TKW Contracting Audit - Final

Performance Audit of PDC Contracting Activities for the Period July 1, 2003 through June 30, 2005 September 2005 4800 SW Macadam, Suite 400 Portland, Oregon 97239-3973 (503) 274-2849 FAX (503) 274-2853 E-Mail: tkw@tkw.com September 2005 Portland Development Commission Board of Commissioners 222 NW Fifth Ave. Portland, OR 97209-3859 We have completed our performance audit of the Portland Development Commission’s contracting activities. This report contains our detailed analysis and conclusions based on our review. We wish to express our appreciation to PDC employees and managers and those persons from other organizations we spoke with, for their cooperation and assistance during this analysis. Talbot, Korvola & Warwick, LLP Table of Contents Page Report Summary i Introduction 1 Audit Purpose and Objectives 1 Project Purpose 1 Objectives 1 Project Approach and Methodology 2 Evaluation Criteria and Standards 2 Public Accountability Criteria 2 Efficiency, Effectiveness, and Economy Criteria 3 Legal Requirements 4 Prior Years’ Performance 4 Performance of Similar Organizations 4 Methodology 4 Audit Team Perspective 5 Scope Limitations 6 Standards 6 Compliance 6 PDC Contracting 8 The Contracting Process 9 Audit Results 12 Contract ...