Contract city
Encyclopedia
Contract city is a term used in the U.S. for a city
which provides municipal services by contract
with another unit of government, public agency or private organizations.
Cities of all kinds have entered into contracts for non-core governmental services, such as facilities and grounds maintenance, auditing, legal counsel, road construction, garbage collection, water and waste water treatment, engineering services, and others. Contract cities are unique in that they rely primarily on the private sector to provide public service delivery, while the public sector maintains oversight. Public officials are specifically responsible for writing, signing, managing and enforcing contracts.
Contracting for services has been accomplished in several different methods. In the traditional method, franchising, a private company has a franchise
, or legal right, to perform certain public services previously done by municipal government. Another method is for the city to contract with its county government or neighboring cities.
In 1954, Lakewood, California
became the first contract city. The previously unincorporated area
was facing a hostile annexation from adjacent Long Beach, California
, and residents favored local control while maintaining the existing services provided by county government. The so-called Lakewood Plan has been the foundation for most new cities incorporated since then.
Over the past ten years there has been a significant increase in the number of contract cities. Several that have received prominent attention from the media include:
In contrast, independent cities are cities which provide basic governmental services themselves, without contracting. (This usage is not to be confused with the more common usage of independent city
as a city that is not part of any county
.) Most older cities are independent cities. In practice, many cities are hybrids of both. For instance, they may directly operate parks programs, but contract for police and fire. Most contract cities do their own land use planning
, since cities were incorporated to exert local control over land use.
City
A city is a relatively large and permanent settlement. Although there is no agreement on how a city is distinguished from a town within general English language meanings, many cities have a particular administrative, legal, or historical status based on local law.For example, in the U.S...
which provides municipal services by contract
Contract
A contract is an agreement entered into by two parties or more with the intention of creating a legal obligation, which may have elements in writing. Contracts can be made orally. The remedy for breach of contract can be "damages" or compensation of money. In equity, the remedy can be specific...
with another unit of government, public agency or private organizations.
Cities of all kinds have entered into contracts for non-core governmental services, such as facilities and grounds maintenance, auditing, legal counsel, road construction, garbage collection, water and waste water treatment, engineering services, and others. Contract cities are unique in that they rely primarily on the private sector to provide public service delivery, while the public sector maintains oversight. Public officials are specifically responsible for writing, signing, managing and enforcing contracts.
Contracting for services has been accomplished in several different methods. In the traditional method, franchising, a private company has a franchise
Government-granted monopoly
In economics, a government-granted monopoly is a form of coercive monopoly by which a government grants exclusive privilege to a private individual or firm to be the sole provider of a good or service; potential competitors are excluded from the market by law, regulation, or other mechanisms of...
, or legal right, to perform certain public services previously done by municipal government. Another method is for the city to contract with its county government or neighboring cities.
In 1954, Lakewood, California
Lakewood, California
Lakewood is a city in Los Angeles County, California, United States. The population was 80,048 at the 2010 census. It is bordered by Long Beach on the west and south, Bellflower on the north, Cerritos on the northeast, Cypress on the east, and Hawaiian Gardens on the southeast. Major thoroughfares...
became the first contract city. The previously unincorporated area
Unincorporated area
In law, an unincorporated area is a region of land that is not a part of any municipality.To "incorporate" in this context means to form a municipal corporation, a city, town, or village with its own government. An unincorporated community is usually not subject to or taxed by a municipal government...
was facing a hostile annexation from adjacent Long Beach, California
Long Beach, California
Long Beach is a city situated in Los Angeles County in Southern California, on the Pacific coast of the United States. The city is the 36th-largest city in the nation and the seventh-largest in California. As of 2010, its population was 462,257...
, and residents favored local control while maintaining the existing services provided by county government. The so-called Lakewood Plan has been the foundation for most new cities incorporated since then.
Over the past ten years there has been a significant increase in the number of contract cities. Several that have received prominent attention from the media include:
- Sandy Springs, GeorgiaSandy Springs, GeorgiaSandy Springs is a city in north Georgia, United States. It is a northern suburb of Atlanta. With a 2010 population of 93,853, Sandy Springs is the sixth-largest city in the state and the second-largest city in Metro Atlanta. Sandy Springs is located in north Fulton County, Georgia, just south of...
- Centennial, ColoradoCentennial, ColoradoThe city of Centennial is a Home Rule City located in Arapahoe County, Colorado, United States, and part of the Denver-Aurora metropolitan area. The city was to have a total population of 100,377 in 2010 census. Centennial is the tenth-most populous municipality in the state of Colorado and its...
- Maywood, CaliforniaMaywood, CaliforniaMaywood is a small city in southeast Los Angeles County, California. At , Maywood is the third-smallest incorporated city in Los Angeles County....
- Dunwoody, GeorgiaDunwoody, GeorgiaDunwoody is a city located in DeKalb County, Georgia, United States. It is a northern suburb of Atlanta. Dunwoody became incorporated as a city on December 1, 2008...
In contrast, independent cities are cities which provide basic governmental services themselves, without contracting. (This usage is not to be confused with the more common usage of independent city
Independent city
An independent city is a city that does not form part of another general-purpose local government entity. These type of cities should not be confused with city-states , which are fully sovereign cities that are not part of any other sovereign state.-Historical precursors:In the Holy Roman Empire,...
as a city that is not part of any county
County (United States)
In the United States, a county is a geographic subdivision of a state , usually assigned some governmental authority. The term "county" is used in 48 of the 50 states; Louisiana is divided into parishes and Alaska into boroughs. Parishes and boroughs are called "county-equivalents" by the U.S...
.) Most older cities are independent cities. In practice, many cities are hybrids of both. For instance, they may directly operate parks programs, but contract for police and fire. Most contract cities do their own land use planning
Land use planning
Land-use planning is the term used for a branch of public policy encompassing various disciplines which seek to order and regulate land use in an efficient and ethical way, thus preventing land-use conflicts. Governments use land-use planning to manage the development of land within their...
, since cities were incorporated to exert local control over land use.