Item - 2011.AU1.12

The Audit Committee recommends that:

1.         City Council request the Deputy City Manager responsible for Solid Waste Management, in consultation with the Deputy City Manager and Chief Financial Officer, to review the current and ongoing status of the Perpetual Care Reserve Fund with an emphasis on maintaining its long-term viability to fund at least ongoing operating costs.  Any action to increase the level of revenue to the fund be reported to City Council along with details of the unfunded liability.

2.         City Council request the Executive Director of Technical Services Division to ensure that the City receives all the royalty revenues to which it is entitled.  In this context management should:

a.         obtain and retain consistent documentation supporting royalty payments;

b.         document evidence of appropriate verification and review of royalty payments; and

c.         exercise contract right by periodic request of financial statements or conducting audits to verify the accuracy of royalty payments.

3.                  City Council request the Executive Director of  Technical Services Division to formalize procedures to ensure accurate and complete performance and tracking of annual site inspections including sites to be inspected, date completed, actions taken and evidence of supervisory review.

4.                  City Council request the Executive Director Technical Services Division to ensure that documentation is maintained for all recommendations made by external consultants.  Supporting documentation should include action taken on all recommendations.

This report contains four recommendations pertaining to the Auditor General's review of the management and funding for inactive landfill sites.

Implementing the recommendations in this report will improve managements control over inactive landfill sites.