Description
Title: Briefing on nonprofit contract performance management audit. [Kathie Harrison, Assistant City Auditor; Henry Katumwa, Supervising Senior Auditor - Austin City Auditor’s Office]
Summary
The City of Austin's audit on nonprofit contract performance management reveals significant shortcomings in how the city oversees contracts for family and social services. The audit found that over 76% of reviewed contracts did not meet one or more performance expectations, with nonprofits often delivering services at levels significantly below agreed standards. The city currently employs a cost-reimbursement model that compensates nonprofits regardless of whether they fulfill performance goals, leading to potential waste of taxpayer funds and unmet needs for vulnerable residents. To address these issues, the audit recommends establishing a lead department to implement a post-contract performance evaluation process and to strengthen the contracting model. This is critical for ensuring accountability and improving service delivery for the community. The findings highlight the need for better oversight to ensure that taxpayer dollars are effectively used