Nevada County Department of Public Works Engineering Division - Indirect Cost Rate Proposal Audit of Caltrans Contract NO. 77A0044
P1594-0046
Indirect Cost Rate Proposal Audit
Audit Request No. P1594-0046
Date Issued: 2/6/2019
At the request of the Independent Office of Audits and investigations, the State Controller's Office (SCO) performed an audit of the County of Nevada, Department of Public Works, Engineering Division's (County) Indirect Cost Rate Proposal (ICRP) for fiscal year (FY) 2014/15. The purpose of the audit was to determine whether the ICRP was presented in accordance with Title 2 Code of Federal Regulations Part 225 and Caltrans Local Assistance Procedures Manual Chapter 5.
Based on the audit, the SCO determined there were unallowable, under-allocated, and over-allocated indirect costs. The audited rate is as follows:
Applicable To:
Engineering Division
Fiscal Year:
2014/15
Proposed Rate
65.53%
Audited Rate*
64.02%
*Base: Direct Salaries and Wages Plus Fringe Benefits
The County must reconcile their FY 2014/15 billings using the audited rate of 64.02 percent and reimburse Caltrans for any over payments. Please provide our office with a corrective action plan, including time lines, by April 5, 2019.