Item - 2026.AU11.1

The Audit Committee recommends that:  

1. City Council receive the report (January 29, 2026) from the Auditor General for information.

The Auditor General gave a presentation on the Auditor General's 2025 Annual Report - Demonstrating the Value of the Auditor General's Office.

This report provides information about the Auditor General's Office 2025 activities and the financial and non-financial benefits achieved by the City through its implementation of Auditor General report recommendations.

In 2025, the Auditor General's Office completed 12 impactful audit, investigation, and other subject matter reports, containing 81 recommendations, as well as our 2025 follow-up reports.

Every year we share the measurable financial impact of our work through a quantified return on investment. The City has achieved cumulative one-time and annually recurring savings projected over a five-year period totaling over $342 million (as reported in our 2021 to 2025 Annual Reports) by implementing our recommendations. The cumulative cost of operating the Auditor General's Office from 2021 to 2025 was approximately $35.2 million. Based on these numbers, for every dollar invested in the Auditor General's Office there was a return of $9.74.

Equally important are the non-financial benefits that arise from our work. These include improvements to the effectiveness of City programs, systems, processes, and controls. Our recommendations also help to ensure City resources are used efficiently to deliver services and programs that improve life for Torontonians.