Report 2014-116 Recommendation 7 Responses

Report 2014-116: California Department of Consumer Affairs' BreEZe System: Inadequate Planning and Oversight Led to Implementation at Far Fewer Regulatory Entities at a Significantly Higher Cost (Release Date: February 2015)

Recommendation #7 To: Technology, California Department of

If Consumer Affairs receives the necessary funding and resources to successfully implement BreEZe at the phase 2 regulatory entities and the project continues to face escalating costs, CalTech should require Consumer Affairs to conduct an analysis of the costs and benefits of moving forward with the project as planned or of suspending or terminating the project.

1-Year Agency Response

This recommendation is no longer applicable as DCA has completed Phase 2 implementation. To date, the BreEZe project remains within the budget approved in SPR 3.1. Through December 2015, the Project continues to operate under budget. Staffing and other costs have been below anticipated levels.

As of the end of December 2015, $917,560 remains in the Unanticipated Tasks Fund for future Requests for Change (RFC).

California State Auditor's Assessment of 1-Year Status: Resolved

Consumer Affairs implemented phase 2 of BreEZe and, based on documentation provided by CalTech, the project did not face escalating costs. As a result, it is no longer necessary for CalTech to require Consumer Affairs to conduct an analysis of the costs and benefits of moving forward with the project as planned or of suspending or terminating the project. Thus, we have reported the status of this recommendation as resolved.

6-Month Agency Response

Consumer Affairs has reported it will conduct an analysis of the costs and benefits of moving forward after the completion of Release #2.

California State Auditor's Assessment of 6-Month Status: Pending

60-Day Agency Response

60-Day Update:

In the event that the BreEZE project continues to face escalating costs, CalTech will require Consumer Affairs to conduct an analysis of the costs and benefits of moving forward with the project as planned in SPR 3.1. Failure on the part of DCA to do so will result in a recommendation of ITPOC to the Director to suspend or terminate the project.

CalTech will closely monitor this situation and report in our 6 month status update.

California State Auditor's Assessment of 60-Day Status: Pending

All Recommendations in 2014-116

Agency responses received are posted verbatim.