Certified General Accountants of Ontario

Certified General Accountants of Ontario
Ontario Chamber of Commerce

Ontario Chamber of Commerce

April 18, 2013 15:00 ET

Private Sector Could Ease Ontario's Fiscal Squeeze, Says Business Advocacy Groups

Ontario Chamber of Commerce and Certified General Accountants of Ontario release new study on alternative service delivery

TORONTO, ONTARIO--(Marketwired - April 18, 2013) - Partnering with the private sector to deliver more public services could potentially save Ontario billions of dollars, according to a new report on alternative service delivery from the Ontario Chamber of Commerce and Certified General Accountants of Ontario.

The report, Public Sector Problems, Private Sector Solutions, makes the case that many of the services Ontarians rely on can be delivered better and more affordably by businesses and not-for-profits, including in areas of health care and education.

Unlike other models of public sector transformation, alternative service delivery gives governments the flexibility to transfer the responsibility for service delivery to an outside agent, while retaining the ability to set overall policy direction, protect the public interest and maintain quality.

The report comes at a time when all eyes are turning to Ontario's 2013 budget and the $12 billion dollar provincial deficit.

"Maintaining the status quo is not enough," says Doug Brooks, FCGA, CEO, Certified General Accountants of Ontario. "Factors such as an aging population, citizen expectations, and labour force restructuring are leading to new and growing demand for public services in Ontario. Looking to alternative service delivery models is one of the ways that we can support this demand while tackling the deficit and debt."

According to Allan O'Dette, President & CEO of the Ontario Chamber of Commerce, "government must transform itself and adopt new and modern service delivery models." He adds that "across-the-board cuts do not lead to long-term savings, additional borrowing just crowds out future program spending, and tax hikes are a difficult sell."

The report examines failed attempts at alternative service delivery in Ontario, including Ornge, and offers lessons in how to better harness private sector innovation. These case studies show that failures are typically the result of poorly designed contracts that weakened government oversight, its capacity to set policy direction and to protect the public interest.

In addition to surveying approaches to alternative service delivery being used in Canada and around the world, the report identifies a number of promising areas for transformation in Ontario, including medical procedures, corrections, training, and the enforcement of child and spousal support payments.

"We don't expect everyone to agree with our conclusions," admits O'Dette. "However, we do hope that this paper helps steer a principled conversation about the future of government in Ontario."

The paper also highlights nine steps to successful alternative service delivery in Ontario.

Earlier today, the Ontario Chamber of Commerce and Certified General Accountants of Ontario released "Public Sector Problems, Private Sector Solutions: Harnessing the Power of Alternative Service Delivery in Ontario."

Contact Information

  • CGA Ontario
    Amy Mulhern
    Manager, Public Relations
    416-544-4781 or 1-800-668-1454 ext. 8311
    Mobile: 416-606-5860