Report to: General Committee Date
Report Authored:
SUBJECT: Audit Report – Procurement Audit Follow Up
PREPARED BY: Ingrid Kutter x4858
RECOMMENDATION:
1)
That the Auditor General report
titled “Procurement Audit Follow-up, dated
2) And that Town staff continue to implement the remaining 4 action plans, developed in response to the Auditor General recommendations
3) And that the Auditor General report back to General Committee on the status of the remaining action plans
And that Staff be authorized and directed to do all things necessary to give effect to this resolution.
PURPOSE:
Inform General Committee on the implementation status of the action plans arising from the Procurement Audit Report recommendations.
BACKGROUND:
In accordance with the Auditor General Mandate and Work Plan, the Auditor General conducts an annual follow-up process to ensure management has taken appropriate action to implement recommendations contained in Audit Reports.
This Report presents the results of the follow-up of audit recommendations and agreed actions for the Procurement Audit completed January 2009 and presented to Council through General Committee in April 2009. Follow-up of other Audits completed since January 2009 is planned for the end of 2010.
The audit resulted in twenty (20) recommendations intended to improve the operation of the procurement program. The Procurement audit found that overall, compliance with Town By-laws and policies for processes relating to large value procurement actions was satisfactory, with some process improvements recommended, specifically in planning, spend analysis, data management and bid submission response rates. Departmental purchases needed some attention to strengthen compliance with policies and ensure transparency for potential conflict of interest situations.
DISCUSSION:
Town staff has implemented
most of the agreed actions to address the audit recommendations arising from
the Procurement audit, ensuring improvements in
town wide procurement processes support achievement of value for money in procurement actions.
Of the 20 audit recommendations, only 4 are not fully implemented, and of
those, 3 continue to make progress towards revised target completion dates
within the next few months, with 1 that will take longer than anticipated based
on the work effort and town wide scope (document management).
The risk of not completing the 4 actions is mitigated through other
completed actions, although efficiency gains through document management and
streamlined data collection are not yet realized. Staff had identified opportunities for
document management system as part of their information management study in
2008.
FINANCIAL CONSIDERATIONS AND TEMPLATE: (external link)
Not applicable
HUMAN RESOURCES CONSIDERATIONS
Not applicable
ALIGNMENT WITH STRATEGIC PRIORITIES:
Not applicable
BUSINESS UNITS CONSULTED AND AFFECTED:
Corporate Services Commission
Development Services Commission
Community and Fire Services Commission
Purchasing Department
RECOMMENDED BY: ________________________
Ingrid Kutter
ATTACHMENTS:
Town of