Phase: Applied learning · Worked scenarios · Calculations · Audit findings · Document drills
Apply what you've read — scenario by scenario, calculation by calculation
FROE, final voucher, project close-out. Each exercise has a hidden solution — work through your answer before revealing.
I
Scenario 01
FROE preparation timeline
Setup
A federal-aid construction project is accepted by the LPA Council on August 15, 2026. The LPA project manager asks PlanCheck what comes next for project closeout.
Question
Walk through the FROE timeline and the LPA's obligations.
Solution
Closeout timeline (LAPM Ch 17):
Days 0-30 (after acceptance):
• RE finalizes punchlist items and verifies completion.
• Final materials test reports collected.
• Final CCOs processed.
• Outstanding contractor invoices paid (with 2%/$40K cumulative withhold tracked).
• Notice of Completion (state law) filed.
• Final DBE participation report completed.
Days 30-90:
• Final consultant invoices reconciled.
• Final quantities reconciled — bid item quantities vs actual.
• Final cost summary prepared:
- Phase totals (PE, R/W, R/W-Util, CON, CE).
- Final federal share calculation.
- Final non-federal share.
- Any flexible match contributions.
- Any toll credits applied.
• Sub-contractor lien waivers obtained.
• Final labor compliance review.
• Any required maintenance agreements executed (Ch 18).
Days 90-180 (or up to 6 months):
• FROE (Final Report of Expenditures) prepared. Per LAPM Ch 5 §5.6 and Ch 17, the FROE is due within 6 months of construction acceptance.
• FROE signed by LPA's person in responsible charge.
• FROE includes final cost reconciliation, federal share calculation, withhold release request.
• Submitted to DLAE with supporting documentation.
After FROE submission:
• Caltrans reviews FROE. Discrepancies require LPA response.
• Caltrans transmits final voucher to FHWA.
• 2%/$40K withhold released.
• Project records retention clock starts: 3 years from final voucher transmission (Ch 2 §2.12.4).
Key deadlines summary:
• FROE: 6 months post-acceptance.
• Final invoices: 120 days post-PED.
• Records retention: 3 years from final voucher.
• Maintenance review cycle: every 4 years thereafter.
Authority: LAPM Ch 17; LAPM Ch 5 §5.6
IV
Document Drill 01
FROE essentials
Drill
List the required elements of a complete FROE.
Model answer
FROE (Final Report of Expenditures) required elements (LAPM Ch 17):
1. Project identification: Federal project number, state project number, LPA name, Locode, project description.
2. Date of construction acceptance by LPA governing body.
3. Final cost reconciliation by phase:
• PE final cost (vs PE authorization).
• R/W final cost (vs R/W authorization).
• R/W-Utility final cost (vs Utility authorization).
• Construction final cost (vs Construction authorization).
• CE final cost (vs CE authorization).
4. Federal share final calculation:
• Federally-participating costs by phase.
• Federal reimbursement rate (pro rata or lump sum).
• Toll credits applied (if any).
• Final federal share total.
5. Non-federal share: Local match contribution, flexible match (cash, R/W donation, materials, services).
6. DBE participation report: Project goal vs actual DBE participation by trade.
7. Final quantities reconciliation: Bid items, quantities, and unit costs.
8. Withhold release request: Cumulative 2%/$40K withhold to date and release request.
9. Supporting documentation references: Notice of Completion, final inspection reports, materials test reports, certified payrolls, lien waivers.
10. Certifications:
• Signed by LPA's person in responsible charge.
• Certifies project complete, costs accurate, federal compliance verified.
11. Outstanding issues: Any open claims, disputes, or pending items.
FROE is the LPA's formal closeout document. After Caltrans review and acceptance, Caltrans transmits final voucher to FHWA, which triggers the 3-year records retention clock (Ch 2 §2.12.4).
Deadline: 6 months from construction acceptance. Late FROEs are a common audit finding.
Authority: LAPM Ch 17
Applied learning · Companion chapter
These exercises apply the procedural framework presented in LAPM Chapter 17: Project Completion. For the full chapter reference, glossary, and recall quiz, see the deep chapter file.