Report 2018-114 Recommendation 25 Responses

Report 2018-114: Disabled Veteran Business Enterprise Program: The Departments of General Services and Veterans Affairs Have Failed to Maximize Participation and to Accurately Measure Program Success (Release Date: February 2019)

Recommendation #25 To: Motor Vehicles, Department of

To ensure that DVBE participation data are reported accurately and consistently, DMV should implement or strengthen a review process to ensure that DVBE participation amounts entered into its data systems or FI$Cal are accurate. This review process should include verification, on a sample basis, of the amounts awarded to, and the certification status of, the DVBE contractor or subcontractor for high-value contracts that include DVBE participation.

60-Day Agency Response

DMV concurs with the recommendation. The DMV takes the DVBE program very seriously and continues to be committed to exceeding the three-percent goal for state governmental agencies. Additional training was conducted to ensure staff are following proper procedures. Further, beginning February 2019, DMV is implementing a quarterly process to check Small Business/Disabled Veteran Business Enterprise amounts awarded and certification status for high-value contracts exceeding $100,000. In the interim, to assure program management that the error found during the audit is not a widespread problem, DMV's Internal Audits Office randomly sampled 20 contracts of varying amounts awarded and found the DVBE calculations were correct on all 20 contracts.

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

All Recommendations in 2018-114

Agency responses received are posted verbatim.