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Public Property Privatization in France

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    The modernization and privatization of the State’s real-estate assets are pivotal for the improvement of the French public sector’s global performance: they take part in the national policy for economic efficiency and public management. Multiple questions arise in the process. How to implement and survey a system of accounting for the State’s real property assets? What kind of objectives and indicators are needed and should be targeted? Is privatization needed and how should it be implemented ? What would be the basis of a reform in public asset management? One of the main challenges lies in the identification of state properties. Another issue is a clear knowledge of the expenses and incomes that can be related to public buildings and properties. Also, the highest level of protection provided in France by strong public rules and strict regulation of public domain brings unavoidable difficulties. Indeed, these weaknesses make possible the management of public assets under private managerial rules. Several key points of a global strategy are emerging through field observation. For instance a comprehensive set of methods is expected in collecting information; a sound management framework calls for well prepared personnel; the decentralization constraint should be considered according to the relocation of public services; a rent policy is to be retained as an alternative of an investment policy. Last, practical considerations end the research document and call for the implementation of Strategic Plans for Public Properties.

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    Paper provided by ESSEC Research Center, ESSEC Business School in its series ESSEC Working Papers with number DR 04009.

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    Length: 22 pages
    Date of creation: May 2004
    Handle: RePEc:ebg:essewp:dr-04009
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    ESSEC Research Center, BP 105, 95021 Cergy, France

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