The City of Toronto has spent millions buying and maintaining light-duty fleet vehicles that are not used enough to justify their cost, according to the Auditor General.
In a report set to be presented to the audit committee, Beverly Romeo-Beehler calls for stronger corporate oversight for the city’s fleet of vans, cars, pickups, and SUVs.
The report says that 230 of those vehicles were driven less than 5,000 kilometers per year. Those vehicles cost the city about $10 million to buy and $314,000 a year to maintain. They also represent nearly a fifth of the city’s 1,900 light-duty fleet.
The Parks, Forestry, and Recreation Division had the highest number of underutilized vehicles, followed by Toronto Water and Transportation Services.
“It is concerning to any public figure, and frankly any citizen, that we're not making the best value out of every tax dollar, and potentially there's a lot of money at stake here,” Audit Chair Stephen Holyday told CTV News Toronto.
The report also found that even though the city had plenty of vehicles sitting around largely unused, the same divisions paid out a substantial amount in mileage to employees who used their personal vehicles.
Six city divisions spent about $1.5 million in mileage reimbursements last year, including to 92 employees who drove more than 5,000 km in their personal cars. Those employees received an average of $3,600 each.
The Auditor’s Office first flagged this issue in 2004 and Fleet Services has since worked to identify underutilized vehicles. But the final decision of how to manage these assets has remained within specific divisions.
The Auditor General is recommending that Toronto strengthen oversight controls to maximize the use of its fleet. Mayor John Tory supports her recommendations, according to a statement from his office.