A Riverside County audit indicating that the Department of Animal Services is failing to disclose its annual rates for contract services, as required under county policy, did not elicit concerns from the Board of Supervisors Tuesday, though an agency official insisted that the finding was mistaken.

Auditor-Controller Paul Angulo submitted a six-page report to the board showing that since a prior audit in 2015, the Department of Animal Services had come into compliance with standards related to tracking and reporting on the status of capital assets.

However, Angulo and his staff found that the agency has not been supplying annual statements regarding the rates charged for contract services in 21 cities throughout the county.

The Office of the Auditor-Controller noted that county policy B-3 mandates that agencies disclose their billable rates to ensure that charges to municipalities are keeping up with inflation and comparable to similar levies in other jurisdictions.

According to Angulo, the Department of Animal Services last submitted a list of contract rates for shelter and field services in 2011.

The board did not question the report. However, agency spokesman John Welsh told City News Service that “the finding regarding contract cities — pricing of contracts — is incorrect in that we have been actively engaged in the process of full cost recovery.”

He did not have an explanation for the audit’s content, but added that confusion may have stemmed from a review recently completed by Netherlands-based professional services firm KPMG.

The company was hired by the board over two years ago at a cost of nearly $40 million to analyze operations throughout the county’s public safety sphere and general government agencies to identify inefficiencies and find ways of streamlining functions to net future savings.

Critics of the KPMG work have argued it was a waste of taxpayer revenue, leading only to cosmetic changes, while supporters, including Supervisors Marion Ashley and John Tavaglione, have praised the company’s results as transformative.

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