HomeMy WebLinkAboutMINUTES - 01281997 - SD6 SD 6
To: BOARD OF SUPERVISORS Contra
FROM: SCOTT TANDY, DIRECTOR ! Costa
COMMUNITY SERVICES DEPARTMENT ` CO n
�} u `y
DATE: January 28, 1997 a
SUBJECT:
APPROVE RESPONSE TO THE CALIFORNIA DEPARTMENT OF COMMUNITY
SERVICES AND DEVELOPMENT.
SPECIFIC REOUEST(S)OR RECOMMENDATION(S)&BACKOROUND AND JUSTIFICATION
I. RECOMMENDED ACTION:
APPROVE report from the Community Services Director and Economic Opportunity Council
(EOC) recommending adoption of a plan of action to the California Department of Community
Services and Development's program audit finding report dated October 28, 1996.
II. REASONS FOR RECOMMENDATIONS/BACKGROUND:
On August 28, 1996 through August 30, 1996 the California Department of Community Services
and Development (State) conducted a monitoring visit to review the Department's administrative
and programmatic activities for 1995/96 Low Income Home Energy Assistance (LIHEAP),
Department of Energy (DOE), Community Services Block Grant (CSBG), and Emergency
Homeless Program (EHP) contracts with the State. On October 28, 1996, the State issued to the
County a report noting ten separate findings. In addition, the State sent in on December 2, 1996,
an audit team to review the Department's fiscal documents and records for the period of 1994
through 1996. According to the auditors, their preliminary findings not only support those cited in
the October 28, 1996 monitoring report, but additional findings will be forthcoming.
The Department is expected to respond to the State's desk review report findings by January 30,
1997. On January 23, 1997 the Economic Opportunity Council (EOC) reviewed and approved the
Department's response report.
CONTINUED ON ATTACHMENT: YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIONATURE(S)•
ACTION OF BOARD ON January 28, 1997 APPROVED AS RECOMMENDED X OTHER
VOTE OF SUPERVISORS
I HEREBY CERTIFY THAT THIS JS A TRUE
X UNANIMOUS(ABSENT --------- AND CORRECT COPY OF AN ACTION TAKEN
AYES: NOES: AND ENTERED ON THE MINUTES OF THE BAARD
ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN.
WACT: Scott Tandy 313-7369
January 28, 1997
CC. CAO ATTESTED -- -
CSD PHIL BAT ELOR,CLERK OF THE BOARD OF
S RV AND COUNTY ADM INIS ATO
M382 (10/88)
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Proposed County Response and Plarr o.......................
f A....
ct*ora to Dep.. artment of
Community Services and Development Monitoring Letter of
October : 1!996
Finding 1 :
"it is not clear to the State if the EOC (Economic Opportunity Council)
was involved in the selection process and/or decision making to appoint
a new Executive Director at CCCSD (Contra Costa County Community
Services Department)."
Recommendation:
"The State recommends that the current By-Laws be reviewed by the
EOC Board and the County Board of Supervisors to determine if the
current articles are applicable, and if so, provide the State with a written
plan describing the action taken to correct this deficiency."
County Res onset
The Economic Opportunity Council and County staff reviewed this
matter at the EOC meeting held in December, and agreed that no breach
of the current By-Laws occurred. Since the EOC By-Laws require that
the EOC participate and advise the Board of Supervisors regarding the
selection of an Executive Director, and the current Executive Director of
the Community Services Department, while on administrative leave,
remains an employee of the County, EOC By-Laws were not ignored.
The EOC realizes that Scott Tandy, Chief Assistant County
Administrator, while on assignment is only functioning in an interim
capacity.
Finding 2:
"A review of the latest EOC Board Roster on file with the State shows
the following vacancies:
• Four of the five Low-Income seats are vacant and have been vacant
since 1995.
• Three of the five Private Sector seats are vacant and have been
vacant since January of 1996.
• One of five Public Sector seats is vacant due to health problems."
Recommendation:
"The State recommends that extensive recruitment be done by the
current members with the assistance of County staff and the Governing
Board. Please submit to the State a written plan of action describing the
action taken by the County to comply with this requirement."
County Response:
The Economic Opportunity Council, at its December meeting, agreed
that in conjunction with the County Board of Supervisors and staff from
the Community Services Department, a comprehensive EOC outreach
and recruitment process shall be initiated during the month of February
to fill vacancies in both the Public and Private Sectors. The process is
expected to work as follows:
• Beginning February 3, 1997, a letter will be sent to all community
based organizations in Contra Costa County notifying them of any
outstanding vacancies on the EOC. It will ask them to submit
applications of potential candidates to the attention of the Chair of
the EOC by February 21 , 1997.
• A Selection Committee, chaired by the Chairman of the EOC, will
begin to review applications beginning March 3, 1997 and will
schedule interviews thereafter.
• After interviews have been completed, the Selection Committee will
prepare and forward to the full EOC a list of recommended candidates
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for consideration at its scheduled meeting on Thursday, March 13,
1997, at 6:00 p.m.
Finding 3:
"The State was unable to verify that the EOC has been reviewing and
evaluating the CSBG fiscal and program performance/activities
conducted by the County and its Delegate Agencies."
Recommendation:
"The State recommends that the EOC Board Members comply with this
requirement and become more involved in the evaluation/approval
process of the CSBG program and fiscal activities at the County. In
addition, the EOC Board should provide ongoing information to the
Board of Supervisors regarding the status of programs and fiscal
operations at the County."
County Response:
Both the EOC and County are in agreement with this recommendation.
The Department has been scheduling monthly EOC meetings since June
of 1996 which were not being held on a periodic basis prior to that
month. With quorums not present, the EOC has functioned as an
Executive Committee. Both executive and fiscal reports on EOC related
contract activities are being provided to the EOC on a monthly basis.
Several of the current CSBG Delegate Agencies have made program
presentations to the EOC on contract related issues during the past six
months, and additional presentations are being considered for future
meetings. Both the EOC and County staff continue to work in a
collaborative effort to improve communication and reporting functions as
well as work on scheduling a possible joint meeting between the EOC
and the County Board of Supervisors.
Finding 4:
"The State was unable to obtain information regarding the EOC Board
Standing Committees as required in Section VI., E, F and G of the EOC
By-Laws."
Recommendation:
"The State recommends that the County prepare a written plan of action
to work more closely with the EOC to ensure that the following
Standing Committees are established as required in Section VI, of the
EOC By-Laws:
E. Selection of Officers and Executive Committee.
F. Make Recommendations to the Board of Supervisors on all
programs. proposals and budgets related to CSBG.
G. To maintain, through the Executive Director, proper records
of all business transactions."
County Response.-
The County is in agreement with the State's recommendation.
The Department, working with the EOC, will first concentrate on the
applicability of the current EOC By-Laws with respect to the direction
and focus of the current EOC, and both update and amend the By-Laws
where the EOC deems it necessary. For example, Article IV. B. of the
current By-Laws with respect to recruitment of Low-Income members is
out of date with the current structure of the County's Head Start
program, and cannot be followed as stated. This factor, combined with
low EOC membership (eight of 15 positions are currently filled), and,
until June, 1996, a sporadic meeting schedule has made it extremely
difficult for the EOC to conduct business in accordance with its
established By-Laws.
Once the EOC membership is at or near the required level of 15
individuals, and once the By-Laws have been updated and amended,
the Department can proceed with the successful resolution of Section E
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(Selection of Officers and Executive Committee) and Section F (Make
Recommendations to the Board of Supervisors on all programs,
proposals .and budgets related to CSBG). Section G (Maintain, through
the Executive Director, proper records of all business transactions) has
been in compliance since mid-April of 1996.
Finding 5:
"1995 CSBG contracts with its Delegate Agents that were supposed to
begin on January 1 , 1995, were not started by the Department until
November 1 , 1995. The late start-up of the program resulted in
unexpended 1995 CSBG funds of approximately $57,908 that will have
to be returned to the State."
Recommendation:
"The State requests that 1995 CSBG funds in the amount of $57,908
J be returned to the State no later than January 30, 1997."
County Response:
The County is in agreement with the State's recommendation, and will
instruct the Auditor-Controller's Office to issue a warrant in the amount
of $57,908 to the State.
Finding 6:
"The State was unable to verify expenditures reported to the State of
approximately $24,598. This amount was again reported in the 1994
EHP close-out report submitted to the State."
Recommendation:
"The State recommends that the full amount of $24,598 EHP funds be
returned to the State by January 30, 1997."
County Response:
The County is in agreement with the State's recommendation, and will
ask the Auditor-Controller's Office to issue a warrant in the amount of
$24,598 to the State.
Finding 7:
"A review of 1995 EHP activities indicates that 48% of program
activities have been accomplished with $11 ,748.92 (48%) of funds.
The State was unable to confirm direct program services during the
monitoring visit. Therefore, funds claimed against the 1995/1996
contract ($11 ,748.92) are being questioned at this time and may be
allowed by State Auditors."
Recommendation:
"The State recommends that the balance of unexpended EHP funds be
returned to the State by January 30, 1997."
County Response:
The County is in agreement with the State's recommendation, and will
instruct the Auditor-Controller's Office to issue a warrant for the
unexpended EHP funds to the State.
Finding 8:
"State records indicate that the County has been late in submitting the
required EHP, CSBG, DOE, and LIHEAP contracts. Due to these
deficiencies, the State has temporarily suspended CSBG, DOE and
LIHEAP payments pending corrected reports and documents."
Recommendation:
"Provide the State with a written corrective action plan that contains the
following elements:
1 . The County review and improve current procedures for preparing
and submitting required reports to the State.
2. County staff coordinate the information needed to complete
reports.
3. County staff assigned to prepare and submit reports to the State
be trained on the State's contract reporting requirements.
4. Data contained in the reports be verified by the appropriate
Supervisor/Manager prior to submitting the reports to the State."
County Response:
The County is in agreement with the State's recommendation. While
significant process has been made by the Department regarding this
matter, which has resulted in the State lifting the suspension of CSBG,
DOE and LIHEAP payments to the County, the Department has yet to
completely resolve this issue to the satisfaction of both the EOC and
management. To resolve this matter, the following additional steps are
being implemented to ensure full contract compliance:
• The Interim Director has discussed with both program and fiscal
staff the necessity of accurate and timely reports to be prepared
completed and filed with the State in accordance with contracts
and established a written schedule of due dates and types of
reports needed.
• Effective January 24, 1997, the Interim Director has assigned the
Administrative Services Officer to coordinate fiscal and
programmatic component reports with program and fiscal staff.
• All reports are initialed by program and fiscal staff and are signed
by either the Executive Director or Administrative Services Officer
to ensure accuracy and completeness.
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Finding 9:
"The County entered into a sole source contract with Paradigm
Innovations Inc. that was not submitted by the County as required for
either the 1995 or 1996 Community Action Plan (CAP) as required by
the State."
Recommendation:
"All payments billed to the State for services rendered by Paradigm
Innovations be disallowed and returned to the State. Further, the
County will prepare a written report describing the action taken by the
County with respect to this matter."
County Response:
The County is in agreement with the State's recommendation. All
claims charged to both the 1995 and 1996 CSBG contracts for
Paradigm Innovations have either been reversed or are in the process of
being corrected. The County's General Fund will cover the full cost of
this unallowable expense.
Finding 10:
"The County does not have a policy/procedure to assist its own
employees and the officers of the EOC and Board of Supervisors with
program services in accordance with State contract requirements."
Recommendation:
"The County shall develop a draft written policy and procedure for
assisting its own employees and the officers of the EOC and Board of
Supervisors with program services in accordance with State contract
requirements. This document should be submitted to the EOC, Board of
Supervisors and the State for review, comments and approval."
County Response:
The County is in agreement with the State's recommendation and shall
develop written policies and procedures for assisting County employees
and officers of the EOC and Board of Supervisors in providing program
services in accordance with State contract requirements. This
document shall be submitted to the EOC, Board of Supervisors and the
State for review, comments and approval, and, upon completion, will
become part of the County Administrative Bulletins.
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