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The Effect of Formal and Informal Contracting Mechanisms on Implementation Performance in the U.S. Federalist System

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  • Jessica N. Terman
  • Richard C. Feiock

Abstract

The relationship between contract management capacity and implementation success in local government contracting is well established. However, less is known about how specific contract mechanisms are linked to this success. This study uses implementation of the Energy Efficiency and Conservation Block Grant Program to examine the use of formal and informal contract management techniques in the implementation of energy projects. The use of formal contract mechanisms, such as full and open competitive bidding, contact rescission and outcome-based performance measures, exhibits a statistically significant effect on implementation performance. The findings advance contracting theory and have practical implications for local government contracting and implementation success in fiscal federalism.

Suggested Citation

  • Jessica N. Terman & Richard C. Feiock, 2016. "The Effect of Formal and Informal Contracting Mechanisms on Implementation Performance in the U.S. Federalist System," Local Government Studies, Taylor & Francis Journals, vol. 42(2), pages 309-331, March.
    • Handle: RePEc:taf:flgsxx:v:42:y:2016:i:2:p:309-331
    DOI: 10.1080/03003930.2015.1110522
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    Cited by:

    1. Chang-Gyu Kwak & Namhoon Ki & Suk-Joon Hwang, 2021. "Selective vs. Collective Outcomes of Collaborative Governance: The Impacts of Federal Stimulus Programs on Local and Regional Governance Outcomes," Sustainability, MDPI, vol. 13(21), pages 1-11, October.
    2. Jisun Youm & Jessica Terman, 2020. "Dynamic Collaboration: The Effects of External Rules and Collaboration Scope on Interlocal Collaboration," Review of Policy Research, Policy Studies Organization, vol. 37(6), pages 823-841, November.

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