ENTREPRENEURSHIP IN THE PUBLIC-SECTOR - THE HORNS OF A DILEMMA

What are local public administrators expected to do in an era of tax b ase decline, diminishing state and federal support, and intensified pu blic demand for more and better services? Felice Perlmutter and Ram Cn aan argue that a policy of fund raising and development is one solutio n to this dilemma. The authors acknowledge that private support for pu blic services is not a new idea or practice; however, an institutional ized policy of capital campaign and donation seeking from private sour ces on an on-going basis to fund traditional public services is the es sence of this new policy. Perlmutter and Cnaan provide us with a case study of the Department of Recreation in the city of Philadelphia whic h, through the proactive leadership of a new commissioner, took on the mission of establishing a development unit and annual fund campaign. The authors describe the background of the new policy, its formulation , and implementation. This policy, however, is not without risks, and Perlmutter and Cnaan detail some of these risks as a precaution for th ose wishing to hastily adopt the new policy.