Municipal governments face constant public scrutiny, making transparency and ethical accountability critical to maintaining public trust. The City of Hamilton has pioneered an innovative approach to addressing potential fraud and waste through the implementation of the IntegrityCounts Fraud Waste Hotline.

Launched in July 2019, this confidential reporting mechanism represents a strategic solution to long-standing challenges in municipal governance. Prior to the hotline, the city had a whistleblower by-law that generated minimal reporting activity, which was concerning given the organization's size and complexity.

Key Features of the Fraud Waste Hotline

• Provides a secure, anonymous reporting channel
• Offers 24/7 coverage for reporting concerns
• Enables confidential communication about potential wrongdoing
• Supports early detection of organizational risks

Remarkable Impact and Results

The hotline's implementation has yielded significant outcomes that demonstrate its effectiveness:

• Over 431 total reports since launch
• 1,150% return on investment within three years
• 100% increase in fraud waste reports in the first year
• $1,287,000 in substantiated losses
• Approximately $35,900 recovered

In the reporting period from July 1, 2022, to June 30, 2023, the hotline received 159 reports, with a 31% substantiation rate and 13 investigations launched. These statistics underscore the critical role such transparent reporting mechanisms play in modern municipal governance.

Broader Implications for Public Sector Accountability

The City of Hamilton's approach serves as a compelling case study for how technology and open communication can transform organizational ethics. By creating a safe, confidential environment for reporting potential issues, municipalities can proactively address misconduct, prevent financial losses, and maintain public confidence.

The hotline not only acts as a deterrent to unethical behavior but also empowers employees and citizens to contribute to the organization's integrity. This model of transparent, accountable governance represents a significant advancement in public sector management.

City of Hamilton (Francais, PDF, 487KB)