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There is a paucity of studies on factors that influence the performance of community-operated urban-based water schemes in developing countries. Consequently, there are gaps in knowledge of these factors. The study reported here is intended to contribute to efforts aimed at bridging these gaps. It does so by employing the constant comparison analysis technique to assess the impact of community participation on the performance of four community-operated water schemes in urban informal neighborhoods in Kisumu Kenya. Based on our results and as compared to previous studies, the following two factors stand out as unique contributors: (i) provision of yearly dividends to the beneficiary community and (ii) extent of institutional formalization. These findings promise to be of utility not only for community development scholarship but also for urban water development policymakers in developing countries. [ABSTRACT FROM AUTHOR]