We audited the costs claimed by the California State Department of Fish and Wildlife under grants awarded by the U.S. Fish and Wildlife Service (FWS) through the Wildlife and Sport Fish Restoration Program. The audit included claims totaling approximately $113 million on 189 grants that were open during the State fiscal years that ended June 30, 2015, and June 30, 2016. The audit also covered the Department’s compliance with applicable laws, regulations, and FWS guidelines, including those related to collecting and using hunting and fishing license revenues and reporting program income.
We questioned costs totaling $579,085 ($434,319 Federal share) due to an inaccurate indirect cost rate, unrecognized program income, unsupported and ineligible other direct costs, improperly calculated leave payouts, improper use of vehicles, improperly allocated leave pay, and improperly disposed equipment. In addition, we found that the Department used an unapproved methodology to count lifetime license holders, did not manage equipment adequately, did not properly allocate program income associated with its lands pass program, and did not properly classify its subawards.
The FWS concurred with 16 of our 17 recommendations, and it will work with the Department to implement corrective actions.