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HomeMy WebLinkAboutAudit 2017-09-25 AUDIT COMMITTEE MINUTES SEPTEMBER 25, 2017 CITY OF KITCHENER The Audit Committee met this date commencing at 3:32 p.m. Present: Mayor B. Vrbanovic - Chair Councillors S. Davey, F. Etherington, Y. Fernandes, B. Ioannidis, Z. Janecki, S. Marsh, P. Singh and D. Schnider. Staff: D. Chapman, Chief Administrative Officer M. May, Deputy CAO, Community Services M. Goldrup, Interim, Deputy CAO, Finance & Corporate Services J. Readman, Interim Executive Director, Infrastructure Services C. Fletcher, Interim Executive Director, Infrastructure Services C. Tasker, Internal Auditor D. Saunderson, Committee Administrator 1.FCS-17-010 - THIRD QUARTER AUDIT STATUS REPORT The Committee considered Finance and Corporate Services Department report FCS-17-010, dated September 18, 2017 regarding the Third Quarter Audit Status Report. Ms. C. Tasker presented the Report, which included a comprehensive review of the Revenue Division. She advised the following items are currently going through a review process, including: By-law Enforcement – Property Standards, process / capacity review; Fire Administration, process / capacity review; and, Winter Maintenance, comprehensive audits, which will be brought forward at a future Audit Committee meeting. Ms. Tasker provided an overview of the Audit including the methodologies and various phases undertaken in the review process, including: literature review of relevant internal and external documents; consultations with staff and internal stakeholders; risk assessment; benchmarking; organizational structure review; workload / capacity assessment; Consultant-led Lean review; and Assessment of alignment with FCS Service Strategy. Councillor S. Marsh entered the meeting at this time. Ms. Tasker advised a total of 13 recommendations were developed in this review, which included a Lean Action Plan and an additional 23 activities related to process improvements, including the understanding and documenting processes to ensure efficiency. She indicated the review critically looked at a variety of Revenue processes, resulting in recommendations that focused on enhancing effectiveness and efficiency, reducing waste and increasing capacity. She stated the Lean Action Plan strives to add more value from the customer’s perspective while eliminating non-value added tasks. She further advised the organizational structure changes will better align roles and responsibilities, and allow for more effective coverage of absences, noting the overall changes will position the division to meet future challenges such as population growth and new service trends such as e-services. In response to questions, Ms. Tasker agreed to follow-up with staff on the possibility of creating a partnership between Revenue and the Community Centres as a means of increasing awareness on e-billing services. It was suggested as a possible way to address the longer wait times for Customer Service representatives, consideration be given to adding some additional features, such as a call back feature, or a que position indicator. 2.FCS-17-012 - SERVICE REVIEW PRIORITIES The Committee considered Finance and Corporate Services Department report FCS-17-012, dated September 11, 2017 regarding the Service Review Prioritization 2018 Internal Audit Work Plan. Ms. C. Tasker presented the Report noting the requests made this date will be considered for inclusion in the 2018 Service Priority review. Questions were raised regarding the Appendix; Ms. Tasker advised Appendix A is a complete list of all the services provided by the City. She indicated the list that was generated in 2016 of the service reviews are in priority order. She noted the grey highlighted items were recently completed and would not likely benefit from further review at this time. She stated the items at AUDIT COMMITTEE MINUTES SEPTEMBER 25, 2017 - 5 - CITY OF KITCHENER 2.FCS-17-012 - SERVICE REVIEW PRIORITIES (CONT’D) the top of the list are likely the next candidates for service reviews in 2018, subject to input from staff and Council. In response to questions, Ms. Tasker endeavoured to provide further qualifying information on whether risks were associated with any specific function from an auditing perspective. Members offered the following suggestions for the 2018 Internal Audit Work Plan: Completing an audit on Special Events, on the understanding that the Division’s work involves a significant amount of coordination, and events within the City continue to grow; Item 12 - INS - Facility Planning, Project & Energy Management, Building Maintenance & Repair, completing this review in 2018 could assist with informing the Business Plan for the 2018-2022 Council Term; Item 31 - Economic Development, noting with the current growth projections for the City, it may be beneficial to review the work processes, etc. related to the Division; Item 36 - INS - Administration, due to the significant changes that have occurred in the department recently; and, Item 10 - Parking Enterprise, review processes to ensure the City is maximizing the revenue opportunities. 3.ADJOURNMENT This meeting adjourned at 4:19 p.m. D. Saunderson Committee Administrator