Audit 408288

Fededral Agency: U.S Department of Health and Human Services Federal Program Name: Medical Assistance Program Assistance Listing Number: 93.778 Federal Award Identification Number and Year: 2505MN5ADM - 2025 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Number: 2505MN5ADM Award Period: 2025 Type of Finding: Significant Deficiency in Internal Control over Compliance, Other Matters Criteria or specific requirement: Special provisions for the program require that funds received from the state for the Local Collaborative Time Study (LCTS) be distributed within 30 days of being received by the County. Condition: The quarter three LCTS funding payment was not remitted within the 30 day window. This only applied to one of the four annual quarters. Questioned costs: None Context: Quarter three payment was received on November 13, 2025 and remitted on December 19, 2025, outside the 30 day window. Cause: The County processes did not properly ensure the timeliness of this process. Effect: The County was not in compliance with this requirement of special provisions of the program. Repeat Finding: No. Recommendation: CLA recommend that the County implement sufficient internal control procedures to ensure LCTS payments are made within 30 days of receipt. 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 Assistance Listing Number: 93.778 Federal Award Identification Number and Year: 2505MN5ADM - 2025 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Number: 2505MN5ADM Award Period: 2025 Type of Finding: Material Weakness in Internal Control over Compliance Criteria or specific requirement: All expenditure reports must be reviewed prior to submission. Condition: The County did not provide proper documentation of review for the 2025 Participant Lists for the 2550 Income Maintenance, 2556 Social Services, and 3220 Local Collaborative time random moment time studies (RMTS). Questioned costs: None Context: Formal documentation of review was not received for these reports. Cause: The County processes did not properly document review of reports. Effect: The County was not in compliance with this requirement of the program. Repeat Finding: No. Recommendation: CLA recommend that the County implement sufficient internal control procedures to ensure properly documented review of all reports. Views of responsible officials: There is no disagreement with the audit finding.