Finding 1227066 (2025-001)

Finding 2025-001 Special Tests & Provisions – Payment Rate Setting and Application ALN 93.568 Foster Care – Title IV-E Criteria: In accordance with 45 CFR section 1356.21(m)(1), the County is required to review at reasonable, specific, time-limited periods the amounts of the payments made for foster care maintenance to assure their continued appropriateness. And in accordance with 45 CFR section 1356.60(a)(1), federal financial participation (FFP) is only available to title IV-E agencies under an approved title IV-E plan for allowable costs for foster care maintenance. Condition: For 2 out of 60 maintenance rates tested, we noted that the amount of foster care maintenance requested for reimbursement on the IV-E invoice was greater than the allowable rate as the rate that was requested was the previously allowable rate. Cause: The County does not have adequate procedures in place to ensure controls over Federal Special Tests & Provisions – Payment Rate Setting and Application compliance requirements are operating effectively. Effect: Adequate internal controls are not in place over Federal Special Tests & Provisions – Payment Rate Setting and Application compliance requirements and the County is not in compliance with the requirement. Questioned Costs: $464. Recommendation: Procedures should be implemented to ensure that County only requests reimbursement for the amount of allowable foster care maintenance and that rates are updated when new allowable rates are determined. Management’s Response: The County agrees with the finding and has implemented procedures to ensure all future foster care maintenance for which reimbursement is sought is allowable.