participation of civil society in the
process of local governance. Four major objectives were enunciated:

To deepen and broaden the democratic process

To facilitate the active participation of citizens in the management of local affairs.
To ensure the provision of local services which are of a high quality, cost effective and
are responsive to the needs of citizens.
To achieve a better division of labour between Central and Local Government, in which
the Centre will focus on national policy making, planning, setting standards and macro
issues, while Local Government will be responsible for operations/implementation at the
local level and for micro issues.

Six main areas of reform were identified as being essential for realizing the objectives set out
above
1.
Financial Reforms: Targeted outcome here is to reverse the excessive financial
dependence of Local Authorities on Central Government, and to eventually take local
government off the national budget. To achieve this goal independent sources of revenue
have been allocated to Local Authorities, and they are being assisted to boost own-source
revenues and generally improve their revenue/financial management capabilities. As a
result of these initiatives, Local Government now derives 61% of its revenues from
sources allocated to it, whereas prior to reforms 95% of their funding came from Central

Page 19 of 27

Government.
2.

Legal Reform. This involves modernizing the legal framework of Local Government by
revising or re-writing the more than 100 Acts of Parliament which make up the legal
framework of local government. The main thrust of these reforms is to give Local
Authorities greater autonomy; remove the powers of Central Government to arbitrarily
dissolve/dismantle local governments; make the laws more relevant to modern realities;
and to have Local Government entrenched in the Constitution when this is revised..

3.

Institutional Upgrading/Capacity Building: this involves modernizing and upgrading

the institutional capacity of Councils by enhancing their organizational structures; giving
them additional high level staff; improving management systems, instituting a
comprehensive HRD programme, including training for Councilors; and by upgrading
their physical facilities and computerizing their operations.

4.

Revision of the role of Local Authorities and relationships between all the major actors,
interest groups and stakeholders in the local government system. This includes shifting
the focus of Local Authorities away from being merely providers of certain specified
local services, to having broad responsibility for managing the affairs of the Parish, and
charting its course of development.

5.

Upgrading the quality of services delivery and infrastructure management. The

focus here is to improve the quality, cost-effectiveness and responsiveness of services
provided by Local Authorities, and the management and maintenance of local
infrastructure. To achieve this, and to rehabilitate local infrastructure which had become
severely deteriorated, Government has initiated a US$50 million Parish Infrastructure
Development Project, which will be available to carry out such works in all Parishes.

6.

Participation of Civil Society in Governance: Mechanisms/strategies to facilitate the

participation of civil society in governance, and forge strong partner relationships
between Local Authorities and communities/civil society has been a key part of reform.
Initiatives to achieve these goals include:

Establishing a National Advisory Council on Local Government Reform (NAC),

with represent-atives from major political parties, Trade Unions, the Church, and
major interest groups as well as noted scholars and practitioners. This helped to
win broad-based support for the Programme.

Parish Advisory Committees similar in composition and purpose to the NAC,

were set up in each Parish. These have been replaced by Parish Development

Page 20 of 27

Committees (PDCs) comprising all public agencies operating at Parish level,

community/civil society leaders, NGOs and the private sector in the Parish. It
works with Local Authorities in formulating Development Plans and coordinating
private/public sector initiatives in economic growth for the Parish. PDCs helps to
monitor service delivery and ensure accountability of Authorities to citizens.
Some Councils have begun the practice of presenting their annual budgets to the
public in their respective Parishes, to provide opportunities for citizens to critique
it and make suggestions.

CONCLUSIONS AND RECOMMENDATIONS

The Caribbean face critical challenges in overcoming its legacy of under-development and
vestiges of colonial heritage. Additionally, several global trends portend new challenges for
governance in the developing world, and in particular, for small, post-colonial island states.
Fundamental overhaul of inherited models of governance /public management in the region is
essential for successfully meeting these challenges. Decentralization, citizen participation in local
governance, and an enhanced role for local government in local self-management/local
development, constitute key elements of a new paradigm of governance which must be embraced
by the region, if the goals of social transformation and economic development are to be realized.
Presently however, rhetoric on this subject far exceed the limited and tentative measures which
have been initiated to bring these principles into the day-to-day practice of government.
Interventions to galvanize this process is an urgent priority.
Absence of an appropriate policy framework for advancing the new paradigm is a major
contributor to the slow progress in moving the model from conceptual acceptance to wider
application. Formulation of a Regional Policy and Strategic Plan of Action on decentralization,
local governance and citizen/community participation should therefore make a major
contribution towards inculcating these principles and concepts into the processes of governance
in the sub-region. Such a policy framework would help to clarify several issues and provide a
clear frame of reference as to what ought to constitute a properly functioning local government
system, in the context of Caribbean needs and realities. Most importantly, it would encourage
and assist individual countries to formulate their own national policies on the subject, within the
broad parameters of the regional policy, but reflecting the realities and inclinations of their own
situation.
Key issues and features which a Regional Policy and Strategic Plan of Action should give special
focus to, and/ or address and promote, include the following:

Page 21 of 27

Strong encouragement for member states to embrace local government systems which are
democratic, participatory, have appropriate legal (preferably constitutional) standing,
enjoy autonomy in respect to local affairs, and enjoy independent revenues/resources,
commensurate with their mandated functions

Recognition that for a variety of reasons, classical models of local government or

orthodox approaches to decentralization might not be feasible/appropriate for several
member states. Policy options, which while promoting the principles of decentralization
and participation of civil society in governance, do not necessarily require the existence
of formal local government systems, must therefore be explored.

Devising financing models which offer real financial autonomy to local government is
critical to enabling local authorities to respond to local needs/priorities, and apply
innovative solutions to local problems. Improving the financial management capability of
these authorities, and establishing mechanisms to ensure their public accountability to the
local community, must be essential components of such models.
Promoting a policy of increasing local governments share of gross public revenue! The
share of the national pie which is controlled at the local level is a measure of the ability of
local decision-makers to respond to local needs and priorities, and also to effectively plan
for, and take action to initiate, local development. Equally, the economic strength of subnational units of government is an indication of their capacity to respond to local
investment opportunities and initiatives, and take the lead in creating a vibrant local
economy. Such a policy is therefore vital if local authorities, along with their local private
sector and civil society partners, are to take on the role of initiating locally led
development/wealth creation, and forging a third economy - i.e. local job
creation/expansion of economic opportunities outside of normal private sector and
traditional public sector activities. Measures which could help to increase the share of
total public revenue available to local government include the following:

Encouraging local authorities to generate surpluses from their recurrent revenue

sources, to be used to finance local capital projects.

Curtail the practice of using special purpose central agencies to undertake capital
works in local jurisdictions, rather than channeling funds to local authorities for
executing such works.

Transfer more functions which are now performed nationally, e.g.

repair/maintenance of schools, public building situated within the various local
jurisdictions, to the respective local authorities.

Adopt revenue-sharing policies, particularly for revenue earned from activities

which have high impact on local communities, or require high levels of local

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inputs/support (e.g. tourism, mining)

Redefining the role/scope of local government, from being mere providers of local
services to assuming responsibility for the holistic management of local affairs and local
development planning and economic growth. In this new dispensation, local government
becomes the vehicle through which the local people are empowered to take charge of
their own affairs, and plan their future. This requires a framework for citizens/civil
society to become involved in the decision-making process, and in innovative approaches
to solving local problems, based on local knowledge and choice as regards needs and
priorities.

Place strong emphasis on capacity building/human resource development as essential prerequisites for adoption of a decentralized, participatory model of local governance.
Enhanced capacity is required for all key sectors and players in this process, including
central and local government political leaders and bureaucracies, community/civil society
organizations and leaders, the private sector and NGOs. HRD is a key element of capacity
building, as are appropriate technology and modern management practices.

Regional universities/tertiary institutions should be enlisted to develop/expand the range

and relevance of training available to prepare policy makers and practitioners in the
region to take up the challenge of pursuing national development through decentralized
and participatory models of governance. This should include encouragement of research
and scholarship in these areas, to expand knowledge and understanding of
decentralization, local government and participation processes in a Caribbean context..
Encourage regional Governments to undertake a comprehensive review of the distribution
of functions between the various levels of government, with a view to ensuring that
responsibility for these functions are allocated to the level which is most conducive to
efficiency and responsiveness to citizens needs and choices. Application of the principle
of subsidiarity in such exercises should be strongly advocated.

Support strengthening of Regional and National associations of Local Government

Authorities, NGOs, CBOs and civil society organizations, to enable them to more
effectively promote, lobby for and represent local government and community interests
in the region. Development of strong networking links with international local
government and NGO/civil society associations should help to strengthen their regional
counterparts, and provide channels for the exchange of experiences and best practices.

Seek recognition for Local Government and Community Affairs (which includes the role

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of civil society in governance), to be regarded as a distinct sub-sector, and treated

accordingly. This can be achieved by inclusion of the subject on the Agenda of Caricom
Heads of Government Meetings, and establishment of a Caricom Ministers Meeting for
this subject, to give focus to the issues of decentralization, strength-ening of local
government, civil society participation in governance, and empowerment of communities.
This would provide a regional forum to develop and pursue strategies for advancing the
sub-sector.

Promulgation of a Regional Policy and Strategic Plan of Action as proposed will depend firstly
on recognition by regional governments of the critical role which this sub-sector can play in
addressing many deficiencies in the current practice of governance and public management in the
region, and therefore the need to develop clear policy positions on the issues involved. It will also
require collaboration and support from relevant regional institutions, and from international
agencies which have been active in sponsoring local government reform and community
participation initiatives in the region. Participation in this process of groups throughout the
region which have an interest in the issues is essential. The following would assist in moving this
idea forward.
1.

Identification of a lead agency which will spearhead preparation of the policy. The
Caricom Secretariat and/or the UWI would be the best candidates for this role.

2.

Endorsement of the exercise by Caribbean governments, probably through the Caricom

Heads of Government Meeting. This could be facilitated by the preparation of a project
proposal which would be reviewed by the major stakeholders, and then submitted to the
Heads for their consideration

3.

Support from regional tertiary institutions in respect to research and scholarship; and
from associations of local government authorities and civil society organizations in the
region.

4.

International agencies involved in promoting good governance and democratic values

should find this a very worthwhile effort to support. The outcome should provide them
with an excellent framework to determine future support in this area, as well as ensure
coherence and avoid duplication and/or gaps.

APPENDIX ONE
STATUS OF LOCAL GOVERNMENT IN CARICOM-MEMBER STATES

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Country

Existing form of
Local Govt

Legal
Framework

Active LG/Decent.
Reform Initiative

Intended legal status

of reformed LG

Antigua/Barbuda
*

District Councils #

Administrative
Decree

Yes

No change to existing
legal status

Barbados

None

N/A

No

None

Bahamas

District Councils
(based on islands)

Act of Parliament

Yes

Review of existing
Act of Parliament

Belize

City & Town

Councils

Act of Parliament

No

N/A

Dominica

District Councils

Act of Parliament

Yes

Not Determined

Grenada

Non operational

Constitution

Under review

Guyana

Multi-tiered

Constitutional

No

N/A

Haiti

Multi-tiered

Constitution

No

N/A

Jamaica

Municipal and
Parish Councils

Act of Parliament

Yes

Constitution

St Kitts/Nevis*

None

St Lucia

Suspended

Acts of
Parliament

Yes

Act of Parliament

St Vincent/
Grenadines*

District Councils

Administrative
Decree

No

N/A

Trinidad/Tobago*

Regional & Municipal Corporations

Act of Parliament

No

N/A

These are twin island states whose Constitutions give some form local autonomy to the
smaller island.

Districts are the administrative divisions into which several islands are divided for the
purposes of local level administration. The District Councils are the bodies established to
direct and have responsibility for such functions and tasks which are carried out at the

Page 25 of 27

District level. Members are usually nominated by Central Government, but in some
instances are comprised of both nominated and elected members.

APPENDIX TWO
STATISTICS ON MEMBER COUNTRIES OF CARICOM
Country

Size (Sq.
Km)

Population

Official
Language

Colonial Power

Present Political
Status

Antigua/Barbuda

442

68,612(96)

English

British

independ. Nov.
1981

Barbados

431

265,918(96)

English

British

independ. Nov.1996

Bahamas

13,864

283,901(96)

English

British

independ. July 1973

Belize

21,500

238,500

English

British

Parliamentary
democracy

Dominica

288.9

72,000(96)

English

British

independ/Republica
n system

Dominican Rep.

48,442

8,000,000

Spanish

Spain

Independent

Grenada

345

120,000

English

British

Independent

Guyana

215,083

850,000

English

British

Independent

Haiti

27,400

8,500,000

French

French

Independent 1802

Jamaica

10,991

2,553,496(97)

English

Spanish/British

independ.Aug.1962

Montserrat

103

10,608(95)

English

British

Colony

St Kitts/Nevis

269

42,280(96)

English

British

independ Sep. 1983

St Lucia

616

154,000

English

French/British

independ. Feb. 1979

St Vincent/Grenadines

389

111,214(96)

English

French/British

independ. Oct.1979

Suriname

163,820

408,041(95)

Dutch

Dutch

independ./Republic
Nov. 1975

Page 26 of 27

Country
Trinidad/Tobago

Size (Sq.
Km)
5,182

Population
1,263,616(96)

Official
Language
English

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Colonial Power
French/British

Present Political
Status
independ./Republic
Aug. 1962