Municipalities around the world have become increasingly reliant upon digital technologies in their everyday operations. In pursuit of a faster, cheaper, and more efficient local government, service platforms and applications that mediate citizen-government interactions, smart city infrastructures, and automated decision-making systems have proliferated. More recently, digital technologies are also sought to address socially complex issues and foster civic engagement. These ambitions, motivated by both rational and democratic perspectives, however, confront many challenges such as designing with wide heterogeneous groups, navigating organizational structures, and dealing with the political agendas and conflicting perspectives of multiple stakeholders. Designing digital technologies for municipalities, therefore, requires an ability to address the technical, social, institutional, and political challenges critically, practically, and holistically. This hybrid workshop aims to bring together researchers and practitioners to (1) explore how this could be achieved and (2) map the existing and emerging challenges and opportunities for designing public digital services and technologies.