Report 2016-104 Recommendation 8 Responses

Report 2016-104: California Public Utilities Commission: It Should Reform Its Rules to Increase Transparency and Accountability, and Its Contracting Practices Do Not Align With Requirements or Best Practices (Release Date: September 2016)

Recommendation #8 To: Public Utilities Commission

To ensure that its contracting practices align with state requirements and best practices, the CPUC should designate a limited number of project managers for each division at the CPUC, and provide those individuals with training on the CPUC's processes related to contracting, including how to monitor progress of a contractor's work.

Annual Follow-Up Agency Response From October 2018

The agency has taken a variety of steps in response to this recommendation, while recognizing balancing the need to have the right technical expertise engaged with contract management tasks. In addition, Energy Division has hired an AGPA to act as a liaison with the agency's Contracts Office. The AGPA has received training from the California Procurement and Contracting Academy at DGS and will be taking additional trainings in the future, such as Scope of Work development and Contract Management training. The AGPA will explain contracting rules and processes to Energy Division's contract managers, and will support them in preparing Contract Packages. The AGPA has also established tracking systems to monitor the progress of establishing, amending and administrating Energy Division contracts.

  • Estimated Completion Date: 10/2019

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

In its follow-up response from the prior year, the CPUC indicated that the majority of contract managers are in the Energy Division. In addition to the efforts it describes in this current response, the CPUC will need to take similar action pertaining to its other divisions that use contractors for their projects.


Annual Follow-Up Agency Response From November 2017

The majority of contract managers are in the Energy Division. The Executive Director and the Energy Director are spinning off an Administrative Unit within Energy to handle the contracting needs of the Division. This had not begun as of yet but is set to begin within the next couple of months.

  • Estimated Completion Date: 6/30/2018

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


1-Year Agency Response

The Executive Director and the Division Directors will be working on a plan to eliminate the need for too many contract managers.

  • Estimated Completion Date: 12/30/17
  • Response Date: September 2017

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


6-Month Agency Response

Training for all project managers will be done covering the next two months and on an on-going basis. CPUC is continuing to try and develop a strategy with the Division Directors for limiting the number of project managers and better coordination with the contracts office.

  • Estimated Completion Date: 6/30/2017
  • Response Date: March 2017

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


60-Day Agency Response

The Commission continues to develop its model for limiting the number of project managers within the divisions.

  • Estimated Completion Date: 6/30/2017
  • Response Date: November 2016

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


All Recommendations in 2016-104

Agency responses received are posted verbatim.