City of Santa Cruz 10/15

BETTY T. YEE California State Controller October 23, 2015 Mark Cowin, Director Department of Water Resources 1416 Ninth Street, Room 1115-1 Sacramento, CA 95814 Dear Mr. Cowin: The State Controller’s Office reviewed claims submitted by City of Santa Cruz under the Flood Control Subventions Program. Our review objective was to determine whether the costs claimed as presented in the attached Summary of Project Costs are allowable and in compliance with the California Department of Water Resources’ Guidelines for State Reimbursement on Flood Control Projects. Our review was limited to validating employee salary costs. The city claimed costs of $19,788 for the San Lorenzo River project for the period of July 1, 2012, through December 31, 2013. Our review disclosed that the entire amount is allowable. If you have any questions, please contact Mike Spalj, Chief, Local Government Audits Bureau, at (916) 324-6894. Sincerely, Original signed by JEFFREY V. BROWNFIELD, CPA Chief, Division of Audits JVB/ls Attachment: Attachment 1—Summary of Project Costs P.O. Box 942850, Sacramento, CA 94250  (916) 445-2636 3301 C Street, Suite 700, Sacramento, CA 95816  (916) 324-8907 901 Corporate Center Drive, Suite 200, Monterey Park, CA 91754  (323) 981-6802 Mark Cowin, Director -2- October 23, 2015 cc: Patrick Luzuriaga, Chief Flood Control Subventions Program Division of Flood Management Department of Water Resources Martin Bernal, City Manager City of Santa Cruz Joe Hall, Project Manager Economic Development and Redevelopment Department City of Santa Cruz RE: S15-FLC-9001 _________________________ Flood Control Subventions Program Attachment 1— Summary of Project Costs July 1, 2012, through December 31, 2013 Project/ District Claim Costs Allowable Review State Share of State Share of Claim Number Number Claimed Per Audit Adjustments Eligibility Percentage1 Allowable Costs1 San Lorenzo River Flood Control Project SLOR 2014-01 27 $ 19,788 $ 19,788 $ – 70% $ 13,852 Totals $ 19,788 $ 19,788 $ – $ 13,852 _____________________________ 1 The state share of allowable project costs represents the percentage of state funding, as stipulated in the California Water Code, for each project cost category.