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June 1, 1999

To:Policy and Finance Committee

From:City Clerk, Audit Committee

Subject:External Firms Retained for Insurance Claim Defence

Recommendation:

The Audit Committee recommends that Ernst and Young provide a cost evaluation of the report requested by Councillor Lindsay-Luby to the Policy and Finance Committee.

Background:

The Audit Committee, on May 25, 1999 had before it the communication (February 17, 1999) from the City Clerk, Corporate Services Committee respecting External Firms Retained for Insurance Claim Defence, and referring the following motions to the Audit Committee for report thereon to the Corporate Services Committee:

Moved by Councillor Lindsay-Luby:

(1)That any future reports regarding the outsourcing of legal work, determine the cost effectiveness of work undertaken inside vis-a-vis outside and particularly when specific expertise is needed; and that this cost-benefit analysis be undertaken by the City's External Auditor.

Moved by Councillor Rae:

(2)That the foregoing motion by Councillor Lindsay Luby be referred to the Chief Financial Officer and Treasurer for report thereon to the next meeting of the Corporate Services Committee respecting the cost of the City employing an External Auditor.

The Audit Committee's recommendation is noted above.

City Clerk,

Audit Committee

Frances M. Pritchard 392-7033

990525.15

Attachment

 

   
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