California Code of Regulations
Title 14 - Natural Resources
Division 3 - Department of Parks and Recreation
Chapter 15 - Off-Highway Motor Vehicle Recreation Grants and Cooperative Agreements Program Regulations
Article 4 - Project Administration Procedures
Subarticle 1 - Audits
Section 4970.25.1 - Financial Audits of Grantees

(a) The Department's Audits Office shall conduct a financial Audit of at least twenty percent (20%) of the Grantees annually. Grantees are subject to audit at any time during the Project performance period, or up to three (3) years following OHMVR Division approved final payment or Project completion, whichever is latest.

(b) Failure to fully complete Project Deliverables as agreed in the Project Agreement; and/or to maintain records supporting the Project expenditures made pursuant to the Project Agreement, these regulations, and any other applicable law; and/or failure of such records to support Project expenditures claimed and payments received, shall be grounds for an Audit exception requiring refund of amounts paid.

(c) The Department may inspect and/or make copies of any books, records, or reports of the Grantee pertaining to all Projects related costs and activities. Grantee agrees to allow the auditor(s) access to such records during normal business hours and to allow interviews of any employees who might reasonably have information related to such records. Further, Grantee must include a similar right of the State to audit records and interview staff in any subcontract related to performance under the Project Agreement.

(d) Upon completion of an Audit, if there is a refund due to the State, the Grantee shall remit the refund due within sixty (60) calendar days from the written notification to the Grantee by the OHMVR Division.