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Council looking for answers on discrepancy in OPP cost savings

February 11, 2021   ·   0 Comments

By Sam Odrowski

The treasurer of Orangeville has painted a slightly different picture than formerly hired consultants regarding the anticipated cost savings associated with transitioning from a municipal police force to the OPP

Coun. Todd Taylor highlighted the discrepancy in Jon Hambides of Pomax Consulting’s OPP cost projection from November of 2019, compared to the treasurer’s current projections and subsequently put forward a motion to have Mr. Hambides back to explain the gap, which passed during a regular Council meeting on Monday (Feb. 8).

“I’d like the consultant to come back to Council and report on why the difference is there and educate us on that because clearly something is different in the report than what we’re seeing,” said Coun. Taylor.

He noted that while the budget for the OPP is still less than the OPS, from 2021-2024 he sees $6 million less in savings than what was projected by Pomax Consulting.

Mayor Sandy Brown replied to Coun. Taylor’s comments, saying that his projections up to 2024 were off by about $3 million because that’s the first of year of the OPP using a standardized billing model versus the current transitional billing model, which costs significantly more.

Town CAO, Ed Brennan echoed Mayor Brown’s comments and noted that the consultants draft projections based on assumptions and variables that do change, so they can’t be exact.

He also noted that the consultant anticipated more grant opportunities with the OPP, which is partly responsible for the shortfall in savings.

Mayor Brown, who ended up voting against the motion, did note earlier in the meeting that he would like to see where the difference in savings is coming from.

“I think we’re all interested in transparency, and I’d very much like to see Mr. Hambides calculations. Also, the calculation of the grants, obviously there’s a difference there. I think Coun. Taylor has made a point that the residents of Orangeville deserve to see what that is,” he remarked.  

“It is what it is, I don’t think we’re going to change what it is, but it would be interesting for all of us to understand it better.”

Mayor Brown later said that he believes the OPP need to operate for a full year before Council’s questions about the cost savings can be properly answered.

In regards to Coun. Taylor’s motion to have the consultant back, Coun. Debbie Sherwood said it seemed a bit premature, since the Town hasn’t yet run a full year of operations under the OPP. She also noted that there isn’t a full complement of staff at the OPP currently and won’t be until midway through the year, so until 2022 is finished with a full complement of staff, it’s hard to gauge the savings.

Coun. Sherwood added that the Town’s treasurer budgets for worse case scenarios, with the maximum anticipated cost being projected. In light of this, there’s about $1 million more budgeted for staffing than is actually being used this year at the OPP, according to Coun. Sherwood.

When asked if there were any additional costs the transition team wasn’t anticipating or aware of when switching from OPS to OPP in October of 2020, Town CAO, Ed Brennan noted that while there could be a small overrun, they’re well within the projected range of the project.

In terms of severance packages for OPS officers who left the force instead of transitioning to OPP, those costs are in line with previous projections by the Town, said Brennan.

Following Town staff and fellow councillors comments, Coun. Taylor was firm in his request to have Mr. Hambides back to Council for an explanation as to why the savings he projected are higher than what they’re now expecting.

“What we’re talking about is that the estimate that was given by the consultant is lower by a material amount than what we’ve seen by the treasurer here, 12 months later,” said Coun. Taylor.

“I’m not here to fry anyone or embarrass anyone, I think we owe it to ourselves and the citizens to understand it.”

Town staff have reached out to Jon Hambides of Pomax Consulting at Council’s request and they’re hoping to speak with him about the difference in OPP cost savings within the next six weeks.

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