February 1999

Larry Stinson

Director, Computing/ Telecommunications

Jerry Shaubel

Gifford Chu

Computing & Telecommunications

Toronto Police Services

In 1991, the Metropolis (Metropolitan Toronto Police Information System) strategy was conceived to develop an integrated computing environment to improve the efficiency, flexibility and effectiveness of the Service's business systems in support of its Beyond 2000 policing strategy. Between 1992 and 1997, the former Metro Council approved capital funding of approximately $60 million with the expectation that the project would deliver a cumulative net benefit in excess of $90 million by the end of the year 2002.

The objective of this review was to determine, to the extent possible, whether the benefits realized from the Metropolis project justified the expenditures incurred. The review included interviews with various staff from Toronto Police Services and an examination of relevant records and documents covering the period 1992 to 1998.

• The audit could not definitively verify whether the benefits realized from the Metropolis project justified the expenditures incurred.
• There is evidence that efficiency savings achieved through the Metropolis initiatives assisted the Police in absorbing reductions in their annual budget of $65 million between 1993 and 1997.
• The benchmarks initially established did not allow for a proper evaluation of the project. Thus there is no conclusive evidence that claimed actual dollar savings were actually achieved and, the stated value of efficiency benefits appear overstated.
• Costs for internal resources were not reflected in the Metropolis cost/benefit analysis.
• The accepted method of presenting efficiency savings in the Capital Budget Submissions may have led Council and the Board members to interpret such savings as opportunities for actual budget reductions.

• Clear parameters be established at the beginning of each project, identifying the benchmarks to be used in evaluating the success of the project.
• Any cost/benefit analysis performed in support of projects include both external as well as internal costs.
• Where projects are approved on the basis of efficiency savings, a plan be established outlining how staff redeployments will be achieved, and a reporting process be developed to identify such redeployments.
• City of Toronto Budget Division clarify to all Departments, Agencies, Boards & Commissions, that the Impact on the Operating Budget section of the capital budget submissions be restricted to actual budget reductions.
• Future submissions to Council and the Board clearly identify the types of benefits to be realized (i.e. actual dollars vs efficiency savings).

• Generally concurs
• Disagrees

Audit Services: November 1999