‘HRM needs to do better job evaluating contract performance’: Auditor general

HALIFAX – In her first report since taking over the role, Halifax’s auditor general released the results of an audit on contract management, and it looks like the city needs step up in certain areas.

The audit evaluated a number of business units to determine whether or not the the municipality effectively manages its contract services.

HRM Auditor General Evangeline Colman-Sadd told the Sheldon Macleod Show the city’s contract monitoring practices were inconsistent, and that policies should be stronger.

“We found contract monitoring throughout contracts and evaluation at the end of contracts really needed some additional work,” she said.

“It’s important to have that ongoing monitoring to try to identify concerns as early as you can and to take action.”

There is some upsides to the report, as it found business units generally complied with policy, HRM made sure work was complete before payments were made, and performance issues were dealt with in a timely fashion.

The audit looked at a four business units including finance, information, communication, and technology; operations support; parks and recreation; and transportation and public works.

The report makes five recommendations such as including penalty payment clause in each contract, and evaluating vendor performances at the end of the contract, among others.

All of the recommendations have been accepted by management and the auditor general’s office will follow up in 12-24 months.

During the 2016-17 fiscal year, HRM spent roughly $128 million on external services.