Compliance Assessment Methodology for Section 5311 Formula Funded Transportation

ProgramsSponsored by

Illinois Department of Transportationand the

Rural Transit Assistance Center Spring Conference

Presented by

John EdmondsonRLS & Associates, Inc.

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Role of Compliance Reviews

Governing Principals Ensure Consistent Progress Toward SAFETEA-LU Objective

Guidance From a Variety of Federal Agencies Federal Transit Administration (FTA) Office of Management and Budget (OMB) Federal Motor Carriers Safety Administration

(FMCSA)

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Compliance Assessment Methodology

Three-part Process Desk Review

• Examination of Requested Information Prior to Site Visit

Site Visit• Examination of Records, Facilities, and Vehicles

Interview• Administrative and Operational Personnel

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Areas of Review

Grantee Review/Eligibility Eligible Services Budget and Audit Grants Management and Requests Procurement Vehicles, Equipment, and Real Property Civil Rights (Title VI, EEO, DBE)

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Areas of Review

Section 504/Americans with Disabilities Act

Safety and Security Suspension and Debarment

/Integrity/Restrictions on Lobbying Charter Services School Bus Services

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Areas of Review

Drug Free Workplace/Drug and Alcohol Testing

Labor Buy America/New Bus Testing

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Grantee Review/Eligibility

Grantee Eligibility Appropriate Entity (County, Municipality, MTD.) as

Defined by IDOT Application Completed Appropriately Grant Agreement Executed

Pass-Through Eligibility Appropriate Pass-Through Arrangement Eligible Pass-Through Entity (not-for-profit,

human/social service, etc.)

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Eligible Services

General Public Transportation Services Exclusive Client Services are Permitted but

May Not Limit Availability to the General Public

Marketing Materials Brochures Riders Guides Driver Manifests

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Eligible Services

Participation in a Locally Developed Coordination Plan

JARC/New Freedom Grants Consistent with a Locally Developed Plan

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Common Compliance Issues

Inadequate Access to the General Public Seniors, Disabled, THEN General Public Routes Cater to Clients Only

Prioritized Trips Medical Trips Scheduled Ahead of Generic

Trips

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Budget and Audit

Chart of Accounts Administrative, Operating, and Capital Expenses

Quarterly Requisitions Line Item Figures

Independent Audits Documentation Addressing Audit Findings Two Page Annual Financial Report (IDOT

Requirement)

Cost Allocation Plans

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Budget and Audit

Transaction Documents to Ensure Proper Cost Classification Labor Fuel Maintenance

Continuing Control Cash Handling Procedures

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Common Compliance Issues

Lack of Adequate Cash Handling Procedures Driver Control Adequate Reconciliation Deposit Frequency

Local Match Funds Not Pursued

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Grants Management and Requisitions

Accounting Transactions to Determine Eligible Costs

Concurrency Documentation Indirect Cost Plans (if applicable) Requisition Submittals

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Common Compliance Issues

Requisitions Submitted Late IDOT Requires Submittal Within 30 Days of

Quarters End

Lack of Concurrence Annual Expenses in Excess of $10,000 to Any

Single Vendor

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Procurement

Procurement/Purchasing Policies Written Code of Conduct for Personnel

Engaged in Purchasing Decisions Recent Procurement Documents (RFP,

IFB, etc.) Recent Procurement Contracts

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Common Compliance Issues

Inadequate/Missing Procurement Policy No Policy Policy Does not Meet the Standards Outlined

in FTA Circular 4220.1F

Procurement Policy Not Followed No Process Followed “Gentlemen’s Agreements”

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Vehicles, Equipment, and Real Property

Fleet Roster Certification of Use FMCSA Registration (if applicable) Lease Agreements Preventive Maintenance Plans Insurance Coverage

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Common Compliance Issues

Vehicle Safety Fire Extinguisher

• Improperly Secured

• Missing/Expired Inspection Tag

Missing/Expired Insurance Card Missing Roadside Emergency Triangles Missing/Inadequate First Aid Kit Missing/Inadequate Biohazard Kit Wheelchair Securements Left in Channels

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Common Compliance Issues

Vehicle Maintenance Missing/Inadequate Preventive Maintenance

Plan Inadequate Pre- and Post-Trip Inspection

Form Missing Mileage on Maintenance Records

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Common Compliance Issues

Missing Lease Agreements Grantee to Lower Tier Subcontractor

(Operator)

Missing FMCSA Registration No Written Maintenance Plan for Lift

Equipment Pre-Trip Inspection is NOT Adequate

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Civil Rights

Title VI Equal Employment Opportunities

$1,000,000 in Previous Federal Fiscal Year 50 or More Mass Transit Employees

Disadvantaged Business Enterprise $250,000 in Contracting Opportunities

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Common Compliance Issues

DBE Reporting Inaccurate Missing/Inadequate DBE Plan No EEO Officer Identified

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Section 504/Americans with Disabilities Act

Complimentary Paratransit Plan (if applicable)

Trip Denial Logs Fare Structure Information Disseminated to the Public

Brochures Riders Guides

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Common Compliance Issues

Information Disseminated to the Public Not Available in Alternative Formats Inaccurate Information Key Information Missing

Service Denials Not Tracked Required for Complimentary Paratransit

Service Useful Tool in Demand Response Service

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Common Compliance Issues

Consequential Behavior Not Disseminated to Passengers No-Show Policy Disruptive Behavior Any Expectation Placed on the Passenger

Must Be Communicated to the Passenger Along With Associated Consequences

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Common Compliance Issues

Personal Care Attendants MUST Ride for Free No Certification Process

Service Animals Must Be Permitted On-Board No Certification Process

Common Mobility Devices

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Safety and Security

Safety and Security Plans HSP Template Followed Participation in Emergency Preparedness

Drills Training Documentation

Training Policy Master Log Individual Log

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Common Compliance Issues

No Written Hazard and Safety Plan Follow the HSP Template Located at:www.transit-safety.volpe.dot.gov/Security/SecurityInitiatives

Training Records Difficult to Follow Lack of Logs Incomplete Policy

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Debarment/Integrity/Restrictions on Lobbying

Certification Part of Section 5311 Application

Contracts in Excess of $100,000 Compliance Issues are Rare

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Charter Service

Annual Notices Willing and Able Solicitation Responses Cost Allocation Methodology for

Recovery Exception Certification

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Common Compliance Issues

“No, We Don’t Do Charter” Public Participation Process Not Followed No Cost Allocation Plan for Recovery

Must Recover 100%

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School Bus Service

Copies of Purchase of Service Contracts with School Systems

Driver Manifests Compliance Issues are Rare

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Drug Free WorkplaceDrug & Alcohol Testing

Part of Overall Compliance Review Performed Separately by IDOT

Staff Common Compliance Issues

Identifiable Testing Pattern (mornings, Tuesdays, etc.)

No Service Agent Oversight

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Labor

Section 5333(b) Special Warranty Signed as Part of the Section 5311

Application Common Compliance Issue

Warranty Not Posted

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Buy America

Compliance Oversight Established as Part of CVP Process

No Site Review Compliance Issues at Provider/Grantee

Level are Rare

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Implementation

Compliance Findings 1-3 Months (Immediate Solutions Available) 3-6 Months (Circumstantial Incidents) 6-9 Months (Annual Evaluations) On-going (Routine Analysis/Oversight)

Annual Element Review Compliance Follow-Up

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Implementation

Additional Suggestions Recommended but not Required Action Items Best Practices Management Analysis Tools

IDOT Staff RTAC Technical Assistance RLS Technical Assistance

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Questions???

Thank You!!!

John Edmondson

RLS & Associates, Inc.

300 W. Adams, 2nd Floor

Chicago, IL 60606

312-793-2257