HomeMy WebLinkAboutCS 32-04PICKERING
REPORT TO
AUDIT COMMITTEE
Report Number: CS 32-04
Date: November 29, 2004
037
Fro m:
Gillis A. Paterson
Director, Corporate Services & Treasurer
Subject: Process Reviews & Best Practices - Outside Agency Services
Recommendation:
1. That Report CS 32-04 of the Director, Corporate Services be received for
information and that:
the Audit Committee recommend to Council that the engagement of service
providers, as provided for in the Council Compensation and in the Communications
Policies, by Councillors follow the Council approved Purchasing By-law, Policy and
Procedures as detailed in this report; and,
3. the appropriate staff of the City of Pickering be given authority to give effect thereto.
Executive Summary: There are presently two processes in place in regards to the
payment for outside secretarial services, however, in the interest of consistency of
treatment, transparency in all aspects of City business and to more closely align this
process to that approved by Council for City business in its Purchasing By-law and
Policy in regards to the engagement of other services providers, Council should adopt
the Recommendations.
Financial Implications: Not applicable
Background: "Outside Agency Services" are addressed in two Council approved
policies specifically, paragraph 4 of the section called "Allowances" and paragraph 8(d)
of the section called "Communications Media".
Paragraph 4 states:
"An allocation of $4,800 per annum is provided to each Councillor to provide
secretarial and typing services beyond those sources provided by the staff of
the Civic Complex. (Resolution 71/01)".
038
Report CS 32-04
Subject: Outside Agency Services
Date:
November 29, 2004
Page 2
Paragraph 8(d) states:
"The support staff assigned to the Councillors Office are available to assist a
Member of Council with a preparation of their newsletter, neighbourhood letter,
corporate letter, website or other form of communication, however, no other City
staff will be involved in such preparation and any specialty work that is required
will be charged to the budget described for communication media or the
Allowance for Outside Secretarial Services".
Current Situation
From discussions with the former Auditor and the Audit Committee, two processes were
accepted for payment for outside secretarial services. One was to pay the service
provider directly and the other was to reimburse the Councillor for payment of the
service provider. The latter course reflected the relationship of providing the service to
the Councillor and not the corporation. These options were to accommodate the
methods that were being used by the Councillors at that time.
It is now felt that there should be one standard process put in place and this is
discussed below.
Suggested Revision
It is felt the application of a uniform, consistent and transparent approach to the
engagement of service providers in this area would benefit all parties. Under
Paragraph 4 Councillors may hire external services as needed over and above what is
currently provided in accordance with the City's policies and practices. Council should
adopt Recommendation 2 as their preferred method of operation in this regard.
Under the Purchasing Policy Section 04.02, Authorities and Dollar Limits, such services
up to a value of $540 (2004) may be purchased without a Purchase Order. However,
the Invoice, duly authorized and approved by the Councillor, detailing the work
undertaken, the timeframe and costs is to be forwarded to Accounts Payable upon
completion of the undertaking. This indicates the contracting Councillor is satisfied as
to all terms and conditions including the finished product and cost and authorizes the
payment of the invoice.
Where the purchase value is over $540 plus taxes, the Councillor is to send to the
Supply & Services Section an on-line Purchase Requisition stating the appropriate
details including a brief description of the work and the cost. Staff of the Supply &
Services Section will then issue a Purchase Order to the identified service provider.
The service provider, upon receipt of the Purchase Order, is authorized to undertake
the work described and to invoice the City.
Report CS 32-04
Subject: Outside Agency Services
Date:
November 29, 2004
Page 3
Payment will be made directly by the City to the service provider (individual or
company) upon submission of an original invoice. An invoice for external services
would contain, in addition to the name and address, additional details of services
provided such as itemizing hours by day and description of work provided. All invoices
would require sign off by the Councillor to indicate the services were received and that
payment can be processed. The cheque will then be issued.
Attachments:
Not applicable
Prepared / Approved / Endorsed By:
Director, Corporate Services & Treasurer
GAP:vw
Copy: (Acting) Chief Admi~strative Officer
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Recommen~~h ~onsideration of
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homas J. O~i ~dministrative Officer