Civic Capacity Mailbag

Your Questions Answered about Charter and Statutory Communities

This month in the mail Civic Capacity Mailbag, we pull out a question from a loyal reader in Piqua. Here it is:

Statutory vs charter cities

Can you breakdown in layman's terms and perhaps some real world examples of each, maybe using Piqua and Troy to compare the differences and give pros and cons of each?

For context, every few years, there seems to be some chatter to either change Piqua from a charter community to a statutory community and to change Troy from a statutory community to a charter community. Largely these are just lunch counter dicsussions that don’t go very far, largely because most people don’t have a good understanding of what these terms be mean and what changes that might cause.

Our reader poses a good question and deserves a good answer, I will do my best.

City and village governments in Ohio can be categorized based on their organizing documents. Some communities, like Piqua, have a charter and are called charter communities. Others, like Troy, do not have a charter and are known as statutory communities. While both types provide local governance, they have significant differences in their structures, powers, and decision-making processes.

Let's explore and compare the characteristics of charter municipalities and statutory municipalities in Ohio. This will help us understand how local governance works in our local communtiies and appreciate the unique aspects of each type of government.

Charter municipalities in Ohio are established through a process called charter adoption. Unlike statutory municipalities, charter municipalities have more local autonomy and self-governance. They can create their own charters, which act as their fundamental governing document. These charters outline the structure, powers, and functions of the municipality, similar to a local constitution. By adopting a charter, a municipality gains the power to make decisions and create laws that fit its specific needs and circumstances. If you want to read a city charter, you can find Piqua's current city charter here.

The process of charter adoption begins with proposing a charter to the voters for approval. If the charter is accepted, the municipality is granted authority beyond what the state legislature provides. This includes the ability to create local laws, establish administrative departments, and even change their charters to adapt to new situations. Charter municipalities have more flexibility and control over their own affairs.

The City Manager System and the Origins of Charter Communities

Charter communities originated when the city manager form of government emerged in the early 20th century. This system aimed to separate political decision-making from day-to-day administrative tasks, promoting expertise, accountability, and nonpartisan governance. It was developed as a response to the challenges posed by rapid urbanization and the limitations of traditional political structures.

Richard S. Childs, a young city engineer in Sumter, South Carolina, played a key role in developing the city manager form of government. In 1908, Childs proposed the idea of a city manager who would oversee the operations of the city government, bringing expertise and professionalism to municipal affairs. His proposal gained support as a way to address corruption, inefficiency, and political favoritism.

The city manager system gained popularity and was further promoted by reformers like Frederick A. Cleveland and Henry Bruère. In 1912, Staunton, Virginia became the first city to adopt the city manager system. Other cities like Dayton and Cincinnati followed suit in the same year, solidifying the city manager form of government as a viable alternative to traditional models.

The city manager form of government offered advantages over the traditional mayor-council system. It introduced a professional manager with expertise in municipal administration, accountable to the city council. This ensured more efficient management of municipal services, such as public works, finance, and public safety. Additionally, the city manager's nonpartisan role aimed to reduce political influence and corruption, focusing on merit-based hiring and decision-making.

Over time, the city manager form of government evolved to meet changing needs. Today, it is widely adopted by cities across the United States, symbolizing efficient and accountable governance. Its emphasis on professional management, expertise, and nonpartisan leadership has been instrumental in addressing the challenges faced by modern urban areas.

Statutory Communities - Following Established Laws

In contrast to charter municipalities, statutory municipalities derive their powers and functions from specific laws passed by the state legislature. These municipalities operate under predefined statutes and do not have the same level of autonomy as charter municipalities. The statutes define the framework for governance, specifying the powers and limitations of the municipal entity. The laws governing statutory municipalities are usually found in Title VII of the Ohio Revised Code.

Statutory municipalities are generally established based on population thresholds or other criteria set by state law. They are subject to state oversight and regulation since their authority comes directly from the statutes enacted by the state legislature. Although they have some local decision-making power, statutory municipalities are constrained by the limits imposed by the state legislature and must operate within those boundaries.

Powers and Autonomy

The fundamental difference between charter municipalities and statutory municipalities lies in the extent of their powers and autonomy. Charter municipalities have broader powers and greater autonomy because they can draft and amend their own charters. This allows them to customize their governance to suit their unique needs and priorities. On the other hand, statutory municipalities operate within the confines of state statutes and have limited flexibility to adapt to local conditions.

Decision-Making Processes

Charter municipalities typically use a council-manager form of government, where an elected council holds legislative authority, and a professional manager handles day-to-day administration. This system promotes accountability and expertise in governance. Statutory municipalities, however, can adopt various forms of government outlined in state law, such as mayor-council and commission models. The decision-making processes and distribution of power within statutory municipalities may vary depending on the chosen form of government.

In the mayor-council option commonly used by most statutory communities in Ohio, the Mayor serves as the head of the Executive branch, and the Council acts in a legislative role by setting broad policy direction through adopted resolutions and ordinances.

In this system, the daily operations of the community are managed by a Service and Safety Director, who is accountable only to the Mayor, not to the City Council. The Service and Safety Director's main task is to satisfy the Mayor's expectations, which eliminates the need to balance multiple interests as a City Manager would. It's important to note that most Service and Safety Directors have similar educational credentials, technical expertise, and work history as a City Manager.

Charter Amendment and Revision

Charter municipalities have the power to amend or revise their charters through a process that often requires voter approval. This allows them to address local needs, changing demographics, and emerging challenges effectively. Statutory municipalities, on the other hand, must rely on the state legislature to modify their governing statutes, making the process more complicated and time-consuming.

Interestingly, these different approaches to local government are influenced by geography throughout the state. Charter communities are typically found in newer communities and in the southern and western parts of Ohio. Statutory communities, however, are more commonly found in the northern and eastern parts of the state. This geographic distinction can be attributed to the early settlers of these areas bringing their New England traditions with them.

In our state, charter municipalities and statutory municipalities have distinct approaches to local governance. Charter municipalities have more autonomy, flexibility, and control over their own affairs, while statutory municipalities operate within a framework defined by state statutes. The ability of charter municipalities to adopt and amend their own charters allows them to respond more dynamically to local challenges and prioritize their communities' needs. Understanding the differences between these two types of municipalities is crucial for understanding local governance in Ohio and appreciating the diverse approaches employed by its municipalities.

What Is Your Question?

Have a question you would like answered here in the Civic Capacity Mailbag? Feel free to drop me a line at william.lutz17@gmail.com. I would be happy to tackle it!