Audit 49837

FY End
2022-12-31
Total Expended
$8.69M
Findings
18
Programs
36
Organization: Blue Earth County (MN)
Year: 2022 Accepted: 2023-06-04

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
51065 2022-002 Significant Deficiency - E
51066 2022-002 Significant Deficiency - E
51067 2022-002 Significant Deficiency - E
51068 2022-002 Significant Deficiency - E
51069 2022-003 Significant Deficiency - I
51070 2022-002 Significant Deficiency - E
51071 2022-003 Significant Deficiency - I
51072 2022-002 Significant Deficiency - E
51073 2022-003 Significant Deficiency - I
627507 2022-002 Significant Deficiency - E
627508 2022-002 Significant Deficiency - E
627509 2022-002 Significant Deficiency - E
627510 2022-002 Significant Deficiency - E
627511 2022-003 Significant Deficiency - I
627512 2022-002 Significant Deficiency - E
627513 2022-003 Significant Deficiency - I
627514 2022-002 Significant Deficiency - E
627515 2022-003 Significant Deficiency - I

Programs

ALN Program Spent Major Findings
93.563 Child Support Enforcement $1.03M Yes 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $845,229 Yes 0
93.558 Temporary Assistance for Needy Families $771,789 - 0
93.658 Foster Care_title IV-E $414,462 - 0
93.667 Social Services Block Grant $373,233 - 0
20.205 Highway Planning and Construction $358,688 - 0
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $315,715 - 0
97.039 Hazard Mitigation Grant $142,978 - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $76,158 - 0
14.267 Continuum of Care Program $73,895 - 0
93.994 Maternal and Child Health Services Block Grant to the States $61,676 - 0
93.268 Immunization Cooperative Agreements $59,164 - 0
93.575 Child Care and Development Block Grant $51,366 - 0
21.032 Local Assistance and Tribal Consistency Fund $50,000 - 0
93.069 Public Health Emergency Preparedness $44,527 - 0
93.778 Medical Assistance Program $38,565 Yes 1
97.042 Emergency Management Performance Grants $37,295 - 0
93.590 Community-Based Child Abuse Prevention Grants $35,994 - 0
16.922 Equitable Sharing Program $30,682 - 0
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $23,254 - 0
90.404 2018 Hava Election Security Grants $20,595 - 0
20.616 National Priority Safety Programs $14,831 - 0
93.669 Child Abuse and Neglect State Grants $10,923 - 0
16.606 State Criminal Alien Assistance Program $9,559 - 0
93.645 Stephanie Tubbs Jones Child Welfare Services Program $8,963 - 0
93.556 Promoting Safe and Stable Families $7,691 - 0
20.600 State and Community Highway Safety $6,974 - 0
97.012 Boating Safety Financial Assistance $6,603 - 0
16.738 Edward Byrne Memorial Justice Assistance Grant Program $6,042 - 0
16.607 Bulletproof Vest Partnership Program $4,499 - 0
93.767 Children's Health Insurance Program $3,965 - 0
93.566 Refugee and Entrant Assistance_state Administered Programs $1,298 - 0
10.572 Wic Farmers' Market Nutrition Program (fmnp) $897 - 0
93.251 Early Hearing Detection and Intervention $825 - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $350 - 0
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $334 Yes 2

Contacts

Name Title Type
K3C7DK2MBJX4 Lisa Malinkski Auditee
5073044182 Miranda Wendlandt Auditor
No contacts on file

Notes to SEFA

Accounting Policies: NOTE 1REPORTING ENTITYThe Schedule of Expenditures of Federal Awards presents the activities of federal award programs expended by Blue Earth County, Minnesota. The Countys reporting entity is defined in Note 1 to the financial statements. The schedule does not include $712,208 in federal awards expended by the Blue Earth County Economic Development Authority (EDA) component unit, which was audited by other auditors.NOTE 2BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Blue Earth County under programs of the federal government for the year ended December 31, 2022. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations of Blue Earth County, it is not intended to and does not present the financial position, changes in net position, or cash flows of Blue Earth County.NOTE 3SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Blue Earth County has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.NOTE 4RECONCILIATION TO SCHEDULE OF INTERGOVERNMENTAL REVENUEFederal grant revenue per Schedule of Intergovernmental Revenues$9,036,063Grants received more than 60 days after year-end unavailable in 2022 Highway Planning and construction16,685 Promoting Safe and Stable Families2,243 Community-Based Child Abuse Prevention Grants4,137 Stephanie Tubbs Jones Child Welfare Services Program4,000Unavailable in 2021, recognized as revenue in 2022 Highway Planning and construction(23,835) Promoting Safe and Stable Families(1,667) Temporary Assistance for Needy Families(254,279) Community-Based Child Abuse Prevention Grants(9,251) COVID-19 - Stephanie Tubbs Jones Child Welfare Services Program(1,517) Child Abuse and Neglect State Grants(3,342) Childrens Health Insurance Program(2,157) Hazard Mitigation Grant(72,177) Expenditures Per Schedule of Expenditures of Federal Awards$8,694,903 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-003 Procurement Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Non-federal entities other than states must follow the procurement standards set out at 2 CFR sections 200.318 through 200.326. They must use their own documented procurement procedures, which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal statutes and the procurement requirements identified in 2 CFR Part 200. Condition/Context: For 1 of 2 vendors tested, no documentation was maintained to support the method of procurement, selection of contract type, contractor selection or rejection, or the basis for the contract price. The sample was a statistically valid sample. Questioned costs: $111,837 was paid to the vendor during 2022. Cause: County federal procurement policies were not followed. Effect: The failure to establish an effective internal control system enabled noncompliance to go undetected. Noncompliance with the grant agreement or the compliance requirement could result in the loss of federal funds to the County. Repeat Finding: No Recommendation: We recommend County management establish a system of internal controls to ensure compliance with federal procurement requirements. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-003 Procurement Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Non-federal entities other than states must follow the procurement standards set out at 2 CFR sections 200.318 through 200.326. They must use their own documented procurement procedures, which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal statutes and the procurement requirements identified in 2 CFR Part 200. Condition/Context: For 1 of 2 vendors tested, no documentation was maintained to support the method of procurement, selection of contract type, contractor selection or rejection, or the basis for the contract price. The sample was a statistically valid sample. Questioned costs: $111,837 was paid to the vendor during 2022. Cause: County federal procurement policies were not followed. Effect: The failure to establish an effective internal control system enabled noncompliance to go undetected. Noncompliance with the grant agreement or the compliance requirement could result in the loss of federal funds to the County. Repeat Finding: No Recommendation: We recommend County management establish a system of internal controls to ensure compliance with federal procurement requirements. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-003 Procurement Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Non-federal entities other than states must follow the procurement standards set out at 2 CFR sections 200.318 through 200.326. They must use their own documented procurement procedures, which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal statutes and the procurement requirements identified in 2 CFR Part 200. Condition/Context: For 1 of 2 vendors tested, no documentation was maintained to support the method of procurement, selection of contract type, contractor selection or rejection, or the basis for the contract price. The sample was a statistically valid sample. Questioned costs: $111,837 was paid to the vendor during 2022. Cause: County federal procurement policies were not followed. Effect: The failure to establish an effective internal control system enabled noncompliance to go undetected. Noncompliance with the grant agreement or the compliance requirement could result in the loss of federal funds to the County. Repeat Finding: No Recommendation: We recommend County management establish a system of internal controls to ensure compliance with federal procurement requirements. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-003 Procurement Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Non-federal entities other than states must follow the procurement standards set out at 2 CFR sections 200.318 through 200.326. They must use their own documented procurement procedures, which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal statutes and the procurement requirements identified in 2 CFR Part 200. Condition/Context: For 1 of 2 vendors tested, no documentation was maintained to support the method of procurement, selection of contract type, contractor selection or rejection, or the basis for the contract price. The sample was a statistically valid sample. Questioned costs: $111,837 was paid to the vendor during 2022. Cause: County federal procurement policies were not followed. Effect: The failure to establish an effective internal control system enabled noncompliance to go undetected. Noncompliance with the grant agreement or the compliance requirement could result in the loss of federal funds to the County. Repeat Finding: No Recommendation: We recommend County management establish a system of internal controls to ensure compliance with federal procurement requirements. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-003 Procurement Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Non-federal entities other than states must follow the procurement standards set out at 2 CFR sections 200.318 through 200.326. They must use their own documented procurement procedures, which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal statutes and the procurement requirements identified in 2 CFR Part 200. Condition/Context: For 1 of 2 vendors tested, no documentation was maintained to support the method of procurement, selection of contract type, contractor selection or rejection, or the basis for the contract price. The sample was a statistically valid sample. Questioned costs: $111,837 was paid to the vendor during 2022. Cause: County federal procurement policies were not followed. Effect: The failure to establish an effective internal control system enabled noncompliance to go undetected. Noncompliance with the grant agreement or the compliance requirement could result in the loss of federal funds to the County. Repeat Finding: No Recommendation: We recommend County management establish a system of internal controls to ensure compliance with federal procurement requirements. Views of responsible officials: There is no disagreement with the audit finding.
2022-002 Eligibility Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 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: H79TI083313 - 2020 Pass-Through Agency: Minnesota Department of Health, Minnesota Department of Health and Human Services Pass-Through Numbers: 2205MN5ADM, 2205MN5MAP, NH23IP922628 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Condition/Context: During our testing, it was noted that the County does not have a process in place to review eligibility determinations. Case file workers perform the determination without a documented review or approval process. Questioned costs: Not applicable. The County administers the program but benefits to participants in this program are paid by the State of Minnesota. Cause: The County was relying on covid waivers that minimized the county?s involvement in eligibility determinations. Effect: The auditor noted no instances of noncompliance with the provisions of eligibility however, the lack of internal controls over these compliance requirements provides an opportunity for noncompliance. Repeat Finding: No Recommendation: We recommend County management establish internal controls over eligibility. Case files should be reviewed to ensure proper documentation exists to support the eligibility determination. Views of responsible officials: There is no disagreement with the audit finding.
2022-003 Procurement Federal Agency: U.S. Department of Agriculture Federal Program Name: State Administrative Matching Grants for the Supplemental Nutrition Assistance Program Assistance Listing Number: 10.561 Federal Award Identification Number and Year: 22MN101S2514 - 202 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 22MN101S2514, 22MN127Q7503, 22MN101S2520 Award Period: January 1, 2022 through December 31, 2022 Type of Finding: ? Significant Deficiency in Internal Control over Compliance and Other Matters Criteria or specific requirement: Title 2 U.S. Code of Federal Regulations ? 200.303 states that the auditee must establish and maintain effective internal control over the federal award that provides reasonable assurance that the auditee is managing the federal award in compliance with federal statutes, regulations, and the terms and conditions of the federal award. Non-federal entities other than states must follow the procurement standards set out at 2 CFR sections 200.318 through 200.326. They must use their own documented procurement procedures, which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal statutes and the procurement requirements identified in 2 CFR Part 200. Condition/Context: For 1 of 2 vendors tested, no documentation was maintained to support the method of procurement, selection of contract type, contractor selection or rejection, or the basis for the contract price. The sample was a statistically valid sample. Questioned costs: $111,837 was paid to the vendor during 2022. Cause: County federal procurement policies were not followed. Effect: The failure to establish an effective internal control system enabled noncompliance to go undetected. Noncompliance with the grant agreement or the compliance requirement could result in the loss of federal funds to the County. Repeat Finding: No Recommendation: We recommend County management establish a system of internal controls to ensure compliance with federal procurement requirements. Views of responsible officials: There is no disagreement with the audit finding.