Chuck Fluharty

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The New Framework for Rural
Economic Development
Presented to the
National Public Policy Education Conference
St. Louis, Missouri
September 20, 2004
Charles W. Fluharty, Director
The Rural Policy Research Institute
http://www.rupri.org
Four Overview Considerations
I.
National Policy Considerations
II.
The Importance of Rural Governance
III. The Critical Role of Public
Intermediaries
IV. The Challenge and Opportunity for
Public Policy Educators
I. National Policy Considerations
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Growing rural policy consciousness
Federal “push down;” fiscal crisis; funding
decline; capacity challenge
Federal “Regional Balkanization”
New inter-jurisdictional cooperation
A new institutional framework for rural
regional advancement
Many state level rural policy efforts
II. The Importance of
Rural Governance
Defining Governance:
“We define ‘governance’ as the means by which people come
together to identify key problems and opportunities, craft
intelligent strategies, marshal necessary resources, and
evaluate outcomes.”
-- RUPRI / CFED Rural Governance Initiative
Governance is about the process of making decisions regarding
the distribution of public and private resources and
responsibilities, across multiple stakeholders.
Past 15 Years: Public Practice and Literature
Move Toward Making Government “More . . . .”
Examples:
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New Public Management
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Devolution

Reinventing Government

New Governance
Contemporary Conceptions of Governance:
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Interdependence of governmental and non-governmental
organizations (central government’s role reducing over time)
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Now more coordination; facilitation; negotiation through multiple
policy networks:
•
Diverse, overlapping, integrated
•
Comprised of government, private sector, nonprofit and associational
actors
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All Actors Bring Unique:
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Power bases
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Roles, responsibilities
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Values, skills, organizational resources
The Importance of Rural Governance:
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The Community Capacity Disadvantage
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The Necessity of a Place-Based, Non-Sectoral
Framework
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The OECD Story!
The Current Rural Governance Scorecard
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Federal, Regional, State and Local Policy
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Innovation in Intergovernmental Relationships
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Innovation in NGO and Private Sector
Relationships
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Positive and Negative Developments

Future Opportunities
III. The Critical Role of
Public Intermediaries
The Critical Role of Intermediaries
“Intermediaries are people and institutions that add
value to the world indirectly, by connecting and
supporting – i.e., by enabling others to be more
effective. Intermediaries may act as facilitators,
educators, capacity builders, social investors,
performance managers, coalition builders, and
organizers of new groups.”
Xavier de Souza Briggs
The Art and Science of Community Problem-Solving Project
Kennedy School, Harvard University, June, 2003.
Five Types of Intermediaries
Promoting Public Interest:
1.
2.
3.
4.
5.
Government as intermediaries
Civic intermediaries
Funder intermediaries
Issue-focused intermediaries
Capacity building intermediaries
Xavier de Souza Briggs
The Art and Science of Community Problem-Solving Project
Kennedy School, Harvard University, June, 2003.
Five Strategic Challenges for Public Intermediaries
1.
2.
3.
4.
5.
The most useful specific functions of an intermediary will
often be ambiguous and will likely change over time.
Intermediaries may have to develop the market for what they
wish to provide.
A given community may be home to multiple intermediaries
with diverse and overlapping functions.
Broad community change – social, economic, political –
shifts the “market” for what intermediaries should
contribute, how, and with what support.
Showing value added – credibly demonstrating the
intermediary’s contribution – is an ongoing challenge.
Xavier de Souza Briggs
The Art and Science of Community Problem-Solving Project
Kennedy School, Harvard University, June, 2003.
IV. The Challenge and
Opportunity for Public
Policy Educators
Three Critical Questions
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Who will be the Champions?
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Public and Private Entrepreneurs
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Change Agents
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Where are the Intermediaries to Shoulder the
Burdens of Institutional Innovation?
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Where are the Constituencies to Support these
Innovative Leaders and Institutions?
The Rural Community Context:
What Can Communities Do?
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Facilitate / Support These Emergent Models
Foster the New Economic Engines
Become Change Agents
Support Entrepreneurs (Public and Private!)
Concluding Thoughts for
Public Policy Educators
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