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The New Jersey Initiative

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The New Jersey Initiative T HE N EW J ERSEY THE NEW JERSEY INITIATIVE: Building Management Capacity I NITIATIVE in New Jersey Municipalities : Building Management Capacity in New Jersey Municipalities THE NEW JERSEY INITIATIVE: Building Management Capacity in New Jersey Municipalities Maxwell School of Citizenship and Public Affairs Syracuse University, New York Eagleton Institute of Politics Rutgers, The State University of New Jersey Funded by The Pew Charitable Trusts and State of New Jersey Department of Community Affairs 2002 © 2002 by The Maxwell School of Citizenship and Public Affairs at Syracuse University. All rights reserved including the right of reproduction in whole or in part in any form. Address inquiries to: The New Jersey Initiative Alan K. Campbell Public Affairs Institute Maxwell School of Citizenship and Public Affairs Syracuse University 306 Eggers Hall Syracuse NY 13244-1090 315-443-9707 315-443-9734 (Fax) www.campbellinstitute.org ISBN 0-9723595-0-8 To all the dedicated public employees who serve in New Jersey’s 566 municipalities and state government. iv New Jersey Initiative Project Staff The Maxwell School of Eagleton Institute of Politics Citizenship and Public Affairs, Rutgers, The State Syracuse University University of New Jersey Dale Jones Yonghong Wu Ingrid W. Reed Director Financial Management Associate Director Managing for Results Faculty Research Associate New Jersey Government Advisor Expert Jessica Crawford Jon Erickson Dana Michael Harsell Public Relations Coordinator Project Manager Project Manager Human Resources Financial Management Advisor Managing for Results Research Management Senior Research Associate Assistant Lucy Baruch Project Finance and Administration Stuart Bretschneider Tiffany Tanner Information Technology Publication Coordinator Joanne Pfeiffer Management Faculty Expert Financial Management Office Coordinator Senior Research Assistant Sally Coleman Selden Genikwa Williams Human Resources Figen Gungor Project Research Assistant Management Faculty Expert Project Senior Research Assistant Yilin Hou Financial Management Chris Folts Faculty Expert Project Management Research Assistant Connie Bawcum Max Bohnstedt Sharif Nankoe Suzette Denslow Project Management Carol Ebdon Research Assistant Capital Management Project Consultants Paula Acosta Financial Management Amy K. Donahue Research Assistant Public Management Consultant Kingsley Chukwu Melissa Mink Bethany Walawender Human Resources Project Finance and Management Research Administration Assistants Kelley Coleman Alyssa Colonna Office Coordinator Editor Willow Jacobson Kari Parsons Human Resources Project Consultant Management Research Associate Chris Bronk Web Site Designer Ora-orn Poocharoen Managing for Results Research Dana Cooke Associate Logo Designer v New Jersey Initiative Advisory Committee Loretta Buckelew Assistant to the Deputy Director Division of Local Government Services State of New Jersey Henry A. Coleman Director Center for Government Services Rutgers, The State University of New Jersey Jon Erickson Director Master of Public Administration Program Kean University Michele Tuck-Ponder President Ponder Solutions William A. Watson Executive Director John S. Watson Institute for Public Policy Thomas Edison State College John Weingart Associate Director Eagleton Institute of Politics Rutgers, The State University of New Jersey vi Funders The New Jersey Initiative acknowledges with gratitude that the project is funded by grants from the following: The Pew Charitable Trusts State of New Jersey Department of Community Affairs The opinions expressed in this report are those of the authors and do not necessarily reflect the views of The Pew Charitable Trusts and the State of New Jersey Department of Community Affairs. The New Jersey Initiative is solely responsible for the content of this report. Table of Contents vii Table of Contents List of Tables and Figures . .ix List of Appendices . .xi Foreword . .xiii Acknowledgments . .xv Executive Summary . .xvii 1 Assessing Management Capacity in New Jersey Municipalities . .1 The Government Performance Project: Foundation for the New Jersey Initiative . .1 The New Jersey Initiative . .4 Management Capacity . .7 New Jersey Laws Governing Municipal Administration . .13 Backgrounds of Municipalities . .22 2 Financial Management . .33 Financial Management Capacity and Systems . .33 Financial Management Environment for New Jersey Municipalities . .34 Criteria for Assessing Financial Management . .36 Methodology and Data Collection . .37 Results: Financial Management in New Jersey Municipalities . .38 Summary . .54 Recommendations for New Jersey Municipalities and the State of New Jersey . .55 3 Capital Management . .61 Capital Management Capacity and Systems . .61 Capital Management Environment for New Jersey Municipalities . .63 Criteria for Assessing Capital Management . .64 Methodology and Data Collection . .65 Results: Capital Management in New Jersey Municipalities . .66 Summary . .70 Recommendations for New Jersey Municipalities . .71 Recommendations for the State of New Jersey . .72 4 Human Resources Management . .75 Human Resources Management Capacity and Systems . .75 Human Resources Management Environment for New Jersey Municipalities . .76 Criteria for Assessing Human Resources Management . .80 Methodology and Data Collection . .80 Results: Human Resources Management in New Jersey Municipalities . .81 Summary . .108 Recommendations for New Jersey Municipalities . .109 Recommendations for the State of New Jersey . .110 viii THE NEW JERSEY INITIATIVE: Building Management Capacity in New Jersey Municipalities 5 Information Technology Management . .113 Information Technology Management Capacity and Systems . .113 Information Technology Management Environment for New Jersey Municipalities . .114 Criteria for Assessing Information Technology Management . .116 Methodology and Data Collection . .117 Results: Information Technology Management in New Jersey Municipalities . .118 Summary . .127 Recommendations for New Jersey Municipalities . .127 Recommendations for the State of New Jersey . .128 6 Managing for Results . .131 Managing for Results Capacity and Systems . .133 Managing for Results Environment for New Jersey Municipalities . .137 Criteria for Assessing Managing for Results . .137 Methodology and Data Collection . .139 Results: Managing for Results in New Jersey Municipalities . .139 Summary . .146 Recommendations for New Jersey Municipalities . .147 Recommendations for the State of New Jersey . .147 Recommendations for New Jersey Municipalities and the State of New Jersey . .148 7 Conclusion: Improving Management Capacity in New Jersey Municipalities . .151 Collaborative Approach From Municipalities and the State . .151 Vital Reforms . .152 Bold Actions . .153 Appendices . .157 Bibliography . .188 List of Tables and Figures ix List of Tables and Figures Tables 1.1 History of the Government Performance Project . 3 1.2 Characteristics of Municipalities in the New Jersey Initiative. 5 1.3 Forms of Government for New Jersey’s 566 Municipalities. 21 2.1 Area and Population of the Seven Municipalities . 34 2.2 Per Capita Municipal Taxes . 35 2.3 Per Capita General Revenue and Appropriations. 36 2.4 Financial Management Criteria . ..
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