Let big business exploit the public sector

‘The merger of state and corporate power is by definition called fascism,’ Gerald Celente, U.S.-based trends analyst and forecaster. Meanwhile two big-business groups present their ideas for getting at your tax money.

By Frank Touby –

Alan O’Dette
Pres. Ont. Chamber of Commerce

Self-interested private businesses can help Ontario, according to two far-right advocacy groups. While it’s doubtful selfish private interests can ever do anything better than a properly run government operation, the two groups that represent big-business and those who service big business are touting privatization of the commons. Here’s their pitch, presented by Amy Mulhern, in charge of PR for the accountants’ group:

Partnering with the private sector to deliver more public services could potentially save Ontario billions of dollars, according to a new report on alternative service delivery from the Ontario Chamber of Commerce and Certified General Accountants of Ontario.

The report, Public Sector Problems, Private Sector Solutions, makes the case that many of the services Ontarians rely on can be delivered better and more affordably by businesses and not-for-profits, including in areas of health care and education.

Unlike other models of public sector transformation, alternative service delivery gives governments the flexibility to transfer the responsibility for service delivery to an outside agent, while retaining the ability to set overall policy direction, protect the public interest and maintain quality.

The report comes at a time when all eyes are turning to Ontario’s 2013 budget and the $12 billion dollar provincial deficit.

“Maintaining the status quo is not enough,” says Doug Brooks, FCGA, CEO, Certified General Accountants of Ontario. “Factors such as an aging population, citizen expectations, and labour force restructuring are leading to new and growing demand for public services in Ontario. Looking to alternative service delivery models is one of the ways that we can support this demand while tackling the deficit and debt.”

According to Allan O’Dette, President & CEO of the Ontario Chamber of Commerce, “government must transform itself and adopt new and modern service delivery models.” He adds that “across-the-board cuts do not lead to long-term savings, additional borrowing just crowds out future program spending, and tax hikes are a difficult sell.”

The report examines failed attempts at alternative service delivery in Ontario, including Ornge, and offers lessons in how to better harness private sector innovation. These case studies show that failures are typically the result of poorly designed contracts that weakened government oversight, its capacity to set policy direction and to protect the public interest.

In addition to surveying approaches to alternative service delivery being used in Canada and around the world, the report identifies a number of promising areas for transformation in Ontario, including medical procedures, corrections, training, and the enforcement of child and spousal support payments.

“We don’t expect everyone to agree with our conclusions,” admits O’Dette. “However, we do hope that this paper helps steer a principled conversation about the future of government in Ontario.”