Report 2009-118 Recommendation 11 Responses

Report 2009-118: Department of Developmental Services: A More Uniform and Transparent Procurement and Rate-Setting Process Would Improve the Cost-Effectiveness of Regional Centers (Release Date: August 2010)

Recommendation #11 To: Developmental Services, Department of

Developmental Services should review the five instances of noncompliance with the rate freeze that we identified and require corrective action by the respective regional centers. This corrective action should include remedies for future rate payments to these vendors as well as repayment by the regional centers of any state funds awarded in a manner not in compliance with state law.

1-Year Agency Response

Developmental Services completed its reviews of the five instances identified in our audit report and found over $4.1 million in payments that violated rate freeze provisions ($3.2 million at Inland Regional Center; $742,000 at San Andreas Regional Center; $146,000 at Tri-Counties Regional Center) and that must be repaid to the State. (2012-406, p. 105).

California State Auditor's Assessment of 1-Year Status: Fully Implemented

All Recommendations in 2009-118

Agency responses received after June 2013 are posted verbatim.