Finding 199940 (2022-003)

Significant Deficiency Repeat Finding
Requirement
P
Questioned Costs
-
Year
2022
Accepted
2023-09-30

AI Summary

  • Core Issue: Waiver approvals for asset ceilings were not obtained in two cases, violating LSC financial eligibility policies.
  • Impacted Requirements: LSC Reg.# 1611.3.d mandates that asset ceilings must be established and waivers documented for specific applicants.
  • Recommended Follow-Up: Continue training for intake staff on the importance of securing and documenting asset ceiling waiver approvals.

Finding Text

2022-003 Waiver of asset ceilings Legal Services Corporation ALN#09.233100 Criteria: Per LSC Reg.# 1611.3.d Financial eligibility policies, (1) As part of its financial eligibility policies, every recipient shall establish reasonable asset ceilings for individuals and households. In establishing asset ceilings, the recipient may exclude consideration of a household?s principal residence, vehicles used for transportation, assets used in producing income, and other assets which are exempt from attachment under State or Federal law. (2) The recipient?s policies may provide authority for waiver of its asset ceilings for specific applicants under unusual circumstances and when approved by the recipient?s Executive Director, Project Director, or his/her designee. When the asset ceiling is waived, the recipient shall record the reasons for such waiver and shall keep such records as are necessary to inform the Corporation of the reasons for such waiver. Per Legal Services NYC policy, asset ceiling is $25,000. Condition: A couple of instances were noted during LSC case file testing, where waiver approvals of asset ceilings were not obtained. These cases were open prior to 2022 that remained open or closed in 2022. Cause: For one instance, the case information was correctly entered in the case management system. However, the advocate did not complete or click ?continue? in the system. As a result, the system did not capture the financial information that would indicate that the case is not LSC eligible. For another instance noted, the intake paralegal did not obtain an approval for the asset override. Effect: Incorrect or incomplete financial eligibility documentation may result in improperly including or excluding clients from receiving services under the LSC program. Context: Out of sixty (60) LSC cases selected for testing, a waiver approval of asset ceilings for two (2) cases was not obtained. Questioned costs: There are no questioned costs noted. Recommendation: We recommend that Legal Services NYC continue to provide relevant trainings to the employees who handle client intake regarding maintenance of asset ceiling waiver approvals.

Corrective Action Plan

2022-003 Waiver of Asset Ceilings Legal Services Corporation ALN#09.233100 Finding: Per LSC Reg.# 1611.3.d Financial eligibility policies, (1) As part of its financial eligibility policies, every recipient shall establish reasonable asset ceilings for individuals and households. In establishing asset ceilings, the recipient may exclude consideration of a household?s principal residence, vehicles used for transportation, assets used in producing income, and other assets which are exempt from attachment under State or Federal law. (2) The recipient?s policies may provide authority for waiver of its asset ceilings for specific applicants under unusual circumstances and when approved by the recipient?s Executive Director, Project Director, or his/her designee. When the asset ceiling is waived, the recipient shall record the reasons for such waiver and shall keep such records as are necessary to inform the Corporation of the reasons for such waiver. Per Legal Services NYC policy, asset ceiling is $25,000. Out of sixty (60) LSC cases selected for testing, a waiver approval of asset ceilings for two (2) cases was not obtained. Corrective Action Taken or Planned: The paralegal who closed the case has been instructed to review for this kind of error before closing. The Compliance Officer is working with IT to see if there is a way to make the ?continue? button be required so it cannot be bypassed by clicking to page back. Upcoming trainings on closing cases will stress the importance of verifying accuracy and consistency in eligibility information before closing. The intake paralegal has been instructed not to use the Asset Override Note field to enter basic case notes, and both she and the paralegal who closed the case has been instructed to verify eligibility information against other data in the case before closing. Financial eligibility training will emphasize that the Asset Override Note field should only be used for relevant information, and continue to emphasize that Asset Waivers require written supervisor approval that must be uploaded into the case file.

Categories

Eligibility

Other Findings in this Audit

  • 199938 2022-001
    Significant Deficiency Repeat
  • 199939 2022-002
    Significant Deficiency Repeat
  • 776380 2022-001
    Significant Deficiency Repeat
  • 776381 2022-002
    Significant Deficiency Repeat
  • 776382 2022-003
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
09.233 Legal Services Corporation $14.10M
21.023 Covid 19 Emergency Rental Assistance Program $11.86M
93.558 Temporary Assistance for Needy Families $6.95M
16.575 Crime Victim Assistance $2.49M
93.914 Hiv Emergency Relief Project Grants $672,360
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $541,119
14.418 Private Enforcement Initiatives $451,323
16.524 Legal Assistance for Victims $355,598
14.408 Fair Housing Initiatives Program $335,509
93.569 Community Services Block Grant $318,219
21.008 Low Income Taxpayer Clinics $290,000
93.048 Special Programs for the Aging_title Iv_and Title Ii_discretionary Projects $210,685
16.588 Violence Against Women Formula Grants $140,049
64.033 Va Supportive Services for Veteran Families Program $135,000
93.667 Social Services Block Grant $134,488
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $74,013
93.778 Medical Assistance Program $68,882