Finding 613336 (2022-004)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2022
Accepted
2023-03-29
Audit: 28121
Organization: Milwaukee Public Schools (WI)

AI Summary

  • Core Issue: The IEP ratio in the FY21 cost report was overstated by 42 students due to lack of support from the Medicaid-eligible student list.
  • Impacted Requirements: The inaccurate IEP ratio affects the allocation of Medicaid costs versus total special education costs for direct medical services.
  • Recommended Follow-Up: Ensure the IEP ratio is verified against a complete list of Medicaid-eligible students and total IEP students receiving medical services.

Finding Text

Federal ID Number and Program Name: 93.778 Medical Assistance Program Federal Agency: U.S. Department of Health and Human Services Award Amount: $9,422,655 Award Number: N/A Criteria: According to the Wisconsin School-Based Services Medicaid Cost Report and Cost Settlement Training Guide, the IEP ratio is reported within the General and Statistical Information section of the online annual cost report and is used to apportion Medicaid allowable costs versus total special education costs for direct medical services. The IEP ratio is made up of the ?Number of Unique Medicaid Eligible with a prescribed Medical Service in the IEP? (numerator) and the ?Number of Unique SPED Students with a prescribed Medical Service in the IEP.? Condition: The numerator of the IEP ratio reported in the FY21 annual cost report was not supported by the list of Medicaid-eligible students and was overstated by 42 students. The ratio reported in the annual cost report was 33.21% and the ratio calculated based on the number of Medicaid-eligible students should have been 32.68%. Cause: The numerator was not based on a list of Medicaid-eligible students. Questioned Costs: Could not be determined. Context: The numerator and denominator of the IEP ratio were compared to the student listing. No sampling occurred for this test. Effect: Since the IEP Ratio is used to apportion Medicaid allowable costs versus total special education costs for direct medical services, the Medicaid apportionment could be incorrect. Recommendation: We recommend the IEP ratio be supported by a list of Medicaid-eligible students and a list of the total number of IEP students that receive a medical service. Views of Responsible Official: Management concurs with the finding.

Categories

Allowable Costs / Cost Principles

Other Findings in this Audit

  • 36894 2022-004
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
84.010 Title I Grants to Local Educational Agencies $83.66M
10.555 National School Lunch Program $38.11M
84.027 Special Education_grants to States $18.77M
84.367 Supporting Effective Instruction State Grants $10.17M
10.553 School Breakfast Program $9.60M
93.778 Medical Assistance Program $9.42M
84.424 Student Support and Academic Enrichment Program $6.95M
84.287 Twenty-First Century Community Learning Centers $4.07M
84.377 School Improvement Grants $1.79M
10.582 Fresh Fruit and Vegetable Program $1.22M
84.048 Career and Technical Education -- Basic Grants to States $1.18M
84.206 Javits Gifted and Talented Students Education $956,517
84.173 Special Education_preschool Grants $659,335
15.662 Great Lakes Restoration $612,670
10.558 Child and Adult Care Food Program $580,825
84.299 Indian Education -- Special Programs for Indian Children $492,669
15.916 Outdoor Recreation_acquisition, Development and Planning $399,225
84.351 Arts in Education $376,559
32.009 Emergency Connectivity Fund Program $329,595
84.282 Charter Schools $186,859
20.205 Highway Planning and Construction $154,536
66.469 Geographic Programs - Great Lakes Restoration Initiative $148,408
84.196 Education for Homeless Children and Youth $143,243
93.600 Head Start $116,271
10.559 Summer Food Service Program for Children $71,157
93.566 Refugee and Entrant Assistance_state Administered Programs $49,303
11.419 Coastal Zone Management Administration Awards $43,969
84.411 Education Innovation and Research $40,092
84.060 Indian Education_grants to Local Educational Agencies $38,837
93.500 Pregnancy Assistance Fund Program $20,760
84.365 English Language Acquisition State Grants $17,059
84.425 Education Stabilization Fund $5,249
10.664 Cooperative Forestry Assistance $3,792
10.575 Farm to School Grant Program $2,815
84.184 School Safety National Activities $698
81.041 State Energy Program $-4,767