Finding Text
Federal Agency: U.S. Department of Health and Human Services
Federal Program Name: Medical Assistance (Medicaid Cluster), Foster Care – Title IV-E
Assistance Listing Number: 93.778, 93.658
Pass-Through Agency: Minnesota Department of Human Services
Pass-Through Numbers: 2305MN5MAP, 2305MN5ADM, 2301MNFOST
Federal Award Identification Number and Year: 2305MN5MAP, 2305MN5ADM, 2301MNFOST, 2023
Compliance Requirement Affected: Activities Allowed/Allowable Costs
Award Period: Year Ending December 31, 2023
Type of Finding: Significant Deficiency in Internal Control over Compliance and Other Matters
Criteria or Specific Requirement: All staff coded to Section A on the 2550 and section 1 of the 2556 report should be included on the RMS listing provided to MN DHS.
Condition: Inconsistencies noted between the time study listing and the payroll report codes related to those listings.
Questioned Costs: None.
Context: For 1 of 2 IMRMS quarters tested, auditor noted one employee who was improperly excluded from the time study listing. For 1 of 2 quarters of the SSTS tested, auditor noted one employee who had resigned before the cutoff but was not removed from the quarterly time study listing. Through time study testing, auditor noted many instances where employees who were included on the time study were being recorded to the wrong payroll code, and thus the wrong line of the 2550 and 2556 reports.
Cause: Fiscal Supervisor who review the time study listing does not have access to make changes in payroll and changes that are requested are not always entered.
Effect: Ineligible payroll costs could be reported.
Repeat Finding: No.
Recommendation: It is recommended that the county streamline the payroll change process between the payroll department and human services department.
Views of Responsible Officials and Planned Corrective Actions: There is no disagreement with the audit finding. The County will revise procedures around the review of the payroll reports for the human services department.