Minto receives joint award with Niagara-on-the-Lake

MINTO – The Town of Minto and Niagara-on-the-Lake received a joint inaugural Rural Ontario Inspiration Award for a shared equipment leasing model.

Presented at the Rural Ontario Municipal Association conference by Minister Lisa Thompson on Jan. 19, the award included eight recipients in separate categories.

The two parties won the award based on their Municipal Shared Equipment Model. 

“This was a model that was born out of necessity,” Minto CAO Gregg Furtney told the Community News. “It is another tool in a municipality’s toolbox.”

The model facilitates equipment-sharing among municipalities and government agencies (conservation authorities, utilities, school boards, universities and colleges) by way of short-term leases that last less than a year.

“Its primary goal is to enable organizations to lease under-utilized assets to one another, thereby optimizing resources, reducing expenses, generating new revenue and fostering collaboration in the public sector,” Furtney said.

According to Furtney, the initiative was developed to address several challenges faced by municipalities and institutions including:

• struggling to receive capital money for projects and the replacement of aged equipment;
• taxpayers desiring the same or better level of service without increased taxes;
• combating rising tax levies;
• high cost of new equipment and long lead times for delivery;
• difficulties in acquiring good used equipment;
• the fact that equipment is sometimes seasonal and often sits idle in yards; and
• ongoing economic/political unrest (tariffs, cross-border concerns), coupled with significantly increasing operating/capital costs. 

One of the model’s benefits is the ability to generate new revenue streams by monetizing under-utilized equipment/assets. 

For example, Niagara-on-the-Lake leased its motor grader to Minto while the town leased its tractor to Niagara.

“This turns an asset into an investment with a return on investment,” Furtney said.

Other benefits noted include:

• maximizing use of existing resources and lowering costs;
• extending the life of an asset and earning revenue; and
• exploring new and collaborative models for better utilization of funds and equipment, acting as “stewards.” 

The model includes a range of equipment such as motor graders, tractors, street and parking lot sweepers, wood chippers, mowers, vacuum trucks and trailers, backhoes, skid steers, forestry equipment, trackless units, lifts and equipment attachments. 

Asked how the partnership between the towns developed, Furtney said the reasoning is “quite simple.”

“My colleague in Niagara-on-the-Lake is a long-time friend,” Furtney said. “I was born, raised and spent much of my early career in the Niagara Region.”

The two used to work together at the Niagara Peninsula Conservation Authority and stayed in touch.

His former colleague now works in Niagara in the public works department.

“I also spent several years in public works before becoming CAO in Minto,” he said. “The idea for this model grew naturally out of those conversations.”

Furtney noted the distance between the towns is about two and a half hour.

“While that distance presented some logistical challenges, we were able to work through them successfully,” he said. 

Ideally, the model would operate within local hubs of neighbouring municipalities.

“This pilot has shown that equipment can also be transported efficiently over longer distances when needed,” Furtney said. 

Furtney suspects Perth-Wellington MPP Matthew Rae shared the model with Thompson and her office. 

“We are very grateful to MPP Rae for doing that,” Furtney said.