Audit 359512

FY End
2024-12-31
Total Expended
$3.96M
Findings
4
Programs
23
Year: 2024 Accepted: 2025-06-23

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
565807 2024-004 Significant Deficiency - AB
565808 2024-004 Significant Deficiency - AB
1142249 2024-004 Significant Deficiency - AB
1142250 2024-004 Significant Deficiency - AB

Programs

ALN Program Spent Major Findings
93.778 Medical Assistance Program $1.43M Yes 1
93.563 Child Support Services $679,630 Yes 0
93.658 Foster Care Title IV-E $436,633 - 0
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $305,212 - 0
93.667 Social Services Block Grant $270,185 - 0
93.558 Temporary Assistance for Needy Families $253,784 - 0
10.557 Wic Special Supplemental Nutrition Program for Women, Infants, and Children $252,548 - 0
93.069 Public Health Emergency Preparedness $42,236 - 0
93.994 Maternal and Child Health Services Block Grant to the States $42,139 - 0
93.268 Immunization Cooperative Agreements $29,275 - 0
93.391 Activities to Support State, Tribal, Local and Territorial (stlt) Health Department Response to Public Health Or Healthcare Crises $28,495 - 0
93.967 Centers for Disease Control and Prevention Collaboration with Academia to Strengthen Public Health $27,393 - 0
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $23,620 - 0
93.575 Child Care and Development Block Grant $14,557 - 0
93.674 John H. Chafee Foster Care Program for Successful Transition to Adulthood $11,684 - 0
93.556 Marylee Allen Promoting Safe and Stable Families Program $8,687 - 0
93.645 Stephanie Tubbs Jones Child Welfare Services Program $3,716 - 0
93.590 Community-Based Child Abuse Prevention Grants $2,457 - 0
93.566 Refugee and Entrant Assistance State/replacement Designee Administered Programs $2,075 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $1,390 - 0
84.181 Special Education-Grants for Infants and Families $1,259 - 0
93.767 Children's Health Insurance Program $483 - 0
93.314 Early Hearing Detection and Intervention Information System (ehdi-Is) Surveillance Program $300 - 0

Contacts

Name Title Type
SAC5AXHSW6U3 Chera Sevcik Auditee
5072384757 Kristen Houle Auditor
No contacts on file

Notes to SEFA

Title: REPORTING ENTITY 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 Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Agency 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 Human Services of Faribault and Martin Counties (Agency). The Agency’s reporting entity is defined in Note 1 to the financial statements.
Title: BASIS OF PRESENTATION 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 Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Agency 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 the Agency under programs of the federal government for the year ended December 31, 2024. The information in this schedule is presented in accordance with requirements of the 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 the Agency, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Agency.
Title: RECONCILIATION TO SCHEDULE OF INTERGOVERNMENTAL REVENUE 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 Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) for all awards. Under these principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Agency has elected to not use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance. Federal Grant Revenue per Schedule of Intergovernmental Revenue: $ 4,144,701 Expenditures Above, Not Included as Revenues on the Schedule of Intergovernmental Revenues $5,712 Revenues Included on the Schedule of Intergovernmental Revenue that are not Considered Federal Grant Expenditures $(189,828) Expenditures per Schedule of Expenditures of Federal Awards $ 3,960,585

Finding Details

Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance Program (Medicaid Cluster) Assistance Listing Number: 93.778 Federal Award Identification Number and Year: 2405MN5MAP, 2405MN5ADM – 2024 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2405MN5MAP, 2405MN5ADM Compliance Requirement Affected: Allowable Costs/Allowable Activities Award Period: Year-Ended December 31, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Standard internal control and compliance procedures require that the quarterly random moment study listings reported to the MN Department of Human Services be accurate for reimbursement of allowable costs and activities relating to the 2550 Income Maintenance and 2556 Social Services quarterly reports. Condition: During testing of allowable activities requirements, it was noted the Agency did not have adequate procedures designed to ensure the quarterly Income Maintenance Random Moment Study (IMRMS) and Social Services Time Study (SSTS) listings were submitted accurately. Questioned Costs: Unknown. Context: During testing, it was noted that 2 of 2 quarters tested in IMRMS listings and 1 of 2 quarters tested in SSTS listings had employees that were not accurately being reported. Cause: Lack of oversight by management. Effect: The Agency could receive incorrect federal funding for the program if employees are not properly being reported on the IMRMS and SSTS listings. Repeat Finding: No. Recommendation: It is recommended the Agency implement procedures to ensure the IMRMS and SSTS listings are reviewed prior to submitting the listings to the state. Views of Responsible Officials: There is no disagreement with the audit finding.
Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance Program (Medicaid Cluster) Assistance Listing Number: 93.778 Federal Award Identification Number and Year: 2405MN5MAP, 2405MN5ADM – 2024 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2405MN5MAP, 2405MN5ADM Compliance Requirement Affected: Allowable Costs/Allowable Activities Award Period: Year-Ended December 31, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Standard internal control and compliance procedures require that the quarterly random moment study listings reported to the MN Department of Human Services be accurate for reimbursement of allowable costs and activities relating to the 2550 Income Maintenance and 2556 Social Services quarterly reports. Condition: During testing of allowable activities requirements, it was noted the Agency did not have adequate procedures designed to ensure the quarterly Income Maintenance Random Moment Study (IMRMS) and Social Services Time Study (SSTS) listings were submitted accurately. Questioned Costs: Unknown. Context: During testing, it was noted that 2 of 2 quarters tested in IMRMS listings and 1 of 2 quarters tested in SSTS listings had employees that were not accurately being reported. Cause: Lack of oversight by management. Effect: The Agency could receive incorrect federal funding for the program if employees are not properly being reported on the IMRMS and SSTS listings. Repeat Finding: No. Recommendation: It is recommended the Agency implement procedures to ensure the IMRMS and SSTS listings are reviewed prior to submitting the listings to the state. Views of Responsible Officials: There is no disagreement with the audit finding.
Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance Program (Medicaid Cluster) Assistance Listing Number: 93.778 Federal Award Identification Number and Year: 2405MN5MAP, 2405MN5ADM – 2024 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2405MN5MAP, 2405MN5ADM Compliance Requirement Affected: Allowable Costs/Allowable Activities Award Period: Year-Ended December 31, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Standard internal control and compliance procedures require that the quarterly random moment study listings reported to the MN Department of Human Services be accurate for reimbursement of allowable costs and activities relating to the 2550 Income Maintenance and 2556 Social Services quarterly reports. Condition: During testing of allowable activities requirements, it was noted the Agency did not have adequate procedures designed to ensure the quarterly Income Maintenance Random Moment Study (IMRMS) and Social Services Time Study (SSTS) listings were submitted accurately. Questioned Costs: Unknown. Context: During testing, it was noted that 2 of 2 quarters tested in IMRMS listings and 1 of 2 quarters tested in SSTS listings had employees that were not accurately being reported. Cause: Lack of oversight by management. Effect: The Agency could receive incorrect federal funding for the program if employees are not properly being reported on the IMRMS and SSTS listings. Repeat Finding: No. Recommendation: It is recommended the Agency implement procedures to ensure the IMRMS and SSTS listings are reviewed prior to submitting the listings to the state. Views of Responsible Officials: There is no disagreement with the audit finding.
Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance Program (Medicaid Cluster) Assistance Listing Number: 93.778 Federal Award Identification Number and Year: 2405MN5MAP, 2405MN5ADM – 2024 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2405MN5MAP, 2405MN5ADM Compliance Requirement Affected: Allowable Costs/Allowable Activities Award Period: Year-Ended December 31, 2024 Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or Specific Requirement: Standard internal control and compliance procedures require that the quarterly random moment study listings reported to the MN Department of Human Services be accurate for reimbursement of allowable costs and activities relating to the 2550 Income Maintenance and 2556 Social Services quarterly reports. Condition: During testing of allowable activities requirements, it was noted the Agency did not have adequate procedures designed to ensure the quarterly Income Maintenance Random Moment Study (IMRMS) and Social Services Time Study (SSTS) listings were submitted accurately. Questioned Costs: Unknown. Context: During testing, it was noted that 2 of 2 quarters tested in IMRMS listings and 1 of 2 quarters tested in SSTS listings had employees that were not accurately being reported. Cause: Lack of oversight by management. Effect: The Agency could receive incorrect federal funding for the program if employees are not properly being reported on the IMRMS and SSTS listings. Repeat Finding: No. Recommendation: It is recommended the Agency implement procedures to ensure the IMRMS and SSTS listings are reviewed prior to submitting the listings to the state. Views of Responsible Officials: There is no disagreement with the audit finding.