Consultant to Discuss Merger/Shared Services Study at Community Meeting

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Media contacts:  
Jeane’ Holley: (216) 698‐2544 or jholley@cuyahogacounty.us


CLEVELAND – The Cuyahoga County Department of Regional Collaboration, the mayors of Moreland Hills, Pepper Pike, Orange, and Woodmere, and the Center for Governmental Research are hosting a community meeting to discuss the results of a study to evaluate the opportunities for merger and shared services among the four communities.

The Center for Governmental Research (CGR), the consultant engaged by Cuyahoga County to conduct a thorough review of opportunities for shared services – including the possibility of a merger, will present its draft final study at a community meeting on Monday, November 18, 2013, 7:00 PM at Orange High School, 32000 Chagrin Boulevard, Pepper Pike, Ohio.

The grant‐funded study and report is the result of a nearly year‐long process that included community meetings, interviews with mayors and directors, input from residents, and comprehensive analysis of community operations. The study identifies a number of opportunities for the four east side communities to share services and save money. Noting that a merger of the communities would entail costs, as well as savings, the report concludes that the net savings from a merger would likely be modest – 5% to 6% ‐ and that much of that savings could be achieved through a sharing of services.

Background

In June 2011, four east side communities seeking to become stronger and more efficient sought support from Cuyahoga County. Led by County Executive Ed FitzGerald and the county’s first‐ever Director of Regional Collaboration Ed Jerse, Cuyahoga County assembled a team and resources to study opportunities for shared services – including a possible merger. Harnessing the resources of the County Planning Commission, the Northeast Ohio Area wide Coordinating Agency, and the state of Ohio, the  Team engaged nationally‐recognized Center for Governmental Research to manage the process.

In its report, CGR suggests that the communities consider a joint building department, automatic mutual aid for fire and EMS, joint planning of capital equipment purchases, and shared overnight police patrols. Some of CGR’s suggestions would not lead to great savings, but could improve service quality and delivery. Others could more dramatically affect the bottom line. For example, the joint planning of fire equipment purchases could save $1.4 million over 5 years.

CGR notes that “a great deal of sharing already occurs” and that merger involves costs as well as efficiencies. For example, the communities make very good use of part‐time employees, who are trained and receive benefits elsewhere, and personnel costs would increase if full‐time employees were used in a consolidated operation.

Statement from County Executive Edward FitzGerald


FitzGerald praised Mayors Susan Renda of Moreland Hills, Kathy Mulcahy of Orange, Richard Bain of Pepper Pike, Charles Smith of Woodmere, and former Mayor Bruce Akers of Pepper Pike, for stepping forward to ask for the study. “These mayors took a chance by studying the possibility of merger,” said FitzGerald. “This very first step is the definition of leadership, notably in pursuit of making their communities stronger. Already, we have a better understanding of the opportunities to share services and save money. This report identifies opportunities for collaboration that can be explored not only by these four communities, but by communities across the county and state.” Statement from Director of Regional Collaboration Ed Jerse

“A lot of time and effort went into this study and any communities considering merger or shared services can learn from this effort,” said Jerse. “The study identifies shared service opportunities, but it also reveals that mergers can be more complicated than we might initially think – sometimes there are unexpected efficiencies in smaller operations and unanticipated costs in consolidated ones.” “A lot of time and effort went into this study and any communities considering merger or shared services can learn from this effort,” said Jerse. “The study identifies shared service opportunities, but it also reveals that mergers can be more complicated than we might initially think – sometimes there are unexpected efficiencies in smaller operations and unanticipated costs in consolidated ones.”

Statement from Participating Mayors

The mayors thanked FitzGerald for his support and pledged to explore the suggestions made by the report. They noted that, while some residents were open to exploring a possible merger, others feared a loss of community identity, quality of specific services, or financial well‐being. “Our residents value the high level of services we provide and the fact that our safety forces know many of them,” said Woodmere Mayor Charles Smith. “You’re balancing a desire to be as efficient as possible against a desire to preserve what people love most about their communities,” said Moreland Hills Mayor, Susan Renda.

The mayors noted that, at initial community meetings, there was widespread support for sharing services, but greater hesitancy when the talk turned to merger. “Early on, we concluded that an initial focus on shared services would be less contentious and more productive,” said Pepper Pike Mayor, Richard Bain. “We believe that approach can promote trust, achieve savings, and provide experiences that will be valuable in any future discussions to achieve sustainability of high quality services.” Mayor Kathy Mulcahy of Orange said that her goal of “putting a number” on the possible savings from a merger had been achieved. “You can talk about merger in a theoretical sense, but until you identify the potential savings, you don’t know how compelling the case is,” she said. “The report tells us that modest savings could be achieved, but also that much of that savings can be achieved through the less difficult process of sharing services.” Mulcahy was also pleased that the report praised the communities for existing collaborations and efficient practices. “It’s nice to know that we’re doing a lot of things right,” she said.


  
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