Riverside County Departments of Transportation and Surveyor
P1594-0078, P1594-0079, P1594-0080, P1594-0081, P1594-0082
Indirect Cost Rate Proposal Audit
Date Issued: 7/1/2019
At the request of the Independent Office of Audits and Investigations, the California State Controller's Office (SCO) completed an audit of Riverside County (County) Indirect Cost Rate Proposal (ICRP) for fiscal year (FY) 2015/16 through 2017/18. The purpose of the audit was to determine whether the ICRPs were presented in accordance with Title 2 Code of Federal Regulations Part 200, and the California Department of Transportation's Local Assistance Procedures Manual, Chapter 5. In Addition, the audit was performed to determine whether the County has adequate accounting controls to properly manage federal and state funded projects.
Based on the audit, SCO determined the County included unallowable indirect costs for FY 2015/16 through FY 2017 /18 for the Department of Transportation and Surveyor. The audited rates are as follows:
| Division | FY | Proposed Rate | Audited Rate* | Disposition |
|---|---|---|---|---|
| Transportation | 2015/16 | 102.55% | 120.22% | Immaterial - No action required |
| Transportation | 2016/17 | 154.21% | 157.67% | No action required |
| Transportation | 2017/18 | 150.00% | 141.85% | Reconcile prior billings and reimburse overpayment |
| Surveyor | 2015/16 | 36.17% | 51.16% | No action required |
| Surveyor | 2016/17 | 43.89% | 48.74% | No action required |
| Surveyor | 2017/18 | 84.93% | 90.42% | No action required |
*Base: Total Direct Salaries plus Fringe Benefits
Please provide our office with a corrective action plan, including time lines, by
August 27, 2019.