FOR RELEASE:
August 11, 2026
PRESS CONTACT:
Deanna Shoss, Communications
773-478-8417
The City of Chicago Office of Inspector General (OIG) has issued an audit assessing the timeliness of the City’s payments to contracted vendors and evaluating whether the Department of Finance (DOF) has established processes capable of meeting the City’s 30-day payment goal. OIG found that DOF cannot reliably measure payment timeliness due to data inaccuracies, and that DOF has not fully inhabited its role as the City’s central payment authority.
Since 2009, three City-funded disparity studies and a 2021 Prompt Payment Working Group report have identified slow payment timelines as a recurring concern among City contractors. These reviews consistently recommended improvements to City processes, yet the underlying issues have remained largely unresolved across multiple administrations.
“We set out to learn whether the City is meeting its goals for improving the timeliness of payments to vendors but couldn’t answer that question because the City lacks reliable data,” said David Glockner, inspector general for the City of Chicago. “City payment processes vary across multiple departments without effective central management. The Department of Finance tracks turn-around time for its own role in the process but lacks reliable data about what happens in other departments. Better data is essential to ensuring the City’s vendors are paid on time.”
OIG’s audit determined that DOF cannot reliably calculate how long the City takes to pay vendors because the City’s invoice tracking and payment approval system contains incomplete or inaccurate data. Specific issues include blank date fields, dates entered in nonchronological order, and inconsistent completion of required fields by user departments. While DOF asserts that it may be able to measure its portion of the payment process, these data limitations prevent the City from determining whether it meets its 30-day payment goal.
The audit also found that DOF has not fully embraced its responsibility to serve as the central authority for processing City payments. DOF has also not fulfilled all the requirements of Executive Order 2023-14, which directed the department to issue citywide procedures governing all aspects of payment processing. Although the City has undertaken multiple prompt payment initiatives since at least 2005, it lacks consistent approaches to alleviate the issues repeatedly identified in City-funded disparity studies, as well as internal City initiatives and feedback from vendors. These issues include inconsistent practices across departments, burdensome document and signature requirements, lack of training for user departments, lack of monitoring and oversight, and understaffing. Delayed payments on City contracts contribute to a lack of trust in Chicago government, negatively impact contractors, and are a persistent topic of community concern.
OIG recommendations
OIG recommends that DOF:
- Develop and distribute comprehensive, written guidance to standardize completion of Financial Management and Purchasing System (FMPS) fields across City departments.
- Establish policies and procedures for monitoring, analyzing, and correcting payment data.
- Create metrics to evaluate prompt payment programs and adjust program components based on performance.
- Collaborate with user departments to streamline invoice approval processes and reduce unnecessary steps.
Read the Report
Read and download the full report and departmental response, published on August 11, 2026.
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About the Office of Inspector General (OIG)
The mission of the independent and nonpartisan City of Chicago Office of Inspector General is to promote economy, effectiveness, efficiency, and integrity by identifying corruption, waste, and mismanagement in City government. OIG is a watchdog for the taxpayers of the City and has jurisdiction to conduct inquiries into most aspects of City government.
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