About Municipal Government Efficiency Services Grant Program

Application | Application Resources

The deadline for applications for the next round of funding is Friday, December 9, 2011.

The Municipal Government Efficiency Services Grant is a grant program awarding funds to two or more Allegheny County municipalities to cover the costs associated with shared services programs.  The ultimate objective of this program is to encourage financial savings and management improvements through intergovernmental cooperation.  Up to $25,000 is available for capital projects and $5,000 for professional services.

Intergovernmental cooperative arrangements involve the sharing of services between two or more municipalities. Local governments benefit from using a single entity to provide a service to multiple agencies and municipalities, rather than requiring each municipality to provide the service on its own.  Some advantages/benefits of sharing services are:

For Municipal Officials:

  • Maintenance of existing services that would otherwise be eliminated due to rising costs
  • Resource pooling to provide higher levels of service to a greater number of residents
  • Increased ability to negotiate with vendors from a larger base, thus reducing overall costs (procuring equipment, vehicles and consulting services)
  • Ability to collectively address state and federal government mandates (e.g. stormwater management)
  • Increase chance of receiving funding for projects
  • Improved likelihood of collaboration on future projects

For Residents:

  • Establishment consistency among neighboring municipalities (e.g. sidewalk and road maintenance)
  • Greater sense of interconnectivity with neighbors (e.g. joint recreational facilities and events)

ELIGIBILITY

Applicants

Any group of two or more municipalities within Allegheny County is eligible to apply for funds.  Projects which include municipalities outside of Allegheny County will not be funded. Applicants must demonstrate a material intention to share services.  When projects are evaluated for funding, the following priorities are taken into account:

  • Projected cost-savings
  • Expansion of resident services
  • State mandated programs
  • Financial status of the municipalities
  • Number of municipalities

Projects

Projects undertaking new shared services are eligible to receive funding.  Expenses for existing projects or programs are not eligible for funding.

Capital Projects: Capital projects include construction of a building or purchase of a building with the resulting asset having a life of longer than a year and entail a major expenditure; the expenditure of more than $100,000 to modify the structure, design, equipment, or operation of the facility in the nature of an alteration, addition, or deletion, which is not considered an emergency; and the purchase of vehicles and other equipment.

Professional Services: Professional services are limited to legal, accounting, actuarial matters, and coordination of computer technology and records management.

Project Examples: Typical projects for which funds may be awarded may include:

  • Water/Sewer consolidation
  • Regional consolidation of police services
  • Shared technology initiatives
  • Shared public works operations
  • Shared motorized equipment purchase and maintenance
  • Consolidation of volunteer fire companies (start-up costs). A municipality must serve as the applicant, acting on behalf of the merged/consolidated volunteer fire companies
  • Start-up costs for the creation of a new entity formed by multiple municipalities

APPLICATION PROCESS

One municipality should be designated as the responsible party for submitting all application materials, including:

  • Project work plan
  • Intergovernmental agreement
  • Applicable resolutions or ordinances
  • Applicable documentation of fiscally distressed communities

Additional documents, such as maps and feasibility studies, may be submitted as supplemental information and must be properly referenced.  The completed application must be signed by an authorized official from each of the participating municipalities.  Unsigned or incomplete applications will not be reviewed.  They will be returned to the lead applicant and may be resubmitted for review.

BACKGROUND

As the responsibilities of governing become increasingly complex and demanding, municipalities are exploring cooperation agreements as options to reduce or avoid costs, improve service delivery, and maintain current services.  To address these challenges, the Municipal Government Efficiency Services grant program was established in 2010 by the Authorities for Improvements in Municipalities (AIM).  Its mission is to foster long-lasting intergovernmental cooperation among municipal governments within Allegheny County.

Allegheny County has 130 municipalities, 37% with fewer than 3,000 residents, and 55% that cover areas of less than two square miles.  Less than 25% take part in multi-municipal comprehensive planning and even fewer in service sharing programs.

Service sharing aims to improve technical efficiencies, reduce fragmented governance, improve regional fiscal and social balance, and enhance economic development.  Decisions to share services are often driven by a declining tax base, others by a desire to maintain or expand municipal programs.

With the creation of the Municipal Government Efficiency Services program, Allegheny County is committed to working with local municipalities to control costs while maintaining quality service delivery to residents.