Description
Title: Briefing on consultant spending audit. [Keith Salas, Assistant City Auditor - Austin City Auditors Office; Kendall Byers, Senior Auditor - Austin City Auditors Office].
Summary
The City of Austin's audit on consultant contract management reveals significant shortcomings in how consultant services are procured and evaluated. Between fiscal years 2023 and 2025, the City spent over $279 million on consulting services, primarily in general consulting. The audit found that nearly 40% of the contracts lacked documented needs assessments, and 82% did not assess if in-house staff could perform the tasks, raising concerns about the justification for hiring outside consultants. Additionally, 71% of contracts were closed without formal performance evaluations, potentially leading to the rehire of underperforming consultants. The report emphasizes the need for improved guidance on needs assessments, documentation, and contractor evaluations to enhance transparency and ensure taxpayer funds are utilized effectively. Recommendations include mandatory performance