Title
Receive a presentation on the Countywide Cost Allocation Plan (COWCAP) from the Auditor-Controller's Office.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
Receive a presentation on the Countywide Cost Allocation Plan (COWCAP) from the Auditor-Controller's Office.
SUMMARY/DISCUSSION:
The purpose of this presentation is to provide the Board of Supervisors with a general overview of the Countywide Cost Allocation Plan (COWCAP), its benefits and contributions to the financial health of the County, its cost allocation methodology, and the application of that methodology in the budget.
Background:
Preparation of a cost allocation plan is a requirement of any non-federal entity who receives federal awards. Federal Office of Management and Budget Circular Title 2 Code of Federal Regulations (2 CFR Part 200) is titled Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Federal agencies apply the principles in 2 CFR Part 200 in determining reimbursable costs incurred by non-federal entities under federal awards and sub-awards. The cost principles promulgated by 2 CFR Part 200 are designed to be generally applicable to all non-federal entities for determining costs for federal awards carried out through grants, cost reimbursement contracts, and any other agreements with the federal government. The State Controller's Office is the cognizant agency who has the authority to approve California Counties' COWCAP.
Counties provide certain services, such as accounting, administration, information technology, contracts & purchasing, facilities maintenance, human resources, etc. to their operating departments on a centralized basis. The programs that are supported by federal and state awards are performed within the individual operating departments. 2 CFR part 200 recognizes this and indicates that, there needs to be a process through which the central services costs of the entity can be identified ...
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