Shared Services Resources

The Benefits of Cost Sharing

“Service sharing is a common practice among local public sector organizations and municipalities in Ontario. Out of 400 municipalities surveyed by the Ministry of Municipal Affairs and Housing in 2012, 369 share services. Joint service provision is widespread because it reduces costs, improves services and, by pooling resources, builds municipal capacity to offer new services.” Shared services in Ontario’s local public sector: Localizing accountability, Municipal Finance Officers’ Association of Ontario (MFOA)

“The economies of scale available through shared service arrangements could allow smaller communities to deliver services, attain service levels or realize cost savings that would not be attainable otherwise.” Sharing Municipal Services in Ontario: Case Studies and Implications for Ontario Municipalities, KPMG, May 3, 2013.

Common Cost Sharing Models

It is common across the Province to apportion levies based on current value assessment/weighted assessment. Municipalities pay for the following services using this model:

  • District of Parry Sound Social Services Administration Board (DSSAB)
  • Eastholme Home for the Aged
  • Land Ambulance

Municipalities receive income from the Provincial Offences Act Partner Distribution of revenue. This is apportioned to each Municipality based on an average of household and population statistics.