A county is a primary administrative and political subdivision of a state, serving as an intermediate level of local government between the state and smaller units such as municipalities. Counties typically provide regional services including law enforcement, courts, public records, and road maintenance across both incorporated and unincorporated areas. While a municipality (such as a city, town, or village) is a self-governing local entity usually contained within a county's boundaries, the two serve different governmental functions—municipalities handle urban services for their residents, whereas counties address broader regional needs. In some cases, a city and county may consolidate into a single jurisdiction, as seen in San Francisco or Denver, but more commonly they operate as distinct layers of government with overlapping geographic territory.
A county is a primary administrative and political subdivision of a state, serving as an intermediate level of local government between the state and smaller units such as municipalities. Counties typically provide regional services including law enforcement, courts, public records, and infrastructure maintenance across both incorporated and unincorporated areas. While a municipality (such as a city, town, or village) is a self-governing local entity usually contained within a county's boundaries, the two serve different governmental functions—municipalities handle urban services for their residents, whereas counties address broader regional needs. In some consolidated jurisdictions, a city and county may merge into a single governmental unit.
Employee Ownership Initiatives at the County, Municipal, and City Level (2024–2026)
Counties, municipalities, and cities increasingly view employee ownership as a strategic tool for economic development, business retention, and wealth-building—particularly in underserved communities.
Strategic Framework: The DAWI/National League of Cities Municipal Playbook identifies three main entry points for local governments: helping retiring business owners sell to their employees rather than closing or selling to outside investors; launching worker cooperatives to create quality jobs for populations facing employment barriers; and facilitating secondary cooperatives where microbusinesses pool resources for shared purchasing, marketing, or administrative services.
Key Implementation Insight: Local governments don't need deep employee ownership expertise in-house. The most effective approaches involve convening existing business service providers (accountants, CDFIs, chambers of commerce, SBDCs) and connecting them with specialized technical assistance organizations. Cities can also leverage existing loan programs by amending eligibility criteria—as Miami and Berkeley have done—rather than creating entirely new funding mechanisms.
Recent Examples (2024–2026):
- Los Angeles County partnered with Project Equity to offer free consultation services for business owners exploring employee ownership transitions
- Philadelphia became the first U.S. city to declare 2025 the Year of the Cooperative, committing to explore policy options supporting cooperative development
- Grand Rapids, Michigan became the first city to offer procurement bid discounts (1-2%) for employee-owned businesses
- Oregon enacted legislation in 2025 giving employee-owned businesses (50%+ employee ownership) preference in state contracts
- Michigan launched a $500,000 pilot program in 2025 to fund technical assistance for businesses transitioning to employee ownership
- Colorado expanded its tax credit program in 2024, covering 50% of conversion costs up to $50,000
Why This Matters for Local Governments: Employee ownership addresses multiple policy goals simultaneously—business succession planning, job retention, racial and gender wealth gaps, and local economic stability. Research consistently shows employee-owned firms have lower layoff rates during downturns and keep wealth circulating locally rather than extracting it to outside investors.
Alternate Terms for "County"
- Term Usage Parish Louisiana's equivalent (e.g., Orleans Parish)
- Borough Alaska's equivalent; also New York City's five constituent counties
- Census Area Alaska's unorganized regions without borough government
- Independent City Cities functioning as county-equivalents (e.g., Baltimore, St. Louis, 38 Virginia cities)
- Consolidated City-County Merged jurisdictions (e.g., San Francisco, Denver, Nashville-Davidson)
- Municipio Puerto Rico's equivalent
All these governmental forms have similar authority over economic development and procurement, making the employee ownership strategies described above equally applicable.