Kern Council of Governments (Kern COG) administers Transportation Development Act (TDA) funds, which is a funding source for the following City funds:

• State Transportation Article 3 Fund accounts for projects dedicated to bicycle and pedestrian facilities and safety.
• Amtrak Operating Fund accounts for maintenance costs of the Bakersfield Amtrak Station.
• Public Transportation Modernization, Improvement, and Service Enhancement Account (PTMISEA) Fund accounts for Americans with Disabilities Act (ADA) improvements at various Golden Empire Transit (GET) bus stops.
• State Transportation Article 4 Fund accounts for ADA improvements at various GET bus stops.

Statutes governing the use of TDA funds require annual audits. These statutes include Kern COG’s rules and regulations, Section 99245 of the California Public Utilities Code, and Section 6664 of the California Code of Regulations. Kern COG contracted with Brown Armstrong Accountancy Corporation to perform audits of member agencies. The City bears no part of the audit costs.

The audit report includes the opinion from the independent auditors and the associated TDA financial statements as of June 30, 2020. The current year audit opinion issued by the outside auditors indicates that the City complied, in all material respects, with accounting principles generally accepted in the United States of America.

There were no findings to report for the Bakersfield TDA in fiscal year 2019-20, therefore, there is no agreed upon conditions report for this item.

Staff recommends acceptance of the audit.