TTC Wastes Money And Time On Capital Projects: Report

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TTC SPENDING COSTS REPORT
There are a number of significant issues around the TTC management of its capital projects, including inefficient use of full-time internal consultants and insufficient oversight, according to an internal report. (CP) | CP


There are a number of significant issues around the TTC management of its capital projects, including inefficient use of full-time internal consultants and insufficient oversight, according to an internal report.

The report scrutinizing the TTC's construction department has found that the "key controls in the project management process are not effective and could contribute to project delays, overruns and inappropriate charges."

The construction department had a staff of 190 managing 135 projects worth $260 million in 2010, the audit said.

The report identifies a number of issues ranging from inadequate record-keeping that leaves managers in the dark about their own projects to "weak" oversight of what staff charge the TTC for their work.

The report points to one example in which 57 different staff and in-house consultants charged for work on one $600,000 project on a Bay subway station entrance.

TTC management has said that staff in that case did not exercise due diligence and are no longer with the department.

The report also finds issues with the TTC's reliance on full-time internal consultants, who were hired after the TTC determined in 2006 that they were needed due to a big jump in capital work over the next five years. The TTC employed 60 in-house consultants who cost the commission $9.4 million in 2009.

There is no annual performance evaluation for the consultants; there is only a less comprehensive "consultant performance review" of consulting partnerships.

TTC management said it agreed that changes need to be made in how it uses its in-house consultants. It will also begin implementing annual performance reviews for the consultants.

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