Report 2010-101 Recommendations and Responses in 2015-041

Report 2010-101: Department of Resources Recycling and Recovery: Deficiencies in Forecasting and Ineffective Management Have Hindered the Beverage Container Recycling Program

Department Number of Years Reported As Not Fully Implemented Total Recommendations to Department Not Implemented After One Year Not Implemented as of 2014-041 Response Not Implemented as of Most Recent Response
Department of Resources Recycling and Recovery 5 18 6 3 3

Recommendation To: Resources Recycling and Recovery, Department of

The department should weave benchmarks, coupled with metrics to measure the quality of its activities, into the strategic plan for the beverage program to allow it to better measure progress in meeting goals.

Response

Based upon the results of program stakeholder workshops in the fall of 2012, CalRecycle received approval in the FY 13/14 state budget for our proposal to implement Program Reform Phase I. Program Reform Phase I implementation, which began in November 2013 included elimination of commingled loads (i.e., mix of CRV and non-CRV containers presented by consumers in the same load) at certified recycling centers, implementation of a pre-certification training/exam process, mandatory use of the Division of Recycling Integrated Information System (DORIIS), reductions in the allowable daily load limits and implementation of reporting and inspection requirements for individuals importing empty beverage container into CA.

As a result of Program Reform Phase I implementation and an improving economy, the structural deficit was reduced to $55.8M in FY 13/14 and is projected to be $37.2M for FY 14/15 and $29.9M for FY 15/16. The Division of Recycling began providing Quarterly Program Updates as part of CalRecycle's Monthly Public Meetings. These quarterly updates provide the general public with comprehensive performance metrics for all operational activities conducted by the Division of Recycling. CalRecycle is also making significant qualitative changes to the legislatively mandated Quarterly Report on the Status of the Beverage Container Recycling Fund in an effort to provide more complete, clear and concise information about fund status and projections for future fund balances.

  • California State Auditor's Assessment of Status: Not Fully Implemented
  • Completion Date: December 2015
  • Response Date: September 2015

Recommendation To: Resources Recycling and Recovery, Department of

The department should ensure that the strategic plan incorporates all relevant activities of the beverage program.

Response

Based upon the results of program stakeholder workshops in the fall of 2012, CalRecycle received approval in the FY 13/14 state budget for our proposal to implement Program Reform Phase I. Program Reform Phase I implementation, which began in November 2013 included elimination of commingled loads (i.e., mix of CRV and non-CRV containers presented by consumers in the same load) at certified recycling centers, implementation of a pre-certification training/exam process, mandatory use of the Division of Recycling Integrated Information System (DORIIS), reductions in the allowable daily load limits and implementation of reporting and inspection requirements for individuals importing empty beverage container into CA.

As a result of Program Reform Phase I implementation and an improving economy, the structural deficit was reduced to $55.8M in FY 13/14 and is projected to be $37.2M for FY 14/15 and $29.9M for FY 15/16. The Division of Recycling began providing Quarterly Program Updates as part of CalRecycle's Monthly Public Meetings. These quarterly updates provide the general public with comprehensive performance metrics for all operational activities conducted by the Division of Recycling. CalRecycle is also making significant qualitative changes to the legislatively mandated Quarterly Report on the Status of the Beverage Container Recycling Fund in an effort to provide more complete, clear and concise information about fund status and projections for future fund balances.

  • California State Auditor's Assessment of Status: Not Fully Implemented
  • Completion Date: December 2015
  • Response Date: September 2015

Recommendation To: Resources Recycling and Recovery, Department of

To improve oversight of grants and ensure that the intended value is received from the grant funds it awards, the department should implement policies to ensure that cities and counties spend grant funds for recycling purposes by requiring periodic reporting of expenses or reporting of how funds were used after the grant ends.

Response

Require all payment recipients submit expenditure reports in CAPRS by date certain. If they do not account for all funds for a specific year, CalRecycle will invoice the payment recipient to return funds.

All participants were notified in FY2014-15 cycle of the requirement to submit expenditure reports in CAPRS by date certain. The necessary conversions in CAPRS were completed to allow participants to upload expenditure reports.

Require all payment recipients to upload back up documentation to CAPRS. Program staff will review backup documentation of a random sample of 60 to ensure accountability of reported expenditures. This sample size may change or a tiered review approach may be considered based on accuracy and accountability of reporting.

All participants were notified in FY2014-15 cycle of the requirement to submit back-up documentation, including proof of purchases, in CAPRS. Program staff is developing procedures for reviewing and tracking backup documentation.

Payment recipients that do not complete the expenditure report by the end of the 2nd year will be invoiced for the amount not reconciled. If they do not pay CalRecycle back by date certain, they will not be eligible to apply for the next cycle.

All participants were notified of the new requirements for FY2014-15 and subsequent cycles. Failure to complete the expenditure report and/or expend the CCPP funds appropriately will result in ineligibility for future cycles.

  • California State Auditor's Assessment of Status: Not Fully Implemented
  • Completion Date: December 2017
  • Response Date: September 2015

Current Status of Recommendations

All Recommendations in 2015-041