A thesis submitted in partial fulfillment of the requirements for the award of the degree of Master of Science

Thesis (M.Sc.) - Asian Institute of Technology, 1990

In urban low-income communities in Sri-Lanka the construction of basic infrastructure is the responsibility of t he Community Development Council (CDC) . Community Development Councils are representatives of the population of urban low-income settlements. Under the Community Contract System, introduced by t he National Housing Development Authority of Sri Lanka, contracts are awarded to CDCs for the construction of basic infrastructure . This study explores the effectiveness of this approach as an enabling strategy for infrastructure development. It also identifies the problems, advantages and disadvantages of the system, and assesses the replicability of this system by reviewing all the contracts implemented in the past four years. A field survey, case studies and action research were the research methods employed. 63 out of the 93 contracts which were implemented in the local authorities of Colombo and Kollonnawa were considered for a detailed study . The major findings of the research were significant delays in implementation , deficiencies in prevailing financial regulations, weak community organization, lack of training and information. Contracts were implemented through three main methods: contracts implemented by own community members , by community members with hired labours , and through sub- contracts. The research found that the method of implementation depends largely on the training received. Communities are satisfied with community contracts. The index of success is also positive, suggesting that nearly three quarter of the contracts are successful . The main conclusions of the study are that there is a need to strengthen Community Development Councils, to revise existing financial procedures to facilitate the system, to provide adequate training and information and to minimize political influence to construction activities. Recommendations include t he continuation of the Community Contract System to deliver the services to the urban poor. The recognition of Community Development Councils by the government is needed to disseminate the system to the other local authorities. Community- based training strategies and appropriate information methods need to be adopted to improve the system.