Audit 341573

FY End
2024-06-30
Total Expended
$8.89B
Findings
14
Programs
29
Year: 2024 Accepted: 2025-02-06
Auditor: Moss Adams LLP

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
522298 2024-003 Significant Deficiency Yes L
522299 2024-003 Significant Deficiency Yes L
522300 2024-004 Significant Deficiency Yes N
522301 2024-004 Significant Deficiency Yes N
522302 2024-004 Significant Deficiency Yes N
522303 2024-004 Significant Deficiency Yes N
522304 2024-004 Significant Deficiency Yes N
1098740 2024-003 Significant Deficiency Yes L
1098741 2024-003 Significant Deficiency Yes L
1098742 2024-004 Significant Deficiency Yes N
1098743 2024-004 Significant Deficiency Yes N
1098744 2024-004 Significant Deficiency Yes N
1098745 2024-004 Significant Deficiency Yes N
1098746 2024-004 Significant Deficiency Yes N

Programs

ALN Program Spent Major Findings
10.551 Supplemental Nutrition Assistance Program $1.02B - 0
93.767 Children's Health Insurance Program $126.63M Yes 0
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $37.86M - 0
10.542 Pandemic Ebt Food Benefits $35.89M - 0
93.563 Child Support Services $33.54M Yes 0
10.569 Emergency Food Assistance Program (food Commodities) $21.98M Yes 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $19.67M - 0
10.555 National School Lunch Program $11.55M - 0
93.788 Opioid Str $7.33M - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $6.13M - 0
10.649 Pandemic Ebt Administrative Costs $4.39M - 0
93.569 Community Services Block Grant $4.16M - 0
93.777 State Survey and Certification of Health Care Providers and Suppliers (title Xviii) Medicare $4.05M Yes 1
10.565 Commodity Supplemental Food Program $3.43M Yes 0
93.568 Low-Income Home Energy Assistance $2.24M - 0
93.566 Refugee and Entrant Assistance State/replacement Designee Administered Programs $2.15M - 0
93.493 Congressional Directives $2.02M - 0
93.778 Medical Assistance Program $2.00M Yes 1
93.243 Substance Abuse and Mental Health Services Projects of Regional and National Significance $963,165 - 0
93.558 Temporary Assistance for Needy Families $697,048 Yes 1
10.568 Emergency Food Assistance Program (administrative Costs) $641,592 Yes 0
93.829 Section 223 Demonstration Programs to Improve Community Mental Health Services $549,865 - 0
10.560 State Administrative Expenses for Child Nutrition $508,502 - 0
93.150 Projects for Assistance in Transition From Homelessness (path) $273,114 - 0
10.187 The Emergency Food Assistance Program (tefap) Commodity Credit Corporation Eligible Recipient Funds $249,999 - 0
16.838 Comprehensive Opioid, Stimulant, and Other Substances Use Program $248,110 - 0
93.958 Block Grants for Community Mental Health Services $167,667 - 0
93.982 Mental Health Disaster Assistance and Emergency Mental Health $-42,497 - 0
93.665 Emergency Grants to Address Mental and Substance Use Disorders During Covid-19 $-82,442 - 0

Contacts

Name Title Type
K49NN52HU4L7 Carolee Graham Auditee
5058279412 Kory Hoggan Auditor
No contacts on file

Notes to SEFA

Title: Note 1 – General Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, whereas certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Department has elected not to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of the State of New Mexico Health Care Authority (the Department) under programs of the federal government for the year ended June 30, 2024. 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 of Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Department, it is not intended to and does not present the financial position or changes in net position of the Department.
Title: Note 2 – Basis of Accounting Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, whereas certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Department has elected not to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, whereas certain types of expenditures are not allowable or are limited as to reimbursement. Department has elected not to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance.
Title: Note 3 – Noncash Federal Assistance Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, whereas certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Department has elected not to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance. The Department receives USDA Commodities for use in sponsoring the Food Distribution Cluster programs. The value of commodities received for the year ended June 30, 2024 was $25,414,777 and is reported in the Schedule of Expenditures of Federal Awards under the Commodity Supplemental Food Program and the Emergency Food Assistance Program, federal assistance listing numbers 10.565 and 10.569.
Title: Note 4 – Reconciliation to Financial Statements Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, whereas certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Department has elected not to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance. Federal Grant Revenue, per Statement of Revenues, Expenditures, and Changes in Fund Balance $ 8,899,886,843 Federal Grant Revenue not Directly Related to Grant Expenditures (9,306,734) Federal Grant Expenditures, per Schedule of Expenditures of Federal Awards $ 8 ,890,580,109

Finding Details

Condition: Reports required to be submitted under the Federal Funding Accountability and Transparency Act (FFATA) were not submitted during the year ended June 30, 2024. Management has not made progress on the prior year finding. Criteria: Under the requirements of FFATA (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252, the Department is required to submit reports to the Federal Funding Accountability and Transparency Act Subaward Reporting System for any subawards of $30,000 or more. Reports are due by the end of the month following the month in which the prime awardee awards any sub-award equal to or greater than $30,000. Context: FFATA reports were not submitted. Cause: The Department has not implemented the proper controls to ensure all required FFATA reports were submitted to the federal agency. Effect: Reporting requirements were not met for FFATA. Department of Health and Human Services did not receive timely reporting and did not receive all the information as requested from the Department. Questioned Costs: None Repeat Finding: This is a repeat and modified finding (prior year finding 2023-002; original finding 2021-001). Recommendation: We recommend that the Department ensure that adequate controls are in place to ensure that report due dates are met, and that reports are reviewed prior to submission to ensure that all required data is included. We further recommend that the reporting data be reviewed internally by someone other than the person preparing the reports. Current Status/Plan of Action: ASD staff from the Contracts and Procurement and Grant Management Bureau will work together to monitor any new activity that will need to be reported on the Federal Funding Accountability and Transparency Act (FFATA). ASD established and implemented a new contract/agreement system called Bonfire in January 2024. This system is an automated system that includes all the information that was entered on the Contract Request Form (CRF) that was previously used in the Contracts and Procurement Bureau and a copy of the proposed contract/agreement. Now, there is a specific field that can be used to track if any new contact/agreement must be reported on the FFATA. These contracts/agreements are reviewed and pre-approved in Bonfire by many HSD staff which include the Contract and Procurement Bureau Chief and the ASD Director/CFO. We can monitor the FFATA field as we review and provide information to the Grants Management Bureau Chief in real time. We can also run monthly reports to review and track this field to ensure that any new contracts/agreements were not missed to ensure timely FFATA reporting. ASD will ensure that a FFATA sub-award report is submitted by the of the month following the month in which HSD awards any subgrants greater than or equal to $30,000. Responsible Person: Grants Bureau Chief; Contracts and Procurement Bureau Chief
Condition: Reports required to be submitted under the Federal Funding Accountability and Transparency Act (FFATA) were not submitted during the year ended June 30, 2024. Management has not made progress on the prior year finding. Criteria: Under the requirements of FFATA (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252, the Department is required to submit reports to the Federal Funding Accountability and Transparency Act Subaward Reporting System for any subawards of $30,000 or more. Reports are due by the end of the month following the month in which the prime awardee awards any sub-award equal to or greater than $30,000. Context: FFATA reports were not submitted. Cause: The Department has not implemented the proper controls to ensure all required FFATA reports were submitted to the federal agency. Effect: Reporting requirements were not met for FFATA. Department of Health and Human Services did not receive timely reporting and did not receive all the information as requested from the Department. Questioned Costs: None Repeat Finding: This is a repeat and modified finding (prior year finding 2023-002; original finding 2021-001). Recommendation: We recommend that the Department ensure that adequate controls are in place to ensure that report due dates are met, and that reports are reviewed prior to submission to ensure that all required data is included. We further recommend that the reporting data be reviewed internally by someone other than the person preparing the reports. Current Status/Plan of Action: ASD staff from the Contracts and Procurement and Grant Management Bureau will work together to monitor any new activity that will need to be reported on the Federal Funding Accountability and Transparency Act (FFATA). ASD established and implemented a new contract/agreement system called Bonfire in January 2024. This system is an automated system that includes all the information that was entered on the Contract Request Form (CRF) that was previously used in the Contracts and Procurement Bureau and a copy of the proposed contract/agreement. Now, there is a specific field that can be used to track if any new contact/agreement must be reported on the FFATA. These contracts/agreements are reviewed and pre-approved in Bonfire by many HSD staff which include the Contract and Procurement Bureau Chief and the ASD Director/CFO. We can monitor the FFATA field as we review and provide information to the Grants Management Bureau Chief in real time. We can also run monthly reports to review and track this field to ensure that any new contracts/agreements were not missed to ensure timely FFATA reporting. ASD will ensure that a FFATA sub-award report is submitted by the of the month following the month in which HSD awards any subgrants greater than or equal to $30,000. Responsible Person: Grants Bureau Chief; Contracts and Procurement Bureau Chief
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Reports required to be submitted under the Federal Funding Accountability and Transparency Act (FFATA) were not submitted during the year ended June 30, 2024. Management has not made progress on the prior year finding. Criteria: Under the requirements of FFATA (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252, the Department is required to submit reports to the Federal Funding Accountability and Transparency Act Subaward Reporting System for any subawards of $30,000 or more. Reports are due by the end of the month following the month in which the prime awardee awards any sub-award equal to or greater than $30,000. Context: FFATA reports were not submitted. Cause: The Department has not implemented the proper controls to ensure all required FFATA reports were submitted to the federal agency. Effect: Reporting requirements were not met for FFATA. Department of Health and Human Services did not receive timely reporting and did not receive all the information as requested from the Department. Questioned Costs: None Repeat Finding: This is a repeat and modified finding (prior year finding 2023-002; original finding 2021-001). Recommendation: We recommend that the Department ensure that adequate controls are in place to ensure that report due dates are met, and that reports are reviewed prior to submission to ensure that all required data is included. We further recommend that the reporting data be reviewed internally by someone other than the person preparing the reports. Current Status/Plan of Action: ASD staff from the Contracts and Procurement and Grant Management Bureau will work together to monitor any new activity that will need to be reported on the Federal Funding Accountability and Transparency Act (FFATA). ASD established and implemented a new contract/agreement system called Bonfire in January 2024. This system is an automated system that includes all the information that was entered on the Contract Request Form (CRF) that was previously used in the Contracts and Procurement Bureau and a copy of the proposed contract/agreement. Now, there is a specific field that can be used to track if any new contact/agreement must be reported on the FFATA. These contracts/agreements are reviewed and pre-approved in Bonfire by many HSD staff which include the Contract and Procurement Bureau Chief and the ASD Director/CFO. We can monitor the FFATA field as we review and provide information to the Grants Management Bureau Chief in real time. We can also run monthly reports to review and track this field to ensure that any new contracts/agreements were not missed to ensure timely FFATA reporting. ASD will ensure that a FFATA sub-award report is submitted by the of the month following the month in which HSD awards any subgrants greater than or equal to $30,000. Responsible Person: Grants Bureau Chief; Contracts and Procurement Bureau Chief
Condition: Reports required to be submitted under the Federal Funding Accountability and Transparency Act (FFATA) were not submitted during the year ended June 30, 2024. Management has not made progress on the prior year finding. Criteria: Under the requirements of FFATA (Pub. L. No. 109-282), as amended by Section 6202 of Public Law 110-252, the Department is required to submit reports to the Federal Funding Accountability and Transparency Act Subaward Reporting System for any subawards of $30,000 or more. Reports are due by the end of the month following the month in which the prime awardee awards any sub-award equal to or greater than $30,000. Context: FFATA reports were not submitted. Cause: The Department has not implemented the proper controls to ensure all required FFATA reports were submitted to the federal agency. Effect: Reporting requirements were not met for FFATA. Department of Health and Human Services did not receive timely reporting and did not receive all the information as requested from the Department. Questioned Costs: None Repeat Finding: This is a repeat and modified finding (prior year finding 2023-002; original finding 2021-001). Recommendation: We recommend that the Department ensure that adequate controls are in place to ensure that report due dates are met, and that reports are reviewed prior to submission to ensure that all required data is included. We further recommend that the reporting data be reviewed internally by someone other than the person preparing the reports. Current Status/Plan of Action: ASD staff from the Contracts and Procurement and Grant Management Bureau will work together to monitor any new activity that will need to be reported on the Federal Funding Accountability and Transparency Act (FFATA). ASD established and implemented a new contract/agreement system called Bonfire in January 2024. This system is an automated system that includes all the information that was entered on the Contract Request Form (CRF) that was previously used in the Contracts and Procurement Bureau and a copy of the proposed contract/agreement. Now, there is a specific field that can be used to track if any new contact/agreement must be reported on the FFATA. These contracts/agreements are reviewed and pre-approved in Bonfire by many HSD staff which include the Contract and Procurement Bureau Chief and the ASD Director/CFO. We can monitor the FFATA field as we review and provide information to the Grants Management Bureau Chief in real time. We can also run monthly reports to review and track this field to ensure that any new contracts/agreements were not missed to ensure timely FFATA reporting. ASD will ensure that a FFATA sub-award report is submitted by the of the month following the month in which HSD awards any subgrants greater than or equal to $30,000. Responsible Person: Grants Bureau Chief; Contracts and Procurement Bureau Chief
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division
Condition: Required screening and valid license verification for 9 of 40 providers tested was not properly supported by the Department's records. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Criteria: 42 CFR 455.410 states that the Department must require all enrolled providers to be screened. Per 42 CFR 455.412, the Department must verify the provider’s license has not expired and is valid. Context: A sample of 40 out of approximately 23,500 providers who received payment during the year were tested to determine whether a required screening was performed before the provider was enrolled. For 9 of 40 providers tested, the Department was not able to provide documentation that the required screening was performed. Management has made progress on the prior year finding. A program was implemented to address the transfer of screening records from the legacy system into the current MMIS system and to provide monthly screenings of providers. However, due to the timing of the corrective actions, there are certain providers remaining in the system without the required screening documentation. Cause: In certain instances, information from the legacy system was not transferred to the current MMIS. Additionally, certain providers who received single-case approvals were being excluded from the revalidation processes in place. Effect: There is no documentation to show that a provider screening and license verification were conducted to show compliance with Medicaid requirements. Questioned Cost: None. Repeat Finding: This is a repeat finding (prior year finding 2023-001; original finding 2022-003). Recommendation: We recommend that the Department review and update controls to ensure proper screening and license verification is performed for all providers and that documentation of the screening and verification is retained in all cases. Current Status/Plan of Action: The Corrective Action Plan (CAP) is currently in motion with the transition from our previous Legacy enrollment system to the new Benefit Management Services (BMS) System. BMS system will track license and certification expiration dates and will auto terminate accounts with expired date. The BMS system went live on November 8, 2024, and all accounts with an expired license and certification date have been auto terminated. The State and the new vendor will complete an audit on all accounts with a missing license and certification information to ensure correct action is taken for or against the account. The action will be completed by February 1, 2025. Responsible Person: Staff Manager, Policy and Provider Services Bureau, Medical Assistance Division