STATE WATER RESOURCES CONTROL BOARD MEETING

SACRAMENTO, CALIFORNIA

JULY 17, 1997

ITEM 7: CONSIDERATION OF APPROVAL TO AUTHORIZE THE EXECUTIVE DIRECTOR OR HIS DESIGNEE TO EXECUTE AN INTERAGENCY AGREEMENT AND AMENDMENTS WITH THE STATE CONTROLLER'S OFFICE TO PROVIDE AUDITING AND INVESTIGATION SERVICES FOR THE UNDERGROUND STORAGE TANK CLEANUP FUND

DISCUSSION: The Underground Storage Tank Cleanup Fund (Fund) is currently contracting with the State Controller's Office (SCO) to provide auditing and investigation services on an as-needed basis for claims filed with the Fund.

As of May 13, 1997, the Fund has submitted 52 cases to the SCO. Besides cases for general auditing, some of the cases involve issues including tampering with invoices, filing false claims, perjury and fraud in which criminal charges are filed.

The level of funding is not to exceed $200,000 for personnel services and travel per year until January 1, 2005. The level identified previously is $150,000 per year. The Fund is in need of full time investigative and auditing services from the SCO.

POLICY IMPACT: Should the State Water Board authorize the Executive Director to enter into an Interagency Agreement with the SCO for the purpose of providing auditing and investigation services for the UST Cleanup Fund.

FISCAL IMPACT: Expenditure authority for this contract will consist of current contract allotment.

RWQCB: None

STAFF RECOMMENDATION: That the State Water Board authorize the Executive Director or his designee to enter into an Interagency Agreement with the SCO to provide the needed service.

July 8, 1997 DRAFT

STATE WATER RESOURCES CONTROL BOARD

RESOLUTION NO. 97 -

CONSIDERATION OF APPROVAL TO AUTHORIZE THE EXECUTIVE DIRECTOR OR HIS DESIGNEE TO EXECUTE AN INTERAGENCY AGREEMENT AND AMENDMENTS WITH THE STATE CONTROLLER'S OFFICE TO PROVIDE AUDITING AND INVESTIGATION SERVICES FOR THE UNDERGROUND STORAGE TANK CLEANUP FUND


WHEREAS:

1. Section 25299.59 of the California Health and Safety Code allows the State Water Board to conduct an audit of any claim submitted to the Underground Storage Tank Cleanup Fund (Fund);

2. Section 25299.51(a) of the California Health and Safety Code provides for the expenditure of funds for the costs of implementing this Chapter. Investigative services are needed in certain cases to verify information provided by claimants. Verification of facts and circumstances is essential to the integrity of the Fund and is necessary to implement the Fund in a legal manner.

3. The State Controller's Office has trained staff to perform the necessary audits and investigations;

4. The Fund has requested the State Controller's Office to provide auditing and investigation services;

5. The Interagency Agreement will provide an amount not to exceed $200,000 per year through the year January 1, 2005 and will provide the Fund with the needed auditing and investigative services; and

6. It is in the interest of the State Water Board to ensure that all funds are distributed in an appropriate legal manner, and to guard against fraudulent claims.

 

THEREFORE BE IT RESOLVED THAT:

The State Water Resources Control Board authorizes the Executive Director or his designee to enter into an Interagency Agreement with the State Controller's Office to provide auditing and investigation services for the Fund through the year January 1, 2005.

 

CERTIFICATION

The undersigned, Administrative Assistant to the Board, does hereby certify that the foregoing is a full, true, and correct copy of a resolution duly and regularly adopted at the meeting of the State Water Resources Control Board held on July 17, 1997.

 

Maureen Marchè

Administrative Assistant to the Board