New York City Department of Sanitation
Waste Disposal Contracts (Follow-Up Report) The New York City Department of Sanitation collects refuse from residences and institutions such as schools and municipal facilities. The waste is then delivered to various contractors for disposal at sites outside New York City. In audit 2003-N-9, we examined the Departmentís controls over the contract award and payment processes. We found that the controls provided adequate assurance contract billings were valid and accurate. However, we could not determine whether the contracts were awarded in a manner that resulted in waste disposal services being provided at the lowest possible cost, because the reasons for many of the decisions made in the contract award process were not adequately documented. We also examined the Departmentís use of waste transfer facilities and found that, in many instances, the Department did not use the transfer facilities shown by its estimates to result in the lowest total cost to New York City, and as a result, additional waste disposal costs may have been incurred. When we followed up on these matters with Department officials, we found that they had made some progress in implementing our audit recommendations, but additional progress was needed.
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