Friday, March 1, 2024
Hawai'i Free Press

Current Articles | Archives

Saturday, April 18, 2015
Auditor: City Unable to Track Federal Transportation Funds
By News Release @ 3:25 PM :: 5444 Views :: Honolulu County, Rail

Audit of the Funds Appropriated for Bicycle Projects

From Honolulu City Auditor, April 16, 2015

Audit Purpose:  This audit focuses on the funds appropriated for bicycle projects for the City & County of Honolulu. The Department of Transportation Services is responsible for managing Honolulu’s bike program. Results for our audit identified opportunities for improving the administration and management of the bike program in order to achieve the bike program’s goals, objectives, and priorities.

Audit Findings:

The audit objective was to determine why bike funding lapsed at such a high rate and received low priority. The audit sub-objectives were to:

(1) evaluate the administration of the city’s bike program;

(2) evaluate and assess the adequacy of the controls used to manage the bike project funds; and

(3) determine why bike project funds were lapsing.

As of August 2014, the city met 20 of 35 benchmarks in the Oahu Bike Plan and 5 were partially implemented.  Since January 2013, several bike projects were started or completed and several bike initiatives were underway.  Despite the progress, our office found that the Department of Transportation Services (DTS) could improve its operations by establishing formal policies and procedures; standardizing terminology and definitions; and strengthening coordination of bike activities, plans, and projects among various city agencies. 

We found that bike project funds totaling $3.64 million in grants and appropriations had lapsed or were subject to de-obligation because project managers lacked accurate, complete and reliable information and were not properly managing bike program resources. Management started implementation of the recommendations before the final audit report was released.

>>> Click here to read the full report.

Excerpts:

The city and Department of Transportation Services needs to better manage bike project funds and federal grants so the funds are used in a timely manner to attain the bike program goals, objectives, and priorities. As of December 2014, we identified over $3.64 million in bike related funds, grants, and appropriations that had lapsed or were at risk of lapsing. Prior to January 2013, over $3.2 million in city and federal funds lapsed. After January 2013, over $353,800 in bike funds lapsed.15 If the city funds continue to lapse and federal funds are de-obligated, the loss will adversely affect DTS and the city’s ability to achieve the goals, objectives, and priorities itemized in the O`ahu Bike Plan and the city charter priority for a pedestrian and bicycle friendly city. The city’s external auditors reported the administration of federal funds was a material weakness in the city internal controls. The external auditor also recommended that the city review its grant agreements to identify all program requirements and implement procedures to ensure compliance with the federal requirements.... (p29)

A material weakness is the most serious level of deficiency for internal controls and indicates a material noncompliance with federal program requirements cannot be prevented and corrected on a timely basis. (p33)

During our review, we confirmed that DTS and the city lacks adequate controls to comply with the federal fund requirements. For example, DTS and the city lack procedures for ensuring bike related projects are started and completed within the timeframes stipulated by the federal agencies. Without proper controls, DTS and the city are unable to monitor, track, and expend federal funds before the funds expire and risk losing the use of federal funds and grants....  (p33)

DTS contends no formal de-obligation of the funds occurred and the funds do not expire, therefore the funds have not lapsed. DTS could not provide copies of any federal grants that show the federal funds do not expire. Federal and state personnel responsible for distributing the bike grants stated although the funds have not been de-obligated, they were concerned the de-obligation could occur at any time. City bike project funds returned to the city bike and highway funds may not be available for the same bike projects in future capital budgets. (p42-footnote)

 
Links

TEXT "follow HawaiiFreePress" to 40404

Register to Vote

2aHawaii

808 Silent Majority

Aloha Pregnancy Care Center

AntiPlanner

Antonio Gramsci Reading List

A Place for Women in Waipio

Ballotpedia Hawaii

Broken Trust

Build More Hawaiian Homes Working Group

Christian Homeschoolers of Hawaii

Cliff Slater's Second Opinion

DVids Hawaii

FIRE

Fix Oahu!

Frontline: The Fixers

Genetic Literacy Project

Grassroot Institute

Habele.org

Hawaii Aquarium Fish Report

Hawaii Aviation Preservation Society

Hawaii Catholic TV

Hawaii Christian Coalition

Hawaii Cigar Association

Hawaii ConCon Info

Hawaii Debt Clock

Hawaii Defense Foundation

Hawaii Family Forum

Hawaii Farmers and Ranchers United

Hawaii Farmer's Daughter

Hawaii Federalist Society

Hawaii Federation of Republican Women

Hawaii History Blog

Hawaii Homeschool Association

Hawaii Jihadi Trial

Hawaii Legal News

Hawaii Legal Short-Term Rental Alliance

Hawaii Matters

Hawaii's Partnership for Appropriate & Compassionate Care

Hawaii Public Charter School Network

Hawaii Rifle Association

Hawaii Shippers Council

Hawaii Smokers Alliance

Hawaii State Data Lab

Hawaii Together

HIEC.Coop

HiFiCo

Hiram Fong Papers

Homeschool Legal Defense Hawaii

Honolulu Moms for Liberty

Honolulu Navy League

Honolulu Traffic

House Minority Blog

Imua TMT

Inouye-Kwock, NYT 1992

Inside the Nature Conservancy

Inverse Condemnation

Investigative Project on Terrorism

July 4 in Hawaii

Kakaako Cares

Keep Hawaii's Heroes

Land and Power in Hawaii

Legislative Committee Analysis Tool

Lessons in Firearm Education

Lingle Years

Managed Care Matters -- Hawaii

Malama Pregnancy Center of Maui

MentalIllnessPolicy.org

Military Home Educators' Network Oahu

Missile Defense Advocacy

MIS Veterans Hawaii

NAMI Hawaii

Natatorium.org

National Christian Foundation Hawaii

National Parents Org Hawaii

NFIB Hawaii News

No GMO Means No Aloha

Not Dead Yet, Hawaii

NRA-ILA Hawaii

Oahu Alternative Transport

Obookiah

OHA Lies

Opt Out Today

OurFutureHawaii.com

Patients Rights Council Hawaii

PEACE Hawaii

People vs Machine

Practical Policy Institute of Hawaii

Pritchett Cartoons

Pro-GMO Hawaii

P.U.E.O.

RailRipoff.com

Rental by Owner Awareness Assn

ReRoute the Rail

Research Institute for Hawaii USA

Rick Hamada Show

RJ Rummel

Robotics Organizing Committee

School Choice in Hawaii

SenatorFong.com

Sink the Jones Act

Statehood for Guam

Talking Tax

Tax Foundation of Hawaii

The Real Hanabusa

Time Out Honolulu

Trustee Akina KWO Columns

UCC Truths

US Tax Foundation Hawaii Info

VAREP Honolulu

Waagey.org

West Maui Taxpayers Association

What Natalie Thinks

Whole Life Hawaii

Yes2TMT