Audit 313677

FY End
2022-06-30
Total Expended
$20.16M
Findings
10
Programs
44
Organization: Rockingham County (NC)
Year: 2022 Accepted: 2022-11-14

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
453164 2022-006 Significant Deficiency - L
453165 2022-002 Significant Deficiency - E
453166 2022-003 Significant Deficiency - E
453167 2022-004 Significant Deficiency - E
453168 2022-005 Significant Deficiency - E
1029606 2022-006 Significant Deficiency - L
1029607 2022-002 Significant Deficiency - E
1029608 2022-003 Significant Deficiency - E
1029609 2022-004 Significant Deficiency - E
1029610 2022-005 Significant Deficiency - E

Programs

ALN Program Spent Major Findings
21.027 Coronavirus State and Local Fiscal Recovery Funds $8.34M Yes 0
93.778 Medical Assistance Program $2.17M Yes 4
93.658 Foster Care_title IV-E $1.03M Yes 1
14.228 Community Development Block Grants/state's Program and Non-Entitlement Grants in Hawaii $740,398 Yes 0
93.563 Child Support Enforcement $664,335 - 0
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $447,425 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $427,637 - 0
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $207,814 - 0
66.468 Capitalization Grants for Drinking Water State Revolving Funds $136,187 - 0
93.596 Child Care Mandatory and Matching Funds of the Child Care and Development Fund $130,935 - 0
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $105,181 - 0
93.568 Low-Income Home Energy Assistance $100,232 Yes 0
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $92,315 - 0
93.994 Maternal and Child Health Services Block Grant to the States $90,244 - 0
93.000 Foster Care $86,518 Yes 0
93.667 Social Services Block Grant $74,428 - 0
93.053 Nutrition Services Incentive Program $55,093 - 0
90.404 2018 Hava Election Security Grants $52,674 - 0
16.738 Edward Byrne Memorial Justice Assistance Grant Program $52,410 - 0
93.217 Family Planning_services $50,905 - 0
93.556 Promoting Safe and Stable Families $47,280 - 0
93.103 Food and Drug Administration_research $38,930 - 0
93.069 Public Health Emergency Preparedness $38,082 - 0
45.310 Grants to States $37,777 - 0
93.659 Adoption Assistance $37,538 Yes 0
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $34,487 - 0
93.991 Preventive Health and Health Services Block Grant $30,608 - 0
93.767 Children's Health Insurance Program $29,943 - 0
16.922 Equitable Sharing Program $28,493 - 0
14.218 Community Development Block Grants/entitlement Grants $28,465 - 0
93.268 Immunization Cooperative Agreements $28,312 - 0
93.645 Stephanie Tubbs Jones Child Welfare Services Program $24,348 - 0
93.498 Provider Relief Fund $17,886 - 0
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $17,333 - 0
97.042 Emergency Management Performance Grants $15,319 - 0
93.558 Temporary Assistance for Needy Families $13,463 - 0
20.106 Airport Improvement Program $10,702 - 0
20.703 Interagency Hazardous Materials Public Sector Training and Planning Grants $10,000 - 0
93.674 John H. Chafee Foster Care Program for Successful Transition to Adulthood $9,090 - 0
93.898 Cancer Prevention and Control Programs for State, Territorial and Tribal Organizations $7,500 - 0
16.606 State Criminal Alien Assistance Program $6,962 - 0
93.977 Preventive Health Services_sexually Transmitted Diseases Control Grants $100 - 0
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $50 - 0
93.566 Refugee and Entrant Assistance_state Administered Programs $2 - 0

Contacts

Name Title Type
KGCCCHJJZZ43 Patricia Galloway Auditee
3363472023 Alan Thompson Auditor
No contacts on file

Notes to SEFA

Accounting Policies: Expenditures reported in the SEFSA are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

U.S. Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: IV-E Foster Care and Adoption Assistance ClusterAL #: 93.658, 93.659Finding: 2022-006 Incorrect Family Assistance Unit DeterminationSIGNIFICANT DEFICENCYReportingCriteria: In accordance with the Child Welfare Manual, Foster Care Funding Appendix 3.5, The composition of the Aid to Families with Dependent Children (AFDC) family assistance unit must be determined first in establishing whether the child is financially needy. The family assistance unit is defined as a group of individuals whose income, resources, and needs are considered as a unit for purposes of determining AFDC eligibility. It consists of the child, natural or adoptive parents and the blood or adoptive siblings living in the same household. If the child lives with a specified relative other than a parent, the family unit will consist of only the child and any siblings that also live with the same specified relative.Condition: There were 10 errors discovered during our procedures that the family assistance unit was determined incorrectly.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs.Context: We examined 12 cases from 113 IV-E Foster Care Assistance applicants to re-determine eligibility. These findings are being reported with the financial statement audit a it relates to IV-E Foster Care administrative costs compliance audit.Effect: For those eligibility determination and re-determination, there was a chance that information was not properly documented and reconciled to North Carolina Families Accessing Services through Technology (NCFAST) and a participant could have been approved for benefits for which they were not eligible.Cause: Rockingham started to use NC FAST for the Child Welfare as a pilot county, the system was initially not designed intuitively or in a way that was easy to use. There were multiple system issues in the area of FC Financials (including issues with printed forms & documentation) until the Fund Eligibility process was resolved in January of 2020, along with a system update completed in November of 2020 to provide the ability for users to now reassess the CW Fund Eligibility. Due to the system functionality issues, the case workers were not able to enter and document the household relationship properly.Recommendation: Workers should be retrained on NCFAST functions to ensure accurate and complete information is entered into system. Files should be reviewed internally to ensure proper documentation is in place for eligibility.Views of responsible officials and planned corrective actions: The county agrees with the finding. Please refer to the corrective action plan for details.
US Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: Medical Assistance Program (Medicaid; Title XIX)AL #: 93.778Finding: 2022-002 Inaccurate Information EntrySIGNIFICANT DEFICENCYEligibilityCriteria: In accordance with 42 CFR 435, documentation must be obtained as needed to determine if a recipient meets specific standards, and documentation must be maintained to support eligibility determinations. In accordance with 2 CFR 200, management should have an adequate system of internal controls procedures in place to ensure an applicant is properly determined or redetermined for benefits.Condition: There were 7 errors discovered during our procedures that inaccurate information was entered when determining eligibility.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs.Context: We examined 60 of a total 1,085,259 Medicaid claims from the Medicaid Beneficiary report provided by NC Department of Health and Human Services to re-determine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.Effect: For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to NC FAST and a participant could have been approved for benefits for which they were not eligible.Cause: Ineffective record keeping and ineffective case review process, incomplete documentation, and incorrect application of rules for purposes of determining eligibility.Recommendation: Files should be reviewed internally to ensure proper documentation is in place for eligibility. Workers should be retrained on what files should contain and the importance of complete and accurate record keeping. We recommend that all files include online verifications, documented resources of income and those amounts agree to information in NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions.Views of responsible officials and planned corrective actions: The County agrees with the finding. Please refer to the corrective action plan for details.
US Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: Medical Assistance Program (Medicaid; Title XIX)AL #: 93.778Finding: 2022-003 Inaccurate Resources EntrySIGNIFICANT DEFICENCYEligibilityCriteria: "In accordance with Medicaid Manual MA-2230, Medicaid for Aged, Blind and Disabled case records should contain documentation that verifications were donein preparation of the application and these items will agree to reports in the NC FAST system. In this process, the countable resources should be calculated correctly and agree back to the amounts in the NC FAST system. Any items discovered in the verification process should be considered countable or noncountable resources and explained within the documentation."Condition: There was 3 errors discovered during our procedures that resources in the county documentation and those same resources contained in NC FAST were not the same amounts or files containing resources were not properly documented to be considered countable or non-countable.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs.Context: We examined 60 of a total 1,085,259 Medicaid claims from the Medicaid Beneficiary report provided by NC Department of Health and Human Services to re-determine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.Effect: For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to NC FAST and a participant could have been approved for benefits for which they were not eligible.Cause: Ineffective record keeping and ineffective case review process, incomplete documentation, and incorrect application of rules for purposes of determining eligibility.Recommendation: Files should be reviewed internally to ensure proper documentation is in place for eligibility. Workers should be retrained on what files should contain and the importance of complete and accurate record keeping. We recommend that all files include online verifications, documented resources of income and those amounts agree to information in NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions.Views of responsible officials and planned corrective actions: The County agrees with the finding. Please refer to the corrective action plan for details.
US Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: Medical Assistance Program (Medicaid; Title XIX)AL #: 93.778Finding: 2022-004 Untimely Review of SSI TerminationSIGNIFICANT DEFICENCYEligibilityCriteria: In accordance with the Medicaid Manual MA-3120, the State sends notification to the County when a participant is no longer eligible under Supplemental Security Income (SSI) determination, the County is required to initiate the ex parte review within 5 workdays of the date the termination appears on the SSI Termination Report, and complete the redetermination within 4 months of the month the case appears on the SSI Termination Report and notify the recipient about applicant's ongoing eligibility for Medicaid.Condition: 1 applicant was not reviewed timely and determined to be eligible for Medicaid when their SSI benefits were terminated.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs..Context: We examined 60 of a total 1,085,259 Medicaid claims from the Medicaid Beneficiary report provided by NC Department of Health and Human Services to re-determine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.Effect: The County did not initiate ex parte review timely, therefore, no eligibility review was completed in the required time period. The lack of follow up and certification lead to applicants receiving Medicaid benefits for which they were not eligible.Cause: Ineffective communication between departments within the Department of Social Services. One area within DSS received State communications that applicants would no longer be eligible for SSI benefits and the County needed to conduct an application process. This information was not shared with other departments in DSS from which the recipient was also receiving benefits.Recommendation: Any State communications related to applicants? benefits received by any DSS department should be shared with all areas from which the participant receives benefits. State files should be reviewed internally to ensure all actions have been properly closed and the corrective action has been taken. Workers should be retrained on what process needs to be followed when State communications are received.Views of responsible officials and planned corrective actions: The County agrees with the finding. Please refer to the corrective action plan for details.
US Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: Medical Assistance Program (Medicaid; Title XIX)AL #: 93.778Finding: 2022-005 Inadequate Request for InformationSIGNIFICANT DEFICENCYEligibilityCriteria: In accordance with 42 CFR 435, documentation must be obtained as needed to determine if a recipient meets specific standards, and documentation must be maintained to support eligibility determinations. Electronic matches are required at applications and redeterminations.Condition: There were 1 errors discovered during our procedures that inadequate information was requested at applications and/or redeterminations.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs.Context: We examined 60 of a total 1,085,259 Medicaid claims from the Medicaid Beneficiary report provided by NC Department of Health and Human Services to re-determine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.Effect: For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to NC FAST and applicants could have been approved for benefits for which they were not eligible.Cause: Ineffective record keeping and ineffective case review process, incomplete documentation, and incorrect application of rules for purposes of determining eligibility.Recommendation: Files should be reviewed internally to ensure proper documentation is in place for eligibility. Workers should be retrained on what files should contain and the importance of complete and accurate record keeping. We recommend that all files include online verifications, documented resources and income and those amounts agree to information in NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions.Views of responsible officials and planned corrective actions: The County agrees with the finding. Please refer to the corrective action plan for details.
U.S. Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: IV-E Foster Care and Adoption Assistance ClusterAL #: 93.658, 93.659Finding: 2022-006 Incorrect Family Assistance Unit DeterminationSIGNIFICANT DEFICENCYReportingCriteria: In accordance with the Child Welfare Manual, Foster Care Funding Appendix 3.5, The composition of the Aid to Families with Dependent Children (AFDC) family assistance unit must be determined first in establishing whether the child is financially needy. The family assistance unit is defined as a group of individuals whose income, resources, and needs are considered as a unit for purposes of determining AFDC eligibility. It consists of the child, natural or adoptive parents and the blood or adoptive siblings living in the same household. If the child lives with a specified relative other than a parent, the family unit will consist of only the child and any siblings that also live with the same specified relative.Condition: There were 10 errors discovered during our procedures that the family assistance unit was determined incorrectly.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs.Context: We examined 12 cases from 113 IV-E Foster Care Assistance applicants to re-determine eligibility. These findings are being reported with the financial statement audit a it relates to IV-E Foster Care administrative costs compliance audit.Effect: For those eligibility determination and re-determination, there was a chance that information was not properly documented and reconciled to North Carolina Families Accessing Services through Technology (NCFAST) and a participant could have been approved for benefits for which they were not eligible.Cause: Rockingham started to use NC FAST for the Child Welfare as a pilot county, the system was initially not designed intuitively or in a way that was easy to use. There were multiple system issues in the area of FC Financials (including issues with printed forms & documentation) until the Fund Eligibility process was resolved in January of 2020, along with a system update completed in November of 2020 to provide the ability for users to now reassess the CW Fund Eligibility. Due to the system functionality issues, the case workers were not able to enter and document the household relationship properly.Recommendation: Workers should be retrained on NCFAST functions to ensure accurate and complete information is entered into system. Files should be reviewed internally to ensure proper documentation is in place for eligibility.Views of responsible officials and planned corrective actions: The county agrees with the finding. Please refer to the corrective action plan for details.
US Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: Medical Assistance Program (Medicaid; Title XIX)AL #: 93.778Finding: 2022-002 Inaccurate Information EntrySIGNIFICANT DEFICENCYEligibilityCriteria: In accordance with 42 CFR 435, documentation must be obtained as needed to determine if a recipient meets specific standards, and documentation must be maintained to support eligibility determinations. In accordance with 2 CFR 200, management should have an adequate system of internal controls procedures in place to ensure an applicant is properly determined or redetermined for benefits.Condition: There were 7 errors discovered during our procedures that inaccurate information was entered when determining eligibility.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs.Context: We examined 60 of a total 1,085,259 Medicaid claims from the Medicaid Beneficiary report provided by NC Department of Health and Human Services to re-determine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.Effect: For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to NC FAST and a participant could have been approved for benefits for which they were not eligible.Cause: Ineffective record keeping and ineffective case review process, incomplete documentation, and incorrect application of rules for purposes of determining eligibility.Recommendation: Files should be reviewed internally to ensure proper documentation is in place for eligibility. Workers should be retrained on what files should contain and the importance of complete and accurate record keeping. We recommend that all files include online verifications, documented resources of income and those amounts agree to information in NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions.Views of responsible officials and planned corrective actions: The County agrees with the finding. Please refer to the corrective action plan for details.
US Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: Medical Assistance Program (Medicaid; Title XIX)AL #: 93.778Finding: 2022-003 Inaccurate Resources EntrySIGNIFICANT DEFICENCYEligibilityCriteria: "In accordance with Medicaid Manual MA-2230, Medicaid for Aged, Blind and Disabled case records should contain documentation that verifications were donein preparation of the application and these items will agree to reports in the NC FAST system. In this process, the countable resources should be calculated correctly and agree back to the amounts in the NC FAST system. Any items discovered in the verification process should be considered countable or noncountable resources and explained within the documentation."Condition: There was 3 errors discovered during our procedures that resources in the county documentation and those same resources contained in NC FAST were not the same amounts or files containing resources were not properly documented to be considered countable or non-countable.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs.Context: We examined 60 of a total 1,085,259 Medicaid claims from the Medicaid Beneficiary report provided by NC Department of Health and Human Services to re-determine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.Effect: For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to NC FAST and a participant could have been approved for benefits for which they were not eligible.Cause: Ineffective record keeping and ineffective case review process, incomplete documentation, and incorrect application of rules for purposes of determining eligibility.Recommendation: Files should be reviewed internally to ensure proper documentation is in place for eligibility. Workers should be retrained on what files should contain and the importance of complete and accurate record keeping. We recommend that all files include online verifications, documented resources of income and those amounts agree to information in NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions.Views of responsible officials and planned corrective actions: The County agrees with the finding. Please refer to the corrective action plan for details.
US Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: Medical Assistance Program (Medicaid; Title XIX)AL #: 93.778Finding: 2022-004 Untimely Review of SSI TerminationSIGNIFICANT DEFICENCYEligibilityCriteria: In accordance with the Medicaid Manual MA-3120, the State sends notification to the County when a participant is no longer eligible under Supplemental Security Income (SSI) determination, the County is required to initiate the ex parte review within 5 workdays of the date the termination appears on the SSI Termination Report, and complete the redetermination within 4 months of the month the case appears on the SSI Termination Report and notify the recipient about applicant's ongoing eligibility for Medicaid.Condition: 1 applicant was not reviewed timely and determined to be eligible for Medicaid when their SSI benefits were terminated.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs..Context: We examined 60 of a total 1,085,259 Medicaid claims from the Medicaid Beneficiary report provided by NC Department of Health and Human Services to re-determine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.Effect: The County did not initiate ex parte review timely, therefore, no eligibility review was completed in the required time period. The lack of follow up and certification lead to applicants receiving Medicaid benefits for which they were not eligible.Cause: Ineffective communication between departments within the Department of Social Services. One area within DSS received State communications that applicants would no longer be eligible for SSI benefits and the County needed to conduct an application process. This information was not shared with other departments in DSS from which the recipient was also receiving benefits.Recommendation: Any State communications related to applicants? benefits received by any DSS department should be shared with all areas from which the participant receives benefits. State files should be reviewed internally to ensure all actions have been properly closed and the corrective action has been taken. Workers should be retrained on what process needs to be followed when State communications are received.Views of responsible officials and planned corrective actions: The County agrees with the finding. Please refer to the corrective action plan for details.
US Department of Health and Human ServicesPassed through the NC Department of Health and Human ServicesProgram Name: Medical Assistance Program (Medicaid; Title XIX)AL #: 93.778Finding: 2022-005 Inadequate Request for InformationSIGNIFICANT DEFICENCYEligibilityCriteria: In accordance with 42 CFR 435, documentation must be obtained as needed to determine if a recipient meets specific standards, and documentation must be maintained to support eligibility determinations. Electronic matches are required at applications and redeterminations.Condition: There were 1 errors discovered during our procedures that inadequate information was requested at applications and/or redeterminations.Questioned Costs: There was no known affect to eligibility and there were no known questioned costs.Context: We examined 60 of a total 1,085,259 Medicaid claims from the Medicaid Beneficiary report provided by NC Department of Health and Human Services to re-determine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.Effect: For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to NC FAST and applicants could have been approved for benefits for which they were not eligible.Cause: Ineffective record keeping and ineffective case review process, incomplete documentation, and incorrect application of rules for purposes of determining eligibility.Recommendation: Files should be reviewed internally to ensure proper documentation is in place for eligibility. Workers should be retrained on what files should contain and the importance of complete and accurate record keeping. We recommend that all files include online verifications, documented resources and income and those amounts agree to information in NC FAST. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions.Views of responsible officials and planned corrective actions: The County agrees with the finding. Please refer to the corrective action plan for details.