Finding Text
FINDING REFERENCE NUMBER 2023-045 (See Finding Reference Number 2023-017)
FEDERAL PROGRAM (ALN – 93.558) TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF)
U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES
AWARD NUMBERS 2021G996117; 2022G996117; 2023996117 (Federal Award Years: 2021 through 2023)
ADMINISTRATION ADMINISTRATION FOR SOCIOECONOMIC DEVELOPMENT OF THE FAMILY (ADSEF, BY ITS SPANISH ACRONYM)
COMPLIANCE REQUIREMENT MATCHING, LEVEL OF EFFORT, EARMARKING
TYPE OF FINDING MATERIAL NONCOMPLIANCE AND MATERIAL WEAKNESS
CRITERIA The 45 CFR sections 264.1(c) and (e)) and 42 USC 608(a)(7)(C)(ii) establishes that the average monthly number of families that include an adult or minor child head of household, or the spouse of the head of household, who has received assistance under any state program funded by Federal TANF funds for more than 60 countable months (whether or not consecutive) may not exceed 20 percent of the average monthly number of all families to which the state provided assistance during the fiscal year or the immediately preceding fiscal year (but not both), as the state may elect. To make this determination for a fiscal year, the average monthly number of families with a head of household or spouse of a head of household who received assistance for more than 60 months would be divided by the average monthly number of families that received assistance in that fiscal year, or, if the state chooses, in the previous fiscal year.
STATEMENT OF CONDITION As part of our understanding and testing of internal controls and compliance, we requested evidence of how compliance with this requirement is monitored. In the interviews conducted, we were told that no participant could receive program assistance for more than 60 months. However, in our participant eligibility test, out of a sample of one hundred (100) beneficiaries, we found that one (1) participant had received TANF benefits for a total of 99 months. Additionally, we were not provided with any procedures manual that they have implemented that demonstrate compliance with this requirement. We requested a list of participants that could be generated by the Case Management and Information System (SAIC, by its Spanish Acronym), but this information was not provided. This represents a scope limitation.
QUESTIONED COSTS Undetermined.
PERSPECTIVE INFORMATION This is a systematic deficiency. ADSEF could not provide clear evidence of how it monitors compliance with this requirement.
STATEMENT OF CAUSE ADSEF does not have an internal control structure that provides compliance with the earmarking requirement, related to the maximum benefit period.
POSSIBLE ASSERTED EFFECT ADSEF has not established an adequate internal control procedure that provides an adequate structure for documenting compliance with this requirement.
IDENTIFICATION OF
REPEAT FINDING No reported as prior audit finding.
RECOMMENDATIONS We recommend that ADSEF management establish written procedures that clearly identify how compliance with this requirement will be monitored.