Finding 12228 (2022-003)

Significant Deficiency
Requirement
E
Questioned Costs
-
Year
2022
Accepted
2023-09-10

AI Summary

  • Core Issue: Incomplete and inaccurate documentation in the MAXIS system raises concerns about eligibility determinations for TANF benefits.
  • Impacted Requirements: Compliance with federal regulations requiring documented criteria for benefit eligibility is not being met.
  • Recommended Follow-Up: MNPrairie should enhance procedures for documentation and data entry in MAXIS, and consider additional training for staff to ensure compliance.

Finding Text

2022-003 Eligibility Prior Year Finding Number: N/A Repeat Finding Since: N/A Type of Finding: Internal Control Over Compliance and Compliance Severity of Deficiency: Significant Deficiency and Other Matter Federal Agency: U.S. Department of Health and Human Services Program: 93.558 Temporary Assistance for Needy Families Award Number and Year: 2201MNTANF; 2022 Pass-Through Agency: Minnesota Department of Human Services Criteria: Title 42 U.S. Code of Federal Regulations ? 602(a)(1)(B)(iii) requires each state to create a written document that sets forth the objective criteria for the delivery of benefits and the determination of eligibility. The Minnesota Department of Human Services? State Plan for Temporary Assistance for Needy Families (TANF) and Minn. Stat. ? 256J.10 establish the general eligibility requirements for TANF benefits. Condition: The Minnesota Department of Human Services maintains the computer system, MAXIS, which is used by MNPrairie to support the eligibility determination process. In the case files reviewed for eligibility, not all documentation was available, updated, or input correctly to support participant eligibility. The following exceptions were noted in the sample of 40 MAXIS case files tested: ? One case file viewed included child support income which was not supported by documentation on file. ? Four case files viewed either did not have updated asset amounts or the asset amounts listed were not supported by documentation on file. Questioned Costs: None. Context: The State of Minnesota and MNPrairie split the eligibility determination process. Pursuant to Minnesota statutes, MNPrairie performs the ?intake function? needed for this program, while the State maintains the MAXIS system, which supports the eligibility determination process. Participants receive benefit payments from the State. The sample size was based on guidance from chapter 11 of the AICPA Audit Guide, Government Auditing Standards and Single Audits. Effect: The lack of updated information in MAXIS documenting verification of key eligibility-determining factors increases the risk that a program participant will receive benefits when they are not eligible. Cause: Program personnel entering case data into MAXIS did not ensure all required information was input correctly or was supported and that all required information was obtained and/or retained. Recommendation: We recommend MNPrairie implement additional procedures to provide reasonable assurance that all necessary documentation to support eligibility determinations exists, the information is properly input or updated in MAXIS, and issues are followed up on in a timely manner. In addition, consideration should be given to providing further training to program personnel. View of Responsible Official: Acknowledge.

Corrective Action Plan

Finding Number: 2022-003 Finding Title: Eligibility Program: 93.558 Temporary Assistance for Needy Families Name of Contact Person Responsible for Corrective Action: Jeremy Allen Corrective Action Planned: Agency will correct the cases that were cited for errors. Supervisor will review relevant policies for assets and child support non-coop with Eligibility workers on the Family Team to provide additional support and guidance for processing of these cases. Anticipated Completion Date: 8/31/2023

Categories

Eligibility Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 12226 2022-001
    Significant Deficiency
  • 12227 2022-002
    Significant Deficiency
  • 12229 2022-004
    Significant Deficiency
  • 588668 2022-001
    Significant Deficiency
  • 588669 2022-002
    Significant Deficiency
  • 588670 2022-003
    Significant Deficiency
  • 588671 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.558 Temporary Assistance for Needy Families $1.01M
93.658 Foster Care_title IV-E $545,222
93.667 Social Services Block Grant $441,668
93.563 Child Support Enforcement $297,378
93.669 Child Abuse and Neglect State Grants $139,949
93.575 Child Care and Development Block Grant $66,292
93.556 Promoting Safe and Stable Families $55,356
93.104 Comprehensive Community Mental Health Services for Children with Serious Emotional Disturbances (sed) $50,494
21.023 Covid-19 - Emergency Rental Assistance Program $38,262
93.778 Medical Assistance Program $31,707
93.674 John H. Chafee Foster Care Program for Successful Transition to Adulthood $31,524
93.590 Community-Based Child Abuse Prevention Grants $25,030
93.645 Stephanie Tubbs Jones Child Welfare Services Program $11,578
93.767 Children's Health Insurance Program $6,966
93.566 Refugee and Entrant Assistance_state Administered Programs $2,473
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $536