Auditor General's 2022 Work Plan Update and Request for Administrative Amendment to City Reserve Fund Accounts

To date, the Auditor General has completed ten projects in 2022. There are currently more than seven projects [1] , including recommendation follow-up of certain high priority recommendations and two information technology projects, as well as several investigations underway. The purpose of this report is to: 1. provide an update on the status of the Auditor General's 2022 Work Plan 2. highlight staffing challenges impacting the Work Plan 3. request carryover of operating funding for key audit projects through the creation of a new discretionary reserve fund for the Auditor General's Office. In the first half of 2022, the Auditor General's Office was impacted by unanticipated staff leaves, turnover, and vacancies which has led to staffing and capacity constraints. The lower than expected staff complement is expected to continue through the next several months. Consequently, certain projects in the 2022 Work Plan will likely need to be delayed or deferred.

2. City Council authorize the necessary amendments to Chapter 227, Reserves and Reserve Funds, in accordance with Recommendation 1 and direct the City Solicitor to introduce any necessary bills to give effect to City Council's decision. 3. City Council direct that the newly established Auditor General Reserve Fund be funded from the 2022 operating surplus for professional services and temporary funding of the Auditor General's Office at the end of 2022, having no impact on the 2022 Approved Net Operating Budget of the City.