Report 2019-121 Recommendation 4 Responses

Report 2019-121: California Department of Food and Agriculture: Poor Management Threatens the Success of the Pet Lover's Specialized License Plate Program (Release Date: March 2020)

Recommendation #4 To: Food and Agriculture, Department of

To correct its error in making grants to ineligible entities, by June 2020 Food and Agriculture should complete efforts to either cancel those contracts and recoup unspent funds from the two ineligible organizations or work with those organizations to ensure that they meet eligibility requirements.

Annual Follow-Up Agency Response From October 2022

In the six-month, one-year, and 2021 annual agency responses submitted to the California State Auditor, CDFA indicated that this recommendation had been fully implemented. CDFA has provided a copy of accounting payment logs for each agreement that demonstrates the amount of funding awarded and the amount spent, via email to the California State Auditor.

California State Auditor's Assessment of Annual Follow-Up Status: Fully Implemented

Food and Agriculture provided evidence that it recouped unspent funds from the two ineligible organizations.

Annual Follow-Up Agency Response From October 2021

In the six-month and one-year agency responses submitted to the California State Auditor, CDFA indicated that this recommendation had been fully implemented. CDFA recovered $5,690 in unspent funds from those organizations and the recovered funds will be reallocated to the program in future years. As with Recommendations 1 through 3, it appears that the California State Auditor has not assessed CDFA's six-month response nor published and assessed the one-year agency response. We look forward to timely acceptance of this response or any feedback from the California State Auditor so that we may formally resolve this recommendation.

California State Auditor's Assessment of Annual Follow-Up Status: Pending

Food and Agriculture did not provide evidence that it recovered $5,690 in unspent funds from the two ineligible organizations and that the recovered funds were reallocated to the program.

1-Year Agency Response

Resolved in six-month report. CDFA recovered $5,690 in unspent funds from those organizations and the recovered funds will be reallocated to the program in future years.

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

Food and Agriculture did not provide evidence that it recovered $5,690 in unspent funds from the two ineligible organizations and that the recovered funds were reallocated to the program.

6-Month Agency Response

CDFA acknowledges that two organizations were awarded Pet Lover's grants in error. CDFA recovered $5,690 in unspent funds from those organizations and the recovered funds will be reallocated to the program in future years. CDFA also notes that all funds expended by those organizations supported allowable spay/neuter activities. Additionally, those spay/neuter activities were provided by contractors that did meet the eligibility requirements for the Pet Lover's program.

California State Auditor's Assessment of 6-Month Status: Pending

First, Food and Agriculture only addressed one part of the recommendation in the narrative of their response. Second, Food and Agriculture did not provide support for its assertion that it recouped the unspent funds. I have requested it and will let you know once I receive it.

This response does not state that they canceled the contract. However, I suppose we can overlook that if they actually provide evidence demonstrating that they canceled those contracts.

60-Day Agency Response

The department indicated it will respond at the six month mark.

California State Auditor's Assessment of 60-Day Status: Pending

All Recommendations in 2019-121

Agency responses received are posted verbatim.