Report 2023-124 Recommendation 4 Responses

Report 2023-124: Local Streets and Roads Program: State Agencies and Cities Are Generally Following Requirements as They Attempt to Improve Conditions (Release Date: April 2024)

Recommendation #4 To: Controller's Office, State

To ensure that it holds cities and counties accountable to state law and that they are not continuing to supplant local spending with program funds, the State Controller should by October 2024 revise its practice to only allow cities or counties to violate the requirement for two fiscal years, rather than continually, as under its current practice. After two years' noncompliance, the State Controller should withhold program funds in accordance with state law.

60-Day Agency Response

The State Controller's Office has fully implemented the California State Auditor's recommendation to only allow cities or counties two fiscal years to meet their maintenance of effort requirements.

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

The State Controller updated its tracking mechanism to ensure that its calculations align with state law.

All Recommendations in 2023-124

Agency responses received are posted verbatim.