Op-Ed: Run it like a business

An often-heard comment during election campaigns is: We need to run our city government like a business. It sounds responsible, practical, pragmatic, and clear-minded. 

The question is: what does it mean if we actually apply those principles?

First, let’s look at how we define a successful business. 

One statement of purpose goes like this: The purpose of a business is to generate profits and achieve financial sustainability for its owners. 

This is done by maximizing revenues by all means possible and managing costs and expenses. Sounds perfectly reasonable. Let’s apply it to our 2024 city government operations as presented in the “2024 budget.”

Which of our operations are money-losers? If you bundle parks, swimming, golf and curling, the Servus Sports Centre, hockey arenas, library, museum, the Vic Juba Community Theatre and the Legacy Centre together, you find they cost us a whopping $21 million plus. They only generate $5.9 million, so according to business theory, let’s shut them down; we can save $15.2 million every year.

Look at emergency services. Police, fire and EMS generate around $1.8 million in revenue, while they cost us $20.6 Million. That leaves a deficit of $18.8 million. 

How is that a good deal? 

While we’re at it, how about snow removal? We have 253 kilometres of roadways in the city and a full snow-removal operation costs about $1.2 million every time. 

Plus, do we really need to fill all of those potholes, paint dividing lines on the roadways, cut the grass along city roadways, and plant flowers in Bud Miller All Seasons Park for the July 1 celebrations? 

What direct revenues do those activities generate? We could always change garbage pick-up to a two-week schedule. And what’s the deal with a Water Treatment Plant? 

Who cares about the downstream effects? Where is the profit?

To suggest that the purpose and role of government in our daily lives is to operate like a business is the height of naivete. Business is all about making a profit. 

“Service” is a mere means to an end.

Government, especially local government, is all about providing services to its citizens. We are fortunate in this city that we have an administration that goes to great lengths to research, plan and present a wide range of decision options concerning what services can be provided, at what cost and with what benefits. Then the councillors get to decide.

- Darrell Dunn