Finding Text
Criteria: In accordance with 42 CFR 435, documentation must be obtained as needed to determine if a recipient meets specific standards, and documentation must be maintained to support eligibility determinations. In accordance with 2 CFR 200, management should have an adequate system of internal controls procedures in place to ensure an applicant is properly determined or redetermined for benefits.
Condition: There was one (1) error discovered during our procedures that inaccurate information was entered when determining eligibility. One (1) applicant/beneficiaries that received assistance for which the recipient was not eligible.
Questioned Costs: The errors did affect eligibility, however the claims paid in error did not rise to the level of a questioned costs.
Context: We examined 91 out of 127,015 Medicaid applicants to re-determine eligibility and determined one applicant received assistance for which they were not eligible. These findings were disclosed in a separately issued spreadsheet to the North Carolina Department of Health and Human Services and are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit.
Effect: For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to NC FAST which affected countable resource and a participant could have been approved for benefits that they were not eligible. One applicant received assistance for which they were not eligible.
Identification of a repeat finding: This is a repeat finding from the immediate previous audit, 2022-001.
Cause: Ineffective record keeping and ineffective case review process, incomplete documentation, and incorrect application of rules for purposes of determining eligibility.
Recommendation: Files should be reviewed internally to ensure proper documentation is in place for eligibility. Workers should be retrained on what files should contain and the importance of complete and accurate record keeping. We recommend that all files include online verifications, documented resources of income and those amounts agree to information in NC FAST.
Views of responsible officials and planned corrective actions: The County agrees with the finding. Supervisors will perform second party reviews to ensure proper documentation is contained in files to support eligibility determinations.Workers will be retrained on what information should be maintained in case files, the importance of complete and accurate record keeping, and reserve calculations. The County finance office will also participating in the review process.