Service Delivery Review
Aureus Solutions Inc. has been pivotal in supporting municipalities to optimize their water and wastewater service delivery models. By conducting comprehensive reviews, we help identify challenges, evaluate service delivery options, and recommend solutions tailored to the unique needs of each community. This case study highlights the benefits of our approach and the results municipalities can achieve through a well-executed service delivery review.
Background
A small municipality operating water and wastewater systems sought to evaluate the sustainability of its current service delivery model. The existing approach faced challenges related to operational efficiency, financial sustainability, and long-term planning. The municipality engaged Aureus Solutions to conduct a service delivery review and provide actionable recommendations.
The Challenges
The municipality encountered several critical challenges:
Rising Operational Costs: Increasing contractor charges and limited financial flexibility were straining resources.
Regulatory Compliance: Meeting evolving legislative and regulatory requirements was becoming increasingly complex.
Capital Planning Deficits: The current service delivery model lacked a comprehensive approach to lifecycle planning and asset management.
Workforce Sustainability: Recruitment and retention of skilled operators posed ongoing difficulties.
These challenges underscored the need for a thorough evaluation of the existing management, operations, and maintenance practices.
The Approach
Aureus Solutions conducted the service delivery review in three phases:
Current State Assessment:
Reviewed the municipality’s water and wastewater systems, management practices, and financial health.
Analyzed the 2022 budget to evaluate sustainability and alignment with the asset management plan.
Identified operational strengths and areas for improvement.
Service Delivery Model Evaluation:
Assessed potential alternatives, including external operating agencies and regional partnerships.
Evaluated the financial impacts of each option, considering direct operational expenditures such as salaries, training, chemicals, and major maintenance.
Recommendations Development:
Proposed seeking competitive bids from qualified external providers to maintain cost-effectiveness and accountability.
Recommended exploring regional service agreements to enhance operational efficiency through shared resources.
The Benefits
The review provided the municipality with the following advantages:
Clear Financial Insights:
The analysis revealed that maintaining the current model aligned well with full-cost pricing principles and ensured financial sustainability.
Strategic Recommendations:
Provided actionable steps to enhance accountability and efficiency, whether through private providers or regional partnerships.
Informed Decision-Making:
Equipped council and staff with the data needed to make strategic choices about future service delivery.
Enhanced Operational Sustainability:
Emphasized the importance of capital planning, asset management, and compliance to safeguard the system’s long-term viability.
Conclusion
This service delivery review empowered the municipality to make informed decisions about its water and wastewater operations. By leveraging Aureus Solutions’ expertise, the municipality identified practical solutions to enhance efficiency, reduce risks, and ensure sustainable service delivery for its residents.
Municipalities across Canada can benefit from similar reviews to address their unique challenges and prepare for future demands.
