To ensure that the repairs it makes to the SR 710 properties are necessary and reasonable, Caltrans should establish a process to ensure it evaluates the cost-effectiveness of any repair before authorizing it.
Please see Attachment 5 for a copy of the "Property Management Cost Recovery Analysis Policy" implemented on June 26, 2013. This policy requires the use of cost-recovery forms to analyze the cost of necessary repairs, and has established 36 months as the maximum acceptable cost-recovery period.
Caltrans has established a process to ensure it evaluates the cost-effectiveness of repairs before it authorizes them. Our review in May 2017 found that files reflected a consistent use of Caltrans' cost analysis process.
Caltrans stated that it now has a policy in place that requires the use of cost-recovery forms to analyze the cost of necessary repairs and that establishes 36 months as the maximum acceptable cost-recovery period. Caltrans also stated that it plans to conduct training during March 2013 to instruct staff on the proper use of the form.
Caltrans did not provide a copy of the policy.
Caltrans stated that its District 7 office management is developing a standardized process for evaluating the cost-effectiveness of repairs. Caltrans also stated that it anticipates implementing this process and providing training to the appropriate staff by December 31, 2012. (See 2013-406, p. 171)
†Response Type refers to the interval in which the auditee is providing the State Auditor with their status in implementing recommendations made in an audit report. Auditees must submit a response regarding their progress in implementing recommendations from our reports at three intervals from the release of the report: 60 days, six months, and one year or subsequent to one year.
*Agency responses received after June 2013 are posted verbatim.