CAO’s Statement: Update on Alternative Service Delivery Options

"On February 29, 2024, nearly a month ago, the Regional Municipality of Wood Buffalo shared information on proposed alternative service delivery options for operational efficiencies.

As the Chief Administrative Officer, I would like to provide an update on this work.

Role of Council and the Chief Administrative Officer

Having spoken to many people and read much commentary, I want to ensure the distinction between Council and the CAO is clear.

Under the Municipal Government Act, the CAO oversees operations. These proposed operational efficiencies have been brought forward by me, as the CAO.

While Council has identified fiscal management as important value, these proposed efficiencies were identified and developed by me, and Administration, and not under Council's specific direction.

I remain committed to sharing information with Council, and with our staff as we move through this process.

Meeting with CUPE Executive

I want to express my thanks to the CUPE Executive for meeting on Wednesday, March 27, 2024. I thought the conversation was very positive and I appreciate their openness and willingness to bring forward solutions.

An outcome of the meeting is a two-week extension to the original timeline to allow for a working group to be formed between myself, RMWB leadership, CUPE Executive, and members of the Union. This collaborative, co-facilitated group will work together to refine proposed changes. Throughout this process, I have shared that the operational efficiencies I've proposed are not set in stone. I am open to equal or better ideas if they are offered, and I look forward to seeing what is brought forward in the working group.

Why propose changes?

As CAO, I believe it is my responsibility to ensure administration operates as efficiently as possible and provides value for money to our taxpayers. Failure to do so can have a significant impact, and could lead to tax increases, service reduction, or project cancellation.

We have significant projects underway, like flood mitigation, rural water and sewer servicing, and the development of an asset management program to maintain critical infrastructure. It is not uncommon for us to draw on reserves to pay for work or projects that have been downloaded to us from other levels or government or to offset funding that has been reduced or cut. In the last seven years the Municipal budget has seen a reduction of approximately a quarter of a billion dollars, but the cost of doing business continues to increase while tax revenue drops.

As the steward of the work of administration and operations, I have proposed to take this action now - as difficult as it may be - to create a more stable, sustainable, and secure future for the organization and its employees."

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