FAC Explorer

Audit 11795

FY End
2022-12-31
Total Expended
$8.12M
Findings
10
Programs
38
Organization: Kandiyohi County (MN)
Year: 2022 Accepted: 2024-01-16
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
8639 2022-004 Significant Deficiency Yes L
8640 2022-004 Significant Deficiency Yes L
8641 2022-005 Significant Deficiency - E
8642 2022-005 Significant Deficiency - E
8643 2022-005 Significant Deficiency - E
585081 2022-004 Significant Deficiency Yes L
585082 2022-004 Significant Deficiency Yes L
585083 2022-005 Significant Deficiency - E
585084 2022-005 Significant Deficiency - E
585085 2022-005 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
20.205 Highway Planning and Construction $966,918 Yes 1
93.563 Child Support Enforcement $687,797 Yes 0
93.558 Temporary Assistance for Needy Families $672,381 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $654,311 - 0
93.658 Foster Care_title IV-E $595,007 - 0
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $446,828 - 0
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $386,450 - 0
93.268 Immunization Cooperative Agreements $333,150 - 0
93.667 Social Services Block Grant $332,125 - 0
93.674 John H. Chafee Foster Care Program for Successful Transition to Adulthood $183,283 - 0
16.575 Crime Victim Assistance $119,141 - 0
97.012 Boating Safety Financial Assistance $75,753 - 0
93.994 Maternal and Child Health Services Block Grant to the States $55,033 - 0
10.025 Plant and Animal Disease, Pest Control, and Animal Care $54,500 - 0
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $41,038 - 0
93.778 Medical Assistance Program $40,096 Yes 1
84.126 Rehabilitation Services_vocational Rehabilitation Grants to States $37,817 - 0
90.404 2018 Hava Election Security Grants $33,717 - 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $28,460 - 0
97.042 Emergency Management Performance Grants $27,937 - 0
20.615 E-911 Grant Program $27,696 - 0
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $26,224 - 0
16.607 Bulletproof Vest Partnership Program $19,313 - 0
20.600 State and Community Highway Safety $16,329 - 0
93.575 Child Care and Development Block Grant $14,677 - 0
20.616 National Priority Safety Programs $13,259 - 0
16.606 State Criminal Alien Assistance Program $12,054 - 0
93.669 Child Abuse and Neglect State Grants $11,020 - 0
93.645 Stephanie Tubbs Jones Child Welfare Services Program $7,499 - 0
93.590 Community-Based Child Abuse Prevention Grants $6,278 - 0
10.069 Conservation Reserve Program $6,227 - 0
93.556 Promoting Safe and Stable Families $3,559 - 0
84.181 Special Education-Grants for Infants and Families $2,827 - 0
15.611 Wildlife Restoration and Basic Hunter Education $2,285 - 0
93.767 Children's Health Insurance Program $2,118 - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $1,450 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $1,281 - 0
93.566 Refugee and Entrant Assistance_state Administered Programs $652 - 0

Contacts

Name Title Type
YL39G3AHKLT3 Mark Thompson Auditee
3203316202 Douglas P. Host Auditor
No contacts on file

Notes to SEFA

Title: 1 Accounting Policies: Expenditures reported on the schedule are reported on the basis of accounting used by the individual funds of Kandiyohi County. Governmental funds use the modified accrual basis of accounting. Proprietary funds use the full accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Kandiyohi County has elected to not use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. The schedule of expenditures of federal awards presents the activities of federal award programs expended by Kandiyohi County (County). The County's reporting entity is defined in Note 1 to the financial statements. The County's reporting entity is defined in Note 1 to the financial statements. The schedule does not include $2,443,388 in federal awards expended by the Kandiyohi County Housing and Redevelopment Authority discretely presented component unit, which had a separate single audit performed by other auditors.
Title: 2 Accounting Policies: Expenditures reported on the schedule are reported on the basis of accounting used by the individual funds of Kandiyohi County. Governmental funds use the modified accrual basis of accounting. Proprietary funds use the full accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Kandiyohi County has elected to not use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards includes the federal grant activity of Kandiyohi County under programs of the federal government for the year ended December 31, 2022. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) from the Office of Management and Budget (OMB). Because the schedule presents only a selected portion of the operations of Kandiyohi County, it is not intended to and does not present the financial position, changes in net position, or cash flows of Kandiyohi County.
Title: 3 Accounting Policies: Expenditures reported on the schedule are reported on the basis of accounting used by the individual funds of Kandiyohi County. Governmental funds use the modified accrual basis of accounting. Proprietary funds use the full accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Kandiyohi County has elected to not use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Expenditures reported on the schedule are reported on the basis of accounting used by the individual funds of Kandiyohi County. Governmental funds use the modified accrual basis of accounting. Proprietary funds use the full accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Kandiyohi County has elected to not use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: 4 Accounting Policies: Expenditures reported on the schedule are reported on the basis of accounting used by the individual funds of Kandiyohi County. Governmental funds use the modified accrual basis of accounting. Proprietary funds use the full accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Kandiyohi County has elected to not use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Reconciliation to the Schedule of Intergovernmental Revenue: Federal Grant Revenue per Schedule of Intergovernmental Revenue: $8,253,554; Expenditures above, not included as revenues on the Schedule of Intergovernmental Revenues: $139,944; Revenues included on the Schedule of Intergovernmental Revenue that are not considered Federal Grant Expenditures: $(274,407); Expenditures per Schedule of Expenditures of Federal Awards: $8,119,091.

Finding Details

Finding 2022-004
TIMELY REIMBURSEMENT REQUESTS (2022-004) Federal Agency: U.S. Department of Transportation Federal Program Name: Highway Planning and Construction (Highway Planning and Construction Cluster) Assistance Listing Number: 20.205 Pass-Through Agency: Minnesota Department of Transportation Pass-Through Numbers: 34-604-032, T8C309 Federal Award Identification Number and Year: 1030034, T8C309, 2022 Compliance Requirement Affected: Reporting Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Title 2 U.S. Code of Federal Regulations § 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition: In September 2022, the county requested reimbursement for project costs totaling 933,846 for expenditures incurred during August 2021 through July of 2022. Questioned Costs: None. Context: During our testing of reports submitted in 2022, it was noted the County has not submitted reimbursement requests timely. Cause: The County does not have policies or procedures in place to ensure reimbursement requests are submitted timely after costs are incurred. Effect: By submitting untimely reimbursement requests, the County is not receiving funds it is owed in a timely manner, which has the potential to cause cash flow shortages. It also increases the likelihood that federal expenditures reported on the Schedule of Expenditures of Federal Awards (SEFA) are not accurate, causing the potential of the SEFA to be materially misstated. Repeat Finding: Yes, Finding 2021-003. Recommendation: We recommend the County review internal controls currently in place and design and implement procedures to request reimbursements timelier and to submit requests for reimbursements on at least a quarterly basis. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement procedures to ensure timely submission of reimbursement requests.
Finding 2022-004
TIMELY REIMBURSEMENT REQUESTS (2022-004) Federal Agency: U.S. Department of Transportation Federal Program Name: Highway Planning and Construction (Highway Planning and Construction Cluster) Assistance Listing Number: 20.205 Pass-Through Agency: Minnesota Department of Transportation Pass-Through Numbers: 34-604-032, T8C309 Federal Award Identification Number and Year: 1030034, T8C309, 2022 Compliance Requirement Affected: Reporting Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Title 2 U.S. Code of Federal Regulations § 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition: In September 2022, the county requested reimbursement for project costs totaling 933,846 for expenditures incurred during August 2021 through July of 2022. Questioned Costs: None. Context: During our testing of reports submitted in 2022, it was noted the County has not submitted reimbursement requests timely. Cause: The County does not have policies or procedures in place to ensure reimbursement requests are submitted timely after costs are incurred. Effect: By submitting untimely reimbursement requests, the County is not receiving funds it is owed in a timely manner, which has the potential to cause cash flow shortages. It also increases the likelihood that federal expenditures reported on the Schedule of Expenditures of Federal Awards (SEFA) are not accurate, causing the potential of the SEFA to be materially misstated. Repeat Finding: Yes, Finding 2021-003. Recommendation: We recommend the County review internal controls currently in place and design and implement procedures to request reimbursements timelier and to submit requests for reimbursements on at least a quarterly basis. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement procedures to ensure timely submission of reimbursement requests.
Finding 2022-005
CASE FILE REVIEW (2022-005) Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance (Medicaid Cluster) Assistance Listing Number: 93.778 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2205MN5MAP, 2205MN5ADM Federal Award Identification Number and Year: 2205MN5MAP, 2205MN5ADM, 2022 Compliance Requirement Affected: Eligibility Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Standard internal control procedures recommend internal reviews over case file eligibility determinations to ascertain case workers are complying with state and federal requirements and correctly determining program eligibility. Condition: The county is not performing internal casefile reviews of new medical assistance applications. Questioned Costs: None. Context: During our testing of eligibility and testing of case file reviews completed during 2022 for Medical Assistance (Medicaid Cluster), it was noted that there were no documented case file reviews performed. Cause: Since COVID-19 pandemic started there are not very many new applications, and the county is short staffed. Effect: The county could be reporting inaccurate information affecting the status of eligibility. Repeat Finding: No. Recommendation: We recommend the County review case files on a periodic basis throughout the year and document the reviews. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement and document procedures for periodic review of cash files to ensure eligibility requirements are being met.
Finding 2022-005
CASE FILE REVIEW (2022-005) Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance (Medicaid Cluster) Assistance Listing Number: 93.778 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2205MN5MAP, 2205MN5ADM Federal Award Identification Number and Year: 2205MN5MAP, 2205MN5ADM, 2022 Compliance Requirement Affected: Eligibility Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Standard internal control procedures recommend internal reviews over case file eligibility determinations to ascertain case workers are complying with state and federal requirements and correctly determining program eligibility. Condition: The county is not performing internal casefile reviews of new medical assistance applications. Questioned Costs: None. Context: During our testing of eligibility and testing of case file reviews completed during 2022 for Medical Assistance (Medicaid Cluster), it was noted that there were no documented case file reviews performed. Cause: Since COVID-19 pandemic started there are not very many new applications, and the county is short staffed. Effect: The county could be reporting inaccurate information affecting the status of eligibility. Repeat Finding: No. Recommendation: We recommend the County review case files on a periodic basis throughout the year and document the reviews. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement and document procedures for periodic review of cash files to ensure eligibility requirements are being met.
Finding 2022-005
CASE FILE REVIEW (2022-005) Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance (Medicaid Cluster) Assistance Listing Number: 93.778 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2205MN5MAP, 2205MN5ADM Federal Award Identification Number and Year: 2205MN5MAP, 2205MN5ADM, 2022 Compliance Requirement Affected: Eligibility Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Standard internal control procedures recommend internal reviews over case file eligibility determinations to ascertain case workers are complying with state and federal requirements and correctly determining program eligibility. Condition: The county is not performing internal casefile reviews of new medical assistance applications. Questioned Costs: None. Context: During our testing of eligibility and testing of case file reviews completed during 2022 for Medical Assistance (Medicaid Cluster), it was noted that there were no documented case file reviews performed. Cause: Since COVID-19 pandemic started there are not very many new applications, and the county is short staffed. Effect: The county could be reporting inaccurate information affecting the status of eligibility. Repeat Finding: No. Recommendation: We recommend the County review case files on a periodic basis throughout the year and document the reviews. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement and document procedures for periodic review of cash files to ensure eligibility requirements are being met.
Finding 2022-004
TIMELY REIMBURSEMENT REQUESTS (2022-004) Federal Agency: U.S. Department of Transportation Federal Program Name: Highway Planning and Construction (Highway Planning and Construction Cluster) Assistance Listing Number: 20.205 Pass-Through Agency: Minnesota Department of Transportation Pass-Through Numbers: 34-604-032, T8C309 Federal Award Identification Number and Year: 1030034, T8C309, 2022 Compliance Requirement Affected: Reporting Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Title 2 U.S. Code of Federal Regulations § 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition: In September 2022, the county requested reimbursement for project costs totaling 933,846 for expenditures incurred during August 2021 through July of 2022. Questioned Costs: None. Context: During our testing of reports submitted in 2022, it was noted the County has not submitted reimbursement requests timely. Cause: The County does not have policies or procedures in place to ensure reimbursement requests are submitted timely after costs are incurred. Effect: By submitting untimely reimbursement requests, the County is not receiving funds it is owed in a timely manner, which has the potential to cause cash flow shortages. It also increases the likelihood that federal expenditures reported on the Schedule of Expenditures of Federal Awards (SEFA) are not accurate, causing the potential of the SEFA to be materially misstated. Repeat Finding: Yes, Finding 2021-003. Recommendation: We recommend the County review internal controls currently in place and design and implement procedures to request reimbursements timelier and to submit requests for reimbursements on at least a quarterly basis. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement procedures to ensure timely submission of reimbursement requests.
Finding 2022-004
TIMELY REIMBURSEMENT REQUESTS (2022-004) Federal Agency: U.S. Department of Transportation Federal Program Name: Highway Planning and Construction (Highway Planning and Construction Cluster) Assistance Listing Number: 20.205 Pass-Through Agency: Minnesota Department of Transportation Pass-Through Numbers: 34-604-032, T8C309 Federal Award Identification Number and Year: 1030034, T8C309, 2022 Compliance Requirement Affected: Reporting Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Title 2 U.S. Code of Federal Regulations § 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition: In September 2022, the county requested reimbursement for project costs totaling 933,846 for expenditures incurred during August 2021 through July of 2022. Questioned Costs: None. Context: During our testing of reports submitted in 2022, it was noted the County has not submitted reimbursement requests timely. Cause: The County does not have policies or procedures in place to ensure reimbursement requests are submitted timely after costs are incurred. Effect: By submitting untimely reimbursement requests, the County is not receiving funds it is owed in a timely manner, which has the potential to cause cash flow shortages. It also increases the likelihood that federal expenditures reported on the Schedule of Expenditures of Federal Awards (SEFA) are not accurate, causing the potential of the SEFA to be materially misstated. Repeat Finding: Yes, Finding 2021-003. Recommendation: We recommend the County review internal controls currently in place and design and implement procedures to request reimbursements timelier and to submit requests for reimbursements on at least a quarterly basis. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement procedures to ensure timely submission of reimbursement requests.
Finding 2022-005
CASE FILE REVIEW (2022-005) Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance (Medicaid Cluster) Assistance Listing Number: 93.778 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2205MN5MAP, 2205MN5ADM Federal Award Identification Number and Year: 2205MN5MAP, 2205MN5ADM, 2022 Compliance Requirement Affected: Eligibility Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Standard internal control procedures recommend internal reviews over case file eligibility determinations to ascertain case workers are complying with state and federal requirements and correctly determining program eligibility. Condition: The county is not performing internal casefile reviews of new medical assistance applications. Questioned Costs: None. Context: During our testing of eligibility and testing of case file reviews completed during 2022 for Medical Assistance (Medicaid Cluster), it was noted that there were no documented case file reviews performed. Cause: Since COVID-19 pandemic started there are not very many new applications, and the county is short staffed. Effect: The county could be reporting inaccurate information affecting the status of eligibility. Repeat Finding: No. Recommendation: We recommend the County review case files on a periodic basis throughout the year and document the reviews. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement and document procedures for periodic review of cash files to ensure eligibility requirements are being met.
Finding 2022-005
CASE FILE REVIEW (2022-005) Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance (Medicaid Cluster) Assistance Listing Number: 93.778 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2205MN5MAP, 2205MN5ADM Federal Award Identification Number and Year: 2205MN5MAP, 2205MN5ADM, 2022 Compliance Requirement Affected: Eligibility Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Standard internal control procedures recommend internal reviews over case file eligibility determinations to ascertain case workers are complying with state and federal requirements and correctly determining program eligibility. Condition: The county is not performing internal casefile reviews of new medical assistance applications. Questioned Costs: None. Context: During our testing of eligibility and testing of case file reviews completed during 2022 for Medical Assistance (Medicaid Cluster), it was noted that there were no documented case file reviews performed. Cause: Since COVID-19 pandemic started there are not very many new applications, and the county is short staffed. Effect: The county could be reporting inaccurate information affecting the status of eligibility. Repeat Finding: No. Recommendation: We recommend the County review case files on a periodic basis throughout the year and document the reviews. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement and document procedures for periodic review of cash files to ensure eligibility requirements are being met.
Finding 2022-005
CASE FILE REVIEW (2022-005) Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance (Medicaid Cluster) Assistance Listing Number: 93.778 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2205MN5MAP, 2205MN5ADM Federal Award Identification Number and Year: 2205MN5MAP, 2205MN5ADM, 2022 Compliance Requirement Affected: Eligibility Award Period: Year Ending December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Standard internal control procedures recommend internal reviews over case file eligibility determinations to ascertain case workers are complying with state and federal requirements and correctly determining program eligibility. Condition: The county is not performing internal casefile reviews of new medical assistance applications. Questioned Costs: None. Context: During our testing of eligibility and testing of case file reviews completed during 2022 for Medical Assistance (Medicaid Cluster), it was noted that there were no documented case file reviews performed. Cause: Since COVID-19 pandemic started there are not very many new applications, and the county is short staffed. Effect: The county could be reporting inaccurate information affecting the status of eligibility. Repeat Finding: No. Recommendation: We recommend the County review case files on a periodic basis throughout the year and document the reviews. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement and document procedures for periodic review of cash files to ensure eligibility requirements are being met.