Report 2018-102 Recommendation 1 Responses
Report 2018-102: Tulare Local Healthcare District: Past Poor Decisions Contributed to the Closure of the Medical Center, and Licensing Issues May Delay Its Reopening (Release Date: October 2018)
Recommendation #1 To: Tulare Local Healthcare District
To ensure that the district can demonstrate that its decisions for selecting contractors are justified and are in the best interest of the district's residents, by April 2019 the district should establish formal procedures designed to ensure that it follows a rigorous and appropriate evaluation and contract awarding process.
Annual Follow-Up Agency Response From February 2023
1) Multiple contractors (as available, dependent on specialization) will be requested to bid on any proposed project higher in value than the current minimum threshold to be completed on behalf of TLHCD. Every effort will be made to solicit a minimum of three bids from eligible contractors. Bids will be reviewed by staff and clarification on any ambiguities will be requested from the bidders. Within current TLHCD guidelines, limited value bids (as determined by the CEO contract) may be approved at the CEO level. Bids exceeding CEO authority will be submitted to the board for review, and approval/rejection, as determined by a majority board vote.
Project bids requiring a General Contractor (also exceeding the current minimum threshold) will be published in newspapers serving (and printed within) the appropriate market area (generally South Central Valley California). Bidding that does not meet said minimum threshold may also be considered for publication depending on the project's nature.
All contractors engaged by TLHCD will undergo an evaluation of prior work history and general financial stability.
- Completion Date: January 2023
California State Auditor's Assessment of Annual Follow-Up Status: Fully Implemented
Annual Follow-Up Agency Response From October 2021
Progress has been delayed due to COVID-19 but the District continues to work on creating new procedures to provide details and documentation for a thorough evaluation process to award contracts.
- Estimated Completion Date: 06/30/2022
California State Auditor's Assessment of Annual Follow-Up Status: Pending
Annual Follow-Up Agency Response From November 2020
The District will be creating new procedures to provide details and documentation for a thorough evaluation process to award contracts.
- Estimated Completion Date: 06/01/2021
California State Auditor's Assessment of Annual Follow-Up Status: Pending
1-Year Agency Response
Written policy approved by the Tulare Local Healthcare District Board on 24 April 2019.
- Completion Date: May 2019
- Response Date: May 2019
California State Auditor's Assessment of 1-Year Status: No Action Taken
The district's policy does not address establishing formal procedures designed to ensure that it follows a rigorous and appropriate evaluation and contracting awarding process. Specifically, the procedures do not discuss its process for evaluating proposals and for awarding the contract to the most appropriate proposal.
- Auditee did not address all aspects of the recommendation
6-Month Agency Response
We were delayed in bringing on new staff to implement the appropriate recommendations, but Board members are working to amend our policies and hope to approve them at our next regular board meeting on April 24.
- Estimated Completion Date: April 2019
- Response Date: April 2019
California State Auditor's Assessment of 6-Month Status: Pending
60-Day Agency Response
The District concurs with the recommendation and will update its policies by April 2019 as recommended.
- Estimated Completion Date: April 2019
- Response Date: December 2018
California State Auditor's Assessment of 60-Day Status: Pending
All Recommendations in 2018-102
Agency responses received are posted verbatim.