Shared Services Come In All Shapes and Sizes

A growing number of cities are experimenting with shared services agreements that make efficient use of resources while reducing unnecessary costs

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What Happened?

A growing number of cities are experimenting with shared services agreements that make efficient use of resources while reducing unnecessary costs for all participating agencies. Shared services are becoming a more common solution for municipalities battling budget cuts while working to meet increased demands for innovation.

County Fire Chiefs

The Kandiyohi County Fire Chiefs in Minnesota are considering a shared services agreement between fire-and-rescue organizations in the region to better meet public safety demands while operating more efficiently. This shared services agreement would not have financial savings as its main purpose, but rather result in better response time and success to residential emergency calls.

Furthermore, the fire departments involved would not formally merge, but rather share resources to reduce redundant costs. The county is working with a consulting service to explore the shared services model being proposed involving 9 of the 11 cities throughout the county, the Willmar West Central Tribune reported.

School Services

In Delaware County, New York, officials are discussing the possibility of sharing school services in light of rising costs and declining enrollment in several institutions. Some schools in the county are smaller and have felt pressure from the state government to consolidate into larger districts or share leadership such as superintendents between schools, the Watershed Post reported.

While some of the schools are exploring the idea of sharing district personnel, others are looking at merging classes, extracurricular activities and other resources between two or several schools to reduce costs. One problem the officials have encountered is how to bus students to farther locations once programs have consolidated.

Court Services

In New Jersey, the East Greenwich Township is sharing its court services with Woodbury and other cities to increase revenue while reducing costs. One large courtroom and weekly court dates would be set aside to serve other municipalities such as Woodbury. In sharing services with East Greenwich Township, Woodbury would be able to reduce its own costs and take advantage of updated resources, South Jersey Times reported.

East Greenwich Township aims to generate an extra $60,000 to $80,000 from savings and incoming revenue with the shared services agreement. Woodbury, on the other hand, would get to operate out of improved facilities and reduce the city’s tax rate in 2015 due to savings generated.

Winter Services

Upper Arlington, Ohio, has agreed to remove snow on several streets north of the city’s limits in exchange for brine from the city of Columbus. The shared services agreement with Columbus calls for Upper Arlington to clear streets this winter in a designated area outside of its boundary lines. Columbus will give Upper Arlington brine as an alternative to salt to treat roads in winter months. Columbus will deliver 62,800 gallons of brine to Upper Arlington at no cost, while saving between $2,556 and $5,122 in plowing costs based on past years’ snowfall counts. Upper Arlington would save at least $650 per snow event where brine is applied or roughly $11,318 if reduced staff time is factored in.

Everyone Shares

Gov1 has reported on several shared services strategies that are saving money and improving resource management.

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