In the wake of the economic crisis in 2007, many municipal governments faced a variety of financial challenges. Scholars and practitioners call for citizen participation in various parts of government; however, it is unclear how efforts to engage the public can be sustained when municipalities undergo tough financial times. This research explores the impact of internal and external factors-(a) impact of financial crisis, (b) environmental and organizational complexity, and (c) administrative decentralization-on whether citizens are given the opportunity and resources to be involved in decision-making. Findings suggest that, despite their concerns for the diminishing fiscal capacity, local governments provide supportive institutional arrangements that may encourage public participation. Organizational complexity in local government also has a positive impact on facilitating public involvement and providing resource. Finally, the analyses indicate mixed findings for environmental complexity faced by local jurisdictions.

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