Report 2010-108 Recommendation 7 Responses

Report 2010-108: Department of Public Health: It Reported Inaccurate Financial Information and Can Likely Increase Revenues for the State and Federal Health Facilities Citation Penalties Accounts (Release Date: June 2010)

Recommendation #7 To: Public Health, Department of

To increase revenue for the penalty accounts, Public Health should seek legislation specifying a time frame within which facilities with nonappealed citations that do not qualify for a 35 percent reduction must pay their monetary penalties and allowing Public Health to collect interest on late payments of monetary penalties.

Annual Follow-Up Agency Response From May 2017

California Department of Public Health (CDPH) will not pursue legislation specifying a timeframe within which non-appealed citations must be paid. As stated in our initial response, CDPH does not agree with the recommendation to collect interest on citations that are not appealed and will not seek legislation to do so. CDPH's most recent data indicates that there are approximately 409 citations open and/or under appeal. The value of these citations is approximately $2,714,500. As of March 31, 2017, the Surplus Money Investment Fund (SMIF) interest rate is 0.77%. At this rate, CDPH would only generate approximately $20,900 for those citations under appeal. The salary and benefits for an associate governmental program analyst to oversee this interest bearing account is approximately $113,457 annually, which far exceeds the amount that would be collected under this recommendation.

California State Auditor's Assessment of Annual Follow-Up Status: Will Not Implement


Annual Follow-Up Agency Response From June 2016

California Department of Public Health (CDPH) will not pursue legislation specifying a timeframe within which non-appealed citations must be paid. As stated in our initial response, CDPH does not agree with the recommendation to collect interest on citations that are not appealed and will not seek legislation to do so. CDPH's most recent data (see Attachment B) indicates that there are only 263 citations open and under appeal. The value of these citations is approximately $3,066,000. As of March 31, 2016, the Surplus Money Investment Fund (SMIF) interest rate is 0.46%. At this rate, CDPH would only generate approximately $14,000 for those citations under appeal. The salary and benefits for an associate governmental program analyst to oversee this interest bearing account is approximately $113,457 annually, which far exceeds the amount that would be collected under this recommendation.

California State Auditor's Assessment of Annual Follow-Up Status: Will Not Implement


Annual Follow-Up Agency Response From November 2015

CDPH will no longer pursue legislation specifying a timeframe within which non-appealed citations must be paid. As stated in our initial response, CDPH does not agree with the recommendation to collect interest on citations that are not appealed and will not seek legislation to do so.

California State Auditor's Assessment of Annual Follow-Up Status: Will Not Implement


Annual Follow-Up Agency Response From October 2015

The status of this recommendation is unchanged.

  • Estimated Completion Date: 10/2015

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented


Annual Follow-Up Agency Response From October 2014

The status of this recommendation is unchanged.

  • Estimated Completion Date: 9/2015

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented


Annual Follow-Up Agency Response From October 2013

CDPH will continue to look for opportunities for legislation specifying a timeframe within which non-appealed citations must be paid. However, as stated in our initial response, CDPH does not agree with the recommendation to collect interest on citations that are not appealed and will not seek legislation to do so.

  • Estimated Completion Date: January 1, 2016

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented


Annual Follow-Up Agency Response From September 2012

As stated in the response to the BSA report, CDPH agrees with the recommendation that the Department should seek legislation specifying a timeframe within which non-appealed citations that do not qualify for a 35 percent reduction must be paid. However, CDPH does not agree with the recommendation to collect interest on citations that are not appealed and that do not qualify for the 35 percent reduction.

California State Auditor's Assessment of Annual Follow-Up Status: Will Not Implement


All Recommendations in 2010-108

Agency responses received after June 2013 are posted verbatim.


Report type

Report type
















© 2013, California State Auditor | Privacy Policy | Conditions of Use | Download Adobe PDF Reader