Finding 1154217 (2024-004)

Material Weakness Repeat Finding
Requirement
E
Questioned Costs
-
Year
2024
Accepted
2025-09-23
Audit: 367140
Organization: Kandiyohi County (MN)

AI Summary

  • Core Issue: The county is not conducting internal reviews of case files for medical assistance and foster care, which is a significant deficiency in compliance controls.
  • Impacted Requirements: This affects compliance with Title 2 U.S. Code of Federal Regulations § 200.303, which mandates effective internal controls for managing federal awards.
  • Recommended Follow-Up: The county should implement and document periodic case file reviews to ensure eligibility requirements are met and to improve compliance.

Finding Text

Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Medical Assistance (Medicaid Cluster), Foster Care – Title IV-E Assistance Listing Number: 93.778, 93.658 Pass-Through Agency: Minnesota Department of Human Services Pass-Through Numbers: 2405MN5MAP, 2405MN5ADM, 2401MNFOST Federal Award Identification Number and Year: 2405MN5MAP, 2405MN5ADM, 2401MNFOST, 2024 Compliance Requirement Affected: Eligibility Award Period: Year Ending December 31, 2024 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. Standard internal control procedures recommend internal reviews over case file eligibility determinations to ascertain case workers are complying with state and federal requirements and correctly determining program eligibility. Condition: The county is not performing internal casefile reviews of medical assistance or foster care cases. Questioned Costs: None. Context: During our testing of eligibility and testing of case file reviews completed during 2024 for Medical Assistance (Medicaid Cluster) and Foster Care – Title IV-E, it was noted that there were no documented case file reviews performed. Cause: Since the pandemic ended, the eligibility guidance has been changing rapidly, and the county is short staffed. Effect: The county could be reporting inaccurate information affecting the status of eligibility. Repeat Finding: Yes, Finding 2023-005 Recommendation: We recommend the County review case files on a periodic basis throughout the year and document the reviews. Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will implement and document procedures for periodic review of cash files to ensure eligibility requirements are being met.

Categories

Student Financial Aid Eligibility Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 1154215 2024-007
    Material Weakness Repeat
  • 1154216 2024-004
    Material Weakness Repeat
  • 1154218 2024-005
    Material Weakness Repeat
  • 1154219 2024-006
    Material Weakness Repeat
  • 1154220 2024-004
    Material Weakness Repeat
  • 1154221 2024-004
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $1.82M
93.658 Foster Care Title IV-E $1.36M
93.563 Child Support Services $726,917
93.558 Temporary Assistance for Needy Families $588,533
20.205 Highway Planning and Construction $551,754
10.557 Wic Special Supplemental Nutrition Program for Women, Infants, and Children $516,873
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $491,846
93.667 Social Services Block Grant $341,954
93.268 Immunization Cooperative Agreements $182,653
93.674 John H. Chafee Foster Care Program for Successful Transition to Adulthood $101,881
16.575 Crime Victim Assistance $75,657
16.606 State Criminal Alien Assistance Program $66,945
93.994 Maternal and Child Health Services Block Grant to the States $55,995
20.600 State and Community Highway Safety $51,699
93.354 Public Health Emergency Response: Cooperative Agreement for Emergency Response: Public Health Crisis Response $40,830
97.042 Emergency Management Performance Grants $32,483
93.778 Medical Assistance Program $29,662
20.608 Minimum Penalties for Repeat Offenders for Driving While Intoxicated $28,220
97.012 Boating Safety Financial Assistance $26,330
93.967 Centers for Disease Control and Prevention Collaboration with Academia to Strengthen Public Health $21,699
93.556 Marylee Allen Promoting Safe and Stable Families Program $14,857
16.607 Bulletproof Vest Partnership Program $13,410
93.575 Child Care and Development Block Grant $13,103
93.590 Community-Based Child Abuse Prevention Grants $12,876
93.645 Stephanie Tubbs Jones Child Welfare Services Program $6,355
93.566 Refugee and Entrant Assistance State/replacement Designee Administered Programs $3,216
93.959 Block Grants for Prevention and Treatment of Substance Abuse $1,850
93.767 Children's Health Insurance Program $700
84.181 Special Education-Grants for Infants and Families $218