The City of Toronto could save money by outsourcing some 311 customer service calls, contracting out administrative services and consolidating finance, administrative and accounting services across divisions, according to the latest KPMG report examining Toronto’s core services.

The report, released Tuesday and aimed at plugging a $774-million budget deficit next year, also recommended the city offer online payment options for property taxes and utilities.

KPMG is the consulting firm hired by the city to examine more than 100 city services. This latest report reviewed the programs and services under the government management committee (GMC) and follows audits of public works and infrastructure; economic development; community development and recreation, parks and environment; and licensing and standards.  

GMC is responsible for various city services including the 311 information hotline; court services; policy, planning, finance and administration; social development, finance and administration; and facilities and real estate management.

In the latest report, KPMG said 94 per cent of GMC’s services are considered mandatory or essential with the remainder categorized as traditional or other discretionary, meaning the city is under no legal requirement to provide them.

KPMG said outsourcing some aspects of 311 customer support service, such as web-based services, “may produce savings.”

Furthermore, the 311 Development group could be eliminated once certain services including extending counter services and integrating 211 hotline service about community, health and social programs are completed or abandoned.

The report identified no opportunities in court services. But the city could consider seeking legislative changes to allow higher fees and streamlining of court operations, the report said.

“Current minimal fees do not support recovery of actual costs and new collection methods, sanctions and more effective use of technology are constrained by legislative requirements,” the report said.

KPMG recommended the facilities and real estate sections pool their resources across agencies and divisions (ABCs) into a centralized function.

It also recommended consolidating purchasing across ABCs.

The GMC will meet next Tuesday to discuss the recommendations.

To read the report, click here.