Written By David Gomez, Local Journalism Initiative Reporter
ADELAIDE METCALFE - Council received an update on a province-wide feasibility study exploring the creation of a joint municipal services corporation for water and wastewater systems during its February 2 meeting.
Jim Pine of Local Authority Services (LAS) was present to speak about the study, which is examining whether a shared service delivery model could be financially viable and operationally practical for participating municipalities.
Pine, who is managing the feasibility study on behalf of LAS, explained that the project is approximately halfway complete and involves eight municipalities, including Adelaide Metcalfe. He told council the goal is to develop “a very detailed business case to evaluate whether it’s financially feasible and practical for LAS to offer joint water and wastewater municipal services.”
He said the work includes extensive financial modelling, governance analysis, and policy development, with findings expected to be submitted to the LAS board by the end of May. Pine noted that municipal infrastructure pressures are growing, citing AMO estimates that municipalities across Ontario will need to invest approximately $300 billion in water and wastewater systems over the next decade.
“That’s a daunting task,” Pine said, adding that the study is intended to explore “a different way” of managing those long-term challenges while keeping assets publicly owned.
A key focus of the study is governance. Pine outlined a proposed structure that would involve an independent, skills-based board operating under the Ontario Business Corporations Act, separate from the participating municipalities acting as shareholders. “We are talking about taking politics out of the pipes,” he said, explaining that the aim is to ensure decisions are made by individuals with appropriate expertise.
The study is also examining rate-setting and rate-design policies, with Pine emphasizing that full cost recovery is a fundamental principle, though provincial support would likely still be required in the near to medium term.
CAO Morgan Calvert told council the initiative could help address staffing and financial capacity challenges, particularly as development pressures increase. “This is the first step to a lot of steps,” he said, noting that many decisions would ultimately rest with a future board of directors.
Council briefly discussed governance costs and liability considerations before voting unanimously to receive the feasibility study presentation for information.
