Finding 1228656 (2025-004)

Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Temporary Assistance for Needy Families (TANF) Assistance Listing Number: 93.558 Pass-Through Agency: Minnesota Department of Human Services and Minnesota Department of Health Federal Award Identification and Pass-Through Numbers: 2501MNTANF Award Period: Year Ended December 31, 2025 Compliance Requirement: Eligibility Type of Finding: Significant Deficiency in Internal Control over Compliance Criteria or Specific Requirement: Federal guidelines require grant recipients to implement internal controls for each direct and material compliance requirement applicable to the federal grant to ensure compliance with said requirements. Condition and Context: During testing of controls over Eligibility (i.e., casefile reviews), it was noted that there was no formal documentation on file to indicate that internal reviews were performed over public health casefiles. The sample sizes were based on guidance from chapter 11 of the AICPA Audit Guide, Government Auditing Standards and Single Audits. Questioned Costs: None noted. Cause: Lack of standard documentation procedures over internal reviews. Effect: The County may be incorrectly concluding that an applicant is eligible for the federal programs they are applying for. Repeat Finding: Yes – 2024-005. Recommendation: We recommend the County perform internal casefile reviews. In addition, the County should implement standard documentation that will formalize the performed reviews. Views of responsible officials: There is no disagreement with the audit finding. Additional documentation and specific casefile reviews will be implemented.