The paper originates from a research conducted on a sample of Local Authorities in Lombardia. The aims were to explore and understand the governance model and organisational means introduced by Local Authorities in order to cope with the out-sourcing of activities. Indeed, the local public services reform made compulsory the separation between the property of assets and the management of the services. As a consequence, Local Authorities are requested to move from the role of provider to one of governance. Despite the relevance of the innovation, little is known about the real impact on the internal functioning of Local Authorities, in terms of organisational and governance models adopted, and controlling means. The paper addresses these issues, attempting to contribute to their understanding and propose some indication for further development both for theoretical and practitioner purposes.