Fwd: City Audit Committee Meeting Announcement
City of Sacramento, California...at your service
March 2, 2011
City Audit Committee Invites the Public to Join
Discussion on the Utilities Audit
March 8th Meeting to allow public input for the Operational Efficiency and Cost
Savings Audit of the Department of Utilities
The City of Sacramento Audit Committee invites residents and business owners in Sacramento to share their views and opinions of the audit being conducted for the Department of Utilities at its March 8, 2011 meeting. The meeting will be held in the Council Chambers, New City Hall, 915 “I” Street at 12:15 p.m. "Public input is vital to this audit and to helping to rebuild trust in our Utility Department,” said Council Member Steve Cohn, chairman of the City of Sacramento Audit Committee.
On February 22, 2011, the City Council authorized the City Auditor to execute a Professional Services Agreement with Public Financial Management, Inc. (PFM) to conduct an operational efficiency and cost savings audit of the Utilities Department. The review will evaluate whether the department is managing resources in a responsive, economical and efficient manner. To assist the Department, City Manager and Council in planning for the department’s finances, the first phase of the audit will focus on identifying the 3 to 5 best opportunities that may result in immediate cost savings, efficiencies and operational improvement. The audit will also include the following components:
- Identification of “best practices” through the comparison of operations with other similar municipalities.
- Identification of alternative service delivery options.
- Identification and recommendations for operational, statutory or regulatory changes to
improve service and/or reduce costs.
- Identification of budget or cost implications, anticipated timeline to achieve savings, and challenges/issues relating to implementing each significant recommendation or initiative.
Recognizing the importance of continuous improvement, the Department of Utilities is performing the following studies which will inform the Department, City Council and PFM as they move forward:
- Cost of Service (Rate) Study – FCS Group (Ongoing)
- CIP Programming Guide – FCS Group (Ongoing)
- Infrastructure Financing Study– Treasurer’s Office/Banking Community (Ongoing)
The City Council also approved the City Auditor’s 2011-12 Audit Plan which includes an audit of the Department of Utilities’ billing processes. This audit will evaluate the department’s system of internal controls, test the accuracy of its bills, and assess the City’s ability to recover billed amounts.
Comments regarding this item on the Audit Committee’s Agenda can also be made electronically using the eComment feature at
For questions or for more information, contact Jorge Oseguera, City Auditor at 808-7270.
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