Development programs without external funds – good or bad?

In Sweden, when government agencies kick off domestic development initiatives, we've become accustomed to a common routine: program guidelines are released, criteria for partnerships are set, desired outcomes are described, and an amount of special funds are allocated for the work.

Recently, the Swedish Consumer Agency, Konsumentverket, issued guidelines for an upcoming round of the societal development programs called Regional Service Programs (RSP). This particular RSP, subtitled “Service as Growth Factor in Countryside and Sparsely Populated Areas,” is an effort to increase access to commercial and public services for citizens, focusing on fuel, everyday commodities and increased access for persons with disabilities.

There's something notable in the new guidelines: there are no funds allocated for the programs. Program partnerships are expected to be developed and implemented and supported /within/ existing regular budgets. At first this sounds like a true challenge. How can new programs mandated by the government succeed without new funding? But in thinking about this one step further, a very interesting question that arises: Do we need funds attached to new programs or are we better off without them?

For instance, additional funds usually leads to added activities as a second layer on top of regular business. If the intention of the new program is to enhance performance of regular activities, perhaps more funding is not such a great idea. Besides, who said that better and more efficient work would cost more money?

I suppose the worst case scenario is that with no money, service programs have their hands tied behind their back because an unfunded mandate makes people unable to carry out the program activities that are needed. It is going to be very interesting to see how this develops. We're collaborating now with the RSP in Dalarna region. Their hope is to be able to demonstrate that they can create compelling early outcomes absent funding using existing resources and partnerships, acting on levers that are theorized to be effective but cost little.

I'm curious to know if any of you have had successful experiences making unfunded mandates work. My take on this is that we may have an opportunity for people to focus on improving society without the need for outside funding. Thoughts?

 

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