Finding 48884 (2022-001)

Finding 2022-001 Financial Statements/Activities Allowed or Unallowed ALN #93.778 Medicaid Cluster and DHS Mental Health/Intellectual Disabilities Program. Criteria: Billings for MH/ID services should be supported by actual expenditures related to the program. Condition: During the year under audit an employee submitted improper billings for MH/ID services. Cause: Internal controls were not operating effectively and proper verifications did not occur to ensure that reimbursed units of service were valid as documented by staff. Effect: CMU was reimbursed for unallowable expenditures for the MH/ID program. Questioned Costs: 12,831, which was accrued and paid back by CMU in September 2022. Recommendation: CMU should review internal controls and revise as necessary to ensure all billings to the Credible system for the MH/ID program are supported by actual expenditures. Management?s Response: CMU agrees with the finding and has implemented procedures to correct it. CMU has paid back the funds and has accrued for the amount in the financial statements.