Finding 399044 (2023-007)

Significant Deficiency Repeat Finding
Requirement
E
Questioned Costs
-
Year
2023
Accepted
2024-05-30
Audit: 307652
Organization: Anson County (NC)

AI Summary

  • Core Issue: There were multiple instances of inaccurate information entry leading to eligibility errors in Medicaid applications, including cases where applicants received benefits despite exceeding income standards.
  • Impacted Requirements: Compliance with 42 CFR 435 and 2 CFR 200 was not met, as proper documentation and internal controls for eligibility determinations were lacking.
  • Recommended Follow-Up: Conduct internal reviews of files, retrain staff on documentation standards, and ensure all eligibility records are accurate and reconciled with NC FAST to prevent future errors.

Finding Text

Context: Effect: Cause: US Department of Health and Human Service Passed through the NC Dept of Health and Human Services Finding: 2023-007 SIGNIFICANT DEFICIENCY Eligibility Criteria: Condition: Context: AL # 93.778 Inaccurate Information Entry In accordance with 42 CFR 435, documentation must be obtained as needed to determine if a recipient meets specific income 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. There were 8 errors discovered during our procedures that inaccurate information was entered when determining eligibility. One applicant received assistance although the family income were above the State provided income Standard. There was no known affect to Questioned Costs: eligibility and there were no known questioned costs. We examined 60 cases from of a total of 331,466 Medicaid claims from the Medicaid beneficiary report provided by NC Department of Health and Human Services to redetermine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit. Recommendation: Files should be reviewed internally to ensure proper information is in place and necessary procedures are taken when determine eligibility. The results found or documentation made in case notes should clearly indicate what actions were performed and the results of those actions. Section III - Federal Award Findings and Questioned Costs (continued) We examined 60 cases from of a total of 331,466 Medicaid claims from the Medicaid beneficiary report provided by NC Department of Health and Human Services to redetermine eligibility. These findings are being reported with the financial statement audit as it relates to Medicaid administrative cost compliance audit. For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to North Carolina Families Accessing Services through Technology (NC FAST) and a participant could have been approved for benefits for which they were not eligible. Human error in reading the Automated Collection and Tracking System (ACTS) report and/or ineffective case review process. Program Names: Medical Assistance Views of Responsible Officials and Planned Corrective Actions: The County agrees with the finding. See corrective action plan. Identification of a repeat finding: This is a repeat finding from the immediate previous audit, 2022-007. Effect: Cause: US Department of Health and Human Service Passed through the NC Dept of Health and Human Services AL # 93.778 Finding: 2023-008 SIGNIFICANT DEFICIENCY Eligibility Criteria: Condition: 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. The results found or documentation made in case notes that clearly indicates what actions were performed and the results of those actions. The County agrees with the finding. See corrective action plan. For those certifications/re-certifications there was a chance that information was not properly documented and reconciled to NC FAST which could affect countable resource. Therefore, a participant could have been approved to receive benefits for which they were not eligible. Identification of a repeat finding: This is a repeat finding from the immediate previous audit, 2022-008. Program Names: Medical Assistance In accordance with Medicaid Manual MA-2230, Medicaid for Aged, Blind and Disabled case records should contain documentation that verifications were done in preparation of the application and these items will agree to reports in the NC FAST system. In this process, the countable resources should be calculated correctly and agree back to the amounts in the NC FAST system. Any items discovered in the verification process should be considered countable or noncountable resources and explained within the documentation. There was 1 error discovered during our procedures that resources in the county documentation and those same resources contained in NC FAST were not the same amounts or files containing resources were not properly documented to be considered countable or non-countable. Of these, one beneficiary received assistance for which the recipient was not eligible. Views of Responsible Officials and Planned Corrective Actions: Ineffective record keeping and ineffective case review process, incomplete documentation, and incorrect application of rules for purposes of determining eligibility. Inaccurate Resource Calculation Questioned Costs: The total questioned costs for the ineligibility error noted above did not meet the minimum threshold for reporting. Section III - Federal Award Findings and Questioned Costs (continued) 129

Corrective Action Plan

Corrective Action: Proposed Completion Date: Name of Contact Person: Corrective Action: Proposed Completion Date: Name of Contact Person: Corrective Action: Proposed Completion Date: Section III - Federal Award Findings and Questioned Costs (continued) Corrective Actions for findings 2023-005, 2023-006, 2023-007, 2023-008, annd 2023-009 also apply to the State Award findings. Finding: 2023-008 Section IV- State Award Findings and Questioned Costs Finding: 2023-009 The County met with all MAGI and Adult Medicaid Staff to discuss and review inadequate request for inforamtion findings, including polices for Household composition (MA-3306), MAGI Budgeting (MA-3306), and Income Calculations (MA-3300). The County will continue Second Party Reviews and conduct trainings based on findings. Training completed 5/1/2024. County will continue Second Party Reviews. Inaccurate Resources Entry Nia Broadway, Medicaid Manager The County met with all MAGI and Adult Medicaid Staff to discuss and review inadequate request for inforamtion findings, including polices for Financial Resources (MA-2230). The County will continue Second Party Reviews and conduct trainings based on findings. Training completed 5/1/2024. County will continue Second Party Reviews. Untimely Review of SSI Terminations Nia Broadway, Medicaid Manager The County County Met with all MAGI and Adult Medicaid Staff to discuss and review untimely review of SSI terminations finding, including policies for SSI Ex Parte Reviews (MA2230). The County will continue Second Party Reviews and conduct trainings based on findings. Training completed 5/1/2024. County will continue Second Party Reviews

Categories

Eligibility Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 399042 2023-005
    Significant Deficiency Repeat
  • 399043 2023-006
    Significant Deficiency Repeat
  • 399045 2023-008
    Significant Deficiency Repeat
  • 399046 2023-009
    Significant Deficiency Repeat
  • 975484 2023-005
    Significant Deficiency Repeat
  • 975485 2023-006
    Significant Deficiency Repeat
  • 975486 2023-007
    Significant Deficiency Repeat
  • 975487 2023-008
    Significant Deficiency Repeat
  • 975488 2023-009
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
21.027 Coronavirus State and Local Fiscal Recovery Funds $4.75M
93.778 Medical Assistance Program $1.12M
93.568 Low-Income Home Energy Assistance $535,234
10.561 State Administrative Matching Grants for the Supplemental Nutrition Assistance Program $444,091
93.563 Child Support Enforcement $431,761
93.558 Temporary Assistance for Needy Families $404,176
20.509 Formula Grants for Rural Areas and Tribal Transit Program $243,527
93.667 Social Services Block Grant $164,574
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $151,173
93.596 Child Care Mandatory and Matching Funds of the Child Care and Development Fund $82,017
20.106 Airport Improvement Program $78,443
93.045 Special Programs for the Aging_title Iii, Part C_nutrition Services $69,654
20.526 Buses and Bus Facilities Formula, Competitive, and Low Or No Emissions Programs $49,482
93.044 Special Programs for the Aging_title Iii, Part B_grants for Supportive Services and Senior Centers $47,635
93.217 Family Planning_services $37,130
93.767 Children's Health Insurance Program $36,400
93.069 Public Health Emergency Preparedness $30,461
93.991 Preventive Health and Health Services Block Grant $30,189
97.042 Emergency Management Performance Grants $21,443
20.703 Interagency Hazardous Materials Public Sector Training and Planning Grants $18,850
93.658 Foster Care_title IV-E $14,975
93.994 Maternal and Child Health Services Block Grant to the States $14,754
93.268 Immunization Cooperative Agreements $11,504
93.053 Nutrition Services Incentive Program $11,212
93.645 Stephanie Tubbs Jones Child Welfare Services Program $5,106
93.116 Project Grants and Cooperative Agreements for Tuberculosis Control Programs $2,000
93.556 Promoting Safe and Stable Families $507
93.977 Preventive Health Services_sexually Transmitted Diseases Control Grants $100