Puerto Rico: The municipality of Coamo and the management of FEMA Public Assistance Funds

Abstract

Puerto Rico’s resilience and future recovery depend largely on its institutional capacity to develop strong public governance at the state and local levels. The objective of this paper is to analyze the development of institutional capacity in the management of FEMA Public Assistance Program funds by the Municipality of Coamo during a time of municipal fiscal crisis, using the lens of the postulates of the Center for a New Economy. Institutional capacity development is the process by which the government strengthens its abilities to perform essential functions, solve problems, define and achieve objectives, and understand and respond to its short- and long-term sustainable development needs. The research focuses on identifying situations where municipal institutional capacity is limited by austerity, to investigate how such capacity has been developed, whether it has been in an innovative, creative, and/or positive manner. This, to prevent and manage the impact of a future disaster and/or scenarios due to the fiscal crisis and global warming.