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Public discussion · Finding F2

When the City updated its Cost Allocation Plan in 2024, reduced allocation of indirect costs left approximately $714,000 in the Enterprise Funds to be used for systems maintenance and capital improvements.

What should residents consider about Finding F2: When the City updated its Cost Allocation Plan in 2024, reduced allocation of indirect costs left approximately $714,000 in the Enterprise Funds to be used for systems maintenance and capital improvements., and the County’s response?

Sebastopol City CouncilResponse dated 2026-07-22Audit assessment: Addressed
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Audit context

What the response says and how it was assessed

Response says

Confirms approximately $510,000 lower water charges and $204,000 lower wastewater charges, but says savings are not earmarked for a particular use.

Audit analysis

Specifies the disagreement over use of savings and explains possible operating, capital, reserve or rate effects, citing the 2024 allocation plan and its cost bases.

Finding-response score

Document completeness and usefulness—not factual verification or a legal conclusion.

10/10

4/4

Statutory elements

Stated position
2/2
Applicable disagreement elements
2/2

6/6

Public usefulness

Coverage
2/2
Reason specificity
2/2
Support traceability
2/2

Specifies the disagreement over use of savings and explains possible operating, capital, reserve or rate effects, citing the 2024 allocation plan and its cost bases.

Scoring confidence: high