Finding Text
Finding 2023-004 – Special Tests and Provisions – Character Investigations (Material Weakness in Internal Controls over Compliance and Material Noncompliance)
Major Programs Affected –
AL Numbers Program Name Award Number Award Year
93.441 Indian Self-Determination 248-96-0027 2023
Criteria – Per 42 CFR Part 136.404, all Indian Tribes receiving funds under the authority of ISDEAA must identify positions that permit regular contact with or control over Indian children and must only employ individuals who meet minimum standards of character, as evidenced by a character investigation. Per 42 CFR Part 136.406, a satisfactory character investigation involves a fingerprint check through the Federal Bureau of Investigation (FBI), among other requirements.
Condition and Context – The Tribe is required to meet the minimum standard requirements for character investigations under the requirements of the Indian Health Services, including personnel who may have regular contact or control over children. Using a random sample methodology, we selected 3 of 8 Indian Health Services employees for testing.
For two of the three employees selected for testing, we noted character investigations were restricted to non-fingerprint checks with the Washington State Patrol (WSP) and not with a federal agency. Additionally, for the three employee files tested, there was no evidence of review of the character investigation.
Cause – Insufficient policies and internal controls over compliance for character investigations in accordance with federal requirements over Indian Health Services funding may have contributed to this finding.
Effect – Failure to adhere to these requirements may cause the suspension of funds or result in questioned costs. Failure to properly review character investigations may result in employees being hired that do not meet federal standards.
Questioned Costs – There are no questioned costs to report as it is unable to be determined if the employees met the minimum standards of character.
Recommendation – We recommend the Tribe implement a supervisory review process over the character investigations to ensure they are following ISDEAA regulations.
Views of Responsible Officials – The tribe performs background checks on all individuals before hire, we will expand that practice to include fingerprints checks for any and all employees that encounter Native Children. The Tribe will do a look back to current employees and evaluate the likelihood that they will come into contact with Native Children in their current job assignments and rolls and complete the expanded fingerprint checks on current staff. The Tribe will further identify all positions on the organization chart that could have the likelihood of encountering Native children creating a new policy around those identified positions currently on our organization chart. The Tribe will use a credit state or private agency to conduct those check in accordance with the guidelines of the Indian Self-Determination and Education Assistance Act.