Pages 135-136 are on property tax. 'Another form of recurrent taxation that can be tapped for further resources in most developing countries is immovable property taxes. These taxes do not distort labor markets, human capital accumulation, or innovation decisions. Property taxes also provide a stable source of revenue that is less susceptible to short-term economic fluctuations and is difficult to evade. And although property taxes would likely not flow into federal social protection schemes (they are typically raised by local governments), they could fund regional or municipal social services or reduce the level of federal transfers to local governments. On average, high-income countries raise 1.1 percent of GDP from immovable property taxes. In middle income countries, these taxes yield about 0.4 percent of GDP.19 Yet property taxes represent untapped revenue potential for all countries. This revenue gap is estimated to be 0.9 percent of GDP in middle-income countries and as much as 2.9 percent in high-income countries.20 Governments in Sub-Saharan Africa are estimated to be missing out on revenues of 0.5 to 1 percent of GDP because of no property taxes whatsoever or their limited application.'
 

The Routledge Handbook of International Local Government conducts a rigorous, innovative and distinctive analysis of local government within a comparative, international context. Examining the subject matter with unrivalled breadth and depth, this handbook shows how different cultures and countries develop different institutions, structures and processes over time, yet that all have some features in common – the most obvious of which is the recognition that some decisions are better made, some services better delivered, and some engagement with the state better organised if there is structured organisational expression of the importance of the local dimension of all these factors. Thematically organised, it includes contributions from international experts with reference to the wider context in terms of geographies, local government modes, recent developments and possible further lines of research. It has a wide academic appeal internationally and will steer a course between the two dimensions of mono-jurisdictional studies and ‘cataloguing’ forms of comparison.
 

Table of Contents 1. Local Governments - A Global Presence [Richard Kerley, Joyce Liddle, Pam Dunning] Part I: Elected Roles and Governance 2. Local Electoral Systems [Michael Cole] 3. Local Political Leadership: The Voters or Councillors – Who Chooses Who Governs? [Colin Copus] 4. Traditional Leaders and Local Government in Pacific Island Countries [Graham Hassall and Paul Mae] 5. The Role of the Councillor [Neil McGarvey and Fraser Stewart] 6. The Relationship between Politics and Administration: From Dichotomy to Local Governance Arenas [Alessandro Sancino, Marco Meneguzzo, Alessandro Braga, and Paolo Esposito] 7. Institutionalized Differences in Economic Development Perspectives: A Comparison of City Managers, Mayors and Council Members in Texas [James Vanderleeuw and Melanie Smith] Part II: Local Governments in Different Jurisdictions 8. The Political Salience of Local Government in a Small State [Ann Marie Bissessar] 9. Local Government in the Pacific Islands [Graham Hassall, Matthew Kensen, Rikiaua Takeke, Karibaiti Taoba, and Feue Tipu] 10. Local Government in Latin America – The Struggle to Overcome Social Exclusion [Andrew Nickson] 11. A Turbulent Past, A Turbulent Future? Reform and Disruption in the Local Government of New Zealand [Michael Reid and Michael Macaulay] 12. Constitutional and Legislative Changes in Caribbean Local Government [Eris Schoburgh] Part III: Range of Local Government Services 13. Local Government Service Roles in the U.S.A: Consistency and Change [J. Edwin Benton] 14. Public Entrepreneurship: Is Local Government Necessary to Deliver Economic Development? [Lorraine Johnston and John Fenwick] 15. The Wide Range of Local Government Public Services [Elisabetta Mafrolla] 16. Public Service Delivery in Today’s Georgia [Giorgi Vashakidze] 17. The Provision of Public and Personal Social Services in European Countries: Between Marketization and The Return of the Public/Municipal and Third Sector [Hellmut Wollmann] Part IV: Citizen Engagement 18. Practices and Challenges of Citizen Participation in Local Government: Case Studies of Midsized Cities in Russia and the United States [Sofia Prysmakova-Rivera, Elena Gladun, Thomas Bryer, Andrey Larionov, Dmitry Teplyakov, Olga Teplyakova and Natalia Nosova] 19. The Urban Governance of Austerity in Europe [Adrian Bua, Jonathan Davies, Ismael Blanco, Ioannis Chorianopoulos, Mercè Cortina-Oriol, Andrés Feandeiro, Niamh Gaynor, Steven Griggs, S. David Howarth, and Yuni Salazar] 20. Redressing the Trust Deficit: Local Governments and Citizen Engagement [Jonathan Carr West] 21. Does Mode of Public Outreach Matter? [Sheldon Gen and Erika Luger] 22. Improving Social Development in Brazil through an Open Budget Perspective: Does Collaborative Stakeholder Engagement Matter? [Ricardo Gomes and Welles Abreu] 23. Civic Engagement in Local Politics in Central Europe [Oto Potluka, Judit Kalman, Ida Musialkowska, and Piotr Idczak] Part V: Multi-Level Governance 24. Australia: Challenging Institutional Constraints [Chris Aulich] 25. Local Government Outside Local Boundaries: Rescaling Municipalities, Redesigning Provinces and Local-Level Europeanization [Koenradd De Ceuninck, Tony Valcke and Tom Verhelst] 26. Local Government in the European Union’s Multilevel Polity [Marius Guderjan] 27. Second Thoughts on Second-Order? Towards a Second-Tier Model of Local Government Elections and Voting [Ulrik Kjær and Kristof Steyvers] 28. The Architecture of the Local Political Community: France; Italy; Portugal and Spain [Jaume Magre and Esther Pano] Part VI: Getting and Spending 29. Local Government Anti-Corruption Initiatives in Post-Soviet Georgia and Ukraine: Another Tale of Two Cities [Terry Anderson] 30. Enhancing VFM Audit in Local Government: The Best Value Initiative [Michela Arnaboldi and Irvine Lapsley] 31. Financing and Taxing for Local Government [Kenneth Gibb and Linda Christie] 32. Adapting to the Fiscal Environment: Local Governments, Revenue and Taxation Powers [Mark Sandford] 33. Financing Local Government in the Twenty-First Century: Local Government Revenues in European Member States, 2000 – 2014 [Gerard Turley and Stephen McNena]

On the afternoon and evening of July 8, 2013, heavy rains flooded parts of Mississauga, disrupting the lives of residents and damaging public and private property. The stormwater management system in the city proved inadequate to meet the levels of runoff experienced on that day. Mississauga is not the only city in this situation. In 2007, the Federation of Canadian Municipalities estimated that the stormwater management infrastructure deficit across Canada stood at approximately $31 billion. The Ontario Ministry of Public Infrastructure Renewal (now the Ministry of Economic Development, Employment and Infrastructure) estimated in 2005 that between 2005 and 2020, water infrastructure needs in the province would require investments of $28 billion for capital renewals, $12.4 billion to reduce asset and project backlogs, and $10.1 billion for growth. Stormwater management infrastructure controls the quality and quantity of stormwater that reaches water bodies and protects the health, safety, and sustainability of public and natural environments. The July 8 storm highlighted the need to direct significant amounts of financial and political capital towards municipal infrastructure management. This paper evaluates the financial tools available to fund stormwater infrastructure (property taxes, development charges or cash-in-lieu payments, grants, borrowing, and user charges), and proposes user charges as the most appropriate. User charges are fees earmarked to specific projects or services. They are based on a benefits-received principle, and are considered a fair form of revenue, because the beneficiaries of a service are directly charged for their consumption of that service. Further, user charges are a dedicated and stable funding source based on clear objectives related to the city’s stormwater infrastructure needs. None of the alternative funding tools offers the same combination of stable and predictable revenues and fair pricing. The paper also describes how the City of Mississauga is currently implementing a user charge dedicated to stormwater management, with billing introduced in early 2016.

Canadian cities have long called for access to more tax revenues. This paper argues that additional taxes are appropriate for major cities, describes the advantages and disadvantages of potential new taxes, and estimates the revenue from a city income tax, a city sales tax, and a city fuel tax for eight Canadian cities – Vancouver, Calgary, Edmonton, Winnipeg, Toronto, Ottawa, Montréal, and Halifax. The authors find that the property tax is a good tax, but cities would benefit from a mix of taxes. In particular, user fees are an important source of revenue and can alter economic behaviour. Taxes on income, sales, vehicle registration, fuel, and hotel stays are also an effective way to diversify local taxes. Of the available options, a personal income tax and a municipal sales tax are likely to generate the largest revenues. Although setting up their own tax systems would grant cities the greatest fiscal autonomy, doing so would be costly. It would be more cost-effective for cities to piggyback new taxes onto provincial taxes, with the province collecting the revenue and remitting it to cities. To promote local accountability, however, it is essential that local governments set their own tax rates. In this way, taxes levied would be linked to services consumed.