The Town of Amos, a municipality in the north-west part of Quebec, has to address the continuous rise of its local police budget. Over the past five years, the Amos Police Force budget has increased at an annual rate of 5% (while the budgets of all the other town departments have increased by only 3%), and it currently represents 30% of the town’s annual budget. Regardless of these increases, over the same time interval the actual police expenditures have exceeded the allocated budget by as much as 4%. PROBLEM STATEMENT
Faced with the trend of Amos Police Force’s continuous budget increases and expenditures exceeding allocated funds, the Town Council is considering whether to replace the existing police services with a contract for police coverage from the Canadian Regional Police (CRP). As a result, our consulting team was hired to assess the situation and propose a solution. As requested, this report contains the following: 1) A performance review of the Amos Police Force for 1997 using both financial metrics and non financial indicators 2) A quantitative and qualitative analysis of the CRP proposal 3) An evaluation of the town’s Management Control System 4) Conclusions and recommendations
PERFORMANCE REVIEW OF THE AMOS POLICE FORCE
Actual expenditures were $18,448 more than the budget and $13,948 over budget if we consider overtime. Similarly, the hours spent on this program were 5% above the budget. The two targets for this program were met: 94.1% of traffic offences were solved compared to the 90% target and the response time for traffic accidents was 4 minutes which is below the 5 minute target and much better than 8.5 min for CPMC. As such, the objectives of this program were achieved and Amos’ Police Force seems to be performing much better than both the CRP and CMPC average. It appears that greater importance was placed on this program than was planned. Indeed, 35% of constable time was actually spent on traffic control as compared to an expected 30%. This outcome was likely the main cause of the actual expenditures being over budget. It is unclear whether the goal to minimize traffic offences was met. Overall, Amos Police Force has efficiently achieved its traffic control goals, but at a cost higher than budgeted. Non-traffic control
The variance between the actual and budgeted expenditures for this program was $8,704 over budget and $5,704 above the budget after taking into consideration overtime. Constables spent 42% of their time on this program, translating into a 2% increase above the budget. Nevertheless, the two targets of this program were met: 82% of all criminal and non-criminal offences were solved compared to the 80% target and the response time has been 4.2 min compared to 10.6 min for CPMC and a target time of 5 min. Since more constable time was spent on this program than was planned, the non-traffic control goals were met but at a cost higher than budgeted. Safety and Prevention
Actual expenditures for the safety and prevention program were $8,746 less than the budgeted expenditures. The actual time spent on this program was 3% less than the planned time allocation of 10%. As a result, the performance of the program was directly impacted: 2.2 accident fatalities occurred per 1,000 population covered as opposed to a maximum target of 2, 35.8% of known offenders repeated their offences versus the 30% limit and 71.5% of commercial and public properties have been inspected against the 80% target. In general, while remaining within the budget, the Amos Police Force has not achieved any of its targets within the safety and prevention program and exhibited below average performance in comparison to CMPC. Training and administration
Expenditures for the Training and Administration program were $11,701 less than budget and $13,201 below the budget after taking into account overtime. Officers spent only 16% of their time on this program versus the expected...