Charter Cities

Charter cities represent an alternate approach to urban planning and governance, offering the promise of new frameworks for economic development while raising important questions about sovereignty, accountability, and democratic participation.

What is a Charter City?

A charter city is a city in which the governing system is defined by the city's own charter document, rather than solely by general law. Charter cities offer the promise of flexibility to adopt their own governance structures, regulations, and policies that may differ from standard municipal frameworks.

Purported Advantages:

  • Self-Governance: Authority to create local laws and regulations
  • Economic Autonomy: Ability to establish unique economic policies
  • Administrative Flexibility: Supposed freedom to design governance structures
  • Legal Framework: Operates under a specific charter document

Important Note: The success and legitimacy of a charter city depends entirely on the quality, comprehensiveness, and fairness of its founding charter document.

California Constitution

In California, charter cities are defined and controlled by the California state constitution Article XI, most specifically, sections 3 and 5.

Section 3 explains how to create a charter.

Section 5 sets out a nonexclusive list of four "core" categories that are, by definition, municipal affairs.

  • Category 1: Regulation of the “city police force”
  • Category 2: “Subgovernment in all or part of a city”
  • Category 3: “Conduct of city elections”
  • Category 4: “The manner in which . . . municipal officers [are] elected.”

Beyond this list, it is up to the courts to determine what is and is not a municipal affair.
Click to see the CA Constitution

Critical Success Factor: The Charter Document

A charter city is only as good as the charter that creates it. The founding document must be:

  • Comprehensive and detailed
  • Transparent and accessible
  • Protective of residents' rights
  • Accountable to stakeholders
  • Flexible for future amendments
  • Legally sound and enforceable

Pros and Cons

Advantages

  • Economic innovation and experimentation
  • Streamlined decision-making processes
  • Potential for rapid development
  • Attraction of investment and talent
  • Policy experimentation opportunities
  • Reduced bureaucratic constraints
  • Tailored governance solutions

Disadvantages

  • Democratic accountability concerns
  • Potential for exploitation of residents
  • Legal and sovereignty challenges
  • Limited oversight mechanisms
  • Risk of corporate colonialism
  • Displacement of existing communities
  • Constitutional and legal conflicts

Notable Examples

Various California Cities

Many California municipalities operate as charter cities with varying degrees of autonomy and success.

Status: Mixed outcomes