WARREN — Trumbull County Transit was knocked with 21 deficiencies by the Federal Transit Administration in a recently released review.

The 21 deficiencies in 10 areas require corrective actions. The July review conducted every three years on FTA-funded transit systems turned up some questions that were handled before the final report was issued.

The system is deemed “unfundable” by the FTA because of compliance issues outlined before the report, including some problems dating back to the 2016 review.

The problems that remain are in some important areas, but the system had no deficiencies in 11 areas the FTA reviewed.

The problems should be corrected by one of two deadlines, Oct. 11 or Dec. 11, the review states.

The system’s policies and procedures that violate FTA standards were compiled in a report prepared by FTA contractor Interactive Elements Inc.

“The biggest area is in oversight of the contractor,” said Mike Salamone, administrator of the public transit system.

The FTA wants to see the “who, what, where, when, why” of the trips provider Community Bus Services is giving, and to see the procedures in place to ensure those elements are being accurately reported.

Trumbull Transit has been “inadequate” in providing the oversight, the report states.

“No documentation was provided showing that TCTB (Trumbull County Transit Board) is monitoring the contractor performance, no schedule of oversight activities was available and no evidence was found that TCTB has reviewed the monthly operations performance reports provided, or provided feedback to CBS concerning operations performance,” the report states.

In the contract, CBS is required to “meet the service standards established by the contract and to provide monthly operations performance reports to TCTB.”

TCTB submitted measures of oversight it “may perform,” but there was no evidence of an “ongoing oversight program,” the report states.

CBS is the only company with which Trumbull Transit has ever contracted to run the system.

The FTA wants the TCTB to adopt procedures that describe a schedule and description of oversight activities, complete with evidence and documentation of implementation in a “comprehensive oversight program,” the report states.

The report also found issue with the way the board continued the contract with CBS.

The contract with CBS expired at the end of 2018. An extension was granted through June, with options to renew monthly after a flawed bid process left the transit board with no viable bid to accept for a longer-term contract. The bid CBS submitted was incomplete and the only other bid received was turned in late. At the time, Salamone speculated the terms of the contract — two years — were too short to attract most bidders and said most transit systems have four- to five-year contracts.

In order to keep the system from coming to a full stop, the temporary contract was put in place.

But the FTA found TCTB did not “conduct the required sole-source justification prior to entering into the new contract with CBS. Regardless, there does not exist an appropriate justification per the requirements” of FTA rules, the report states.

The FTA wants the board to submit written procedures outlining how it will comply with the FTA rules in the future for “sole-source awards,” which are given to a company without a bid process.

Salamone has to redesign the request for proposals document before it is put out to bid again, but has not had time to, he said, as he tries to correct deficiencies that arose before and during his time as administrator.

The system also is lacking in “written financial management procedures that demonstrate a process for determining allowability of costs, distribution of funds in a timely manner, effective internal controls and appropriate reporting and approving financial transactions,” the report states.

And the financial management systems don’t generate reports showing “general and specific grant activity and conditions and do not track funds to a level of expenditures adequate to establish that such funds have been used according to federal statutes, regulations and the terms and conditions of the award agreement,” the report states.

The FTA also has concerns the system doesn’t have the financial resources to carry out its program and is asking for a five-year financial projection after TCTB lost money from several local sources.

A preliminary report shows the system has the funds to operate services at about $1.4 million per year, about $1 million less than it has in the past. Salamone said with the reduction of services made, it should be able to function as planned with the reduced funding. And there could be an infusion of cash coming from the state when the Ohio Department of Transportation starts divvying up the funds set aside for local transit systems in the latest statewide transportation budget.

The review found issues in other areas, too, but Salamone said he has a schedule of people to work with to ensure those areas are corrected.

The report can be requested by emailing Salamone at cesalamo@co.trumbull.oh.us.