The City of Ann Arbor is a university city located in the southeast area of Michigan, the seventh most populous state in the United States. Like many American cities, Ann Arbor has experienced large population growth in the last decade from 1960 to 1970. Its population has grown from 67, 000 to 99,797 (a percentage increase of 49%) in the past ten years. The large population increase has created a severe demand for increased city services. This applies to the normal functions of municipal government including water supply, police protection, fire protection, roads, building inspections, housing, parks and recreational facilities, traffic control, and financial administration. Municipal governments, and in fact governments at all levels, have to provide improved management capabilities in order to meet the ever-increasing demands in America’s highly affluent society. We will discuss in this paper modern management techniques to provide improved government capabilities in a particular area of governmental concern, that being the provision of housing needed in American cities. The principal management technique discussed is the Critical Path Method, which can be used for management, planning, and scheduling control of all city functions, including the provision of lower-cost housing. In addition, this paper will outline a model of the use of the technique in a lower cost housing project in the city of Ann Arbor, Michigan.