Item - 2012.GM10.17

The Government Management Committee:

1.         Requested the General Manager, Transportation Services, to conduct an Organizational Change Approval Authority and Process, in 2012,  to create one analyst position in each of the four districts to be offset by vacancies for the dedicated purpose of managing the claims report request process with no financial impact.

2.         Recommended to the Budget Committee that the City Clerk's Office 2012 Operating Budget be adjusted to reflect the transfer of two staff and associated budgets from other divisions in order to set up an integrated claims registry and report request unit in 2012 to receive all insurance claims to the City and direct report requests to Parks, Forestry and Recreation, Toronto Water and Transportation Services at the same time as the claim is forwarded to the City's insurance adjuster, with no net financial impact on the City's 2012 Operating Budget.

City Council on October 24 and 25, 2011 adopted, as amended, Item CC13.5, the Ombudsman's Investigation Report, headed "Potholes, Floods and Broken Branches: How the City Handles your Claims" - An Investigation into the Processing of Third Party Liability Claims under $10,000". City Council has endorsed the Ombudsman's findings.

In response to the Ombudsman's Report, the City Manager submitted a letter (October 25, 2011) to City Council, which outlines a work plan to address the Ombudsman's recommendations. 

City Council referred the City Manager's letter, together with motions by Councillor Fletcher, to the Government Management Committee for consideration.

This report is to accompany City Council's referral to Government Management Committee of the letter (October 25, 2011) from the City Manager together with Council's requests in response to the (October 17, 2011) Ombudsman Report on an investigation into the processing of third party liability claims under $10,000.

Included in this report is a progress report on implementing the work plan for addressing the Ombudsman's recommendations as outlined in the City Manager's letter.  Also addressed are two motions referred to Government Management Committee regarding establishing one window for Councillor enquiries regarding constituents concerned over insurance claims and the adjuster's fee for desktop claims.

There are five main claim process improvements being implemented as noted in Attachment 1 of the report (January 11, 2012) from the City Manager and the Deputy City Manager and Chief Financial Officer :  (i) adjuster service standards, (ii) clear language explanations, (iii) claim report management, (iv) claims involving contractors and (v) adjusting services RFP.