Finding 977295 (2021-004)

Information on the Federal Program U.S. Department of Health and Human Services (USDHHS) Passed through NJ Department of Human Services (NJDHS) Title XIX, Medical Assistance Program - Medicaid Cluster Assistance Listing Number # 93.778 Criteria or Specific Requirement Compliance Requirement L – Reporting New Jersey Department of Human Services County Welfare Agency Accounting Manual (Ruling 12), Chapter 1, Section 1330 requires all unidentified differences on the bank reconciliations should be resolved and the required monthly reports should be corrected. Condition The Assistance and Clearing Fund bank reconciliations prepared through December 31, 2021 contained significant unidentified adjustments on the reconciliation that should be identified and the necessary adjustments should be made on the corresponding Division of Family Development reports. Questioned Costs None. Context As required by New Jersey Department of Human Services County Welfare Agency Accounting Manual (Ruling 12), Chapter 1, Section 1330, all unidentified differences on the bank reconciliations should be resolved. Effect or Potential Effect Errors or irregularities could develop and go undetected. In addition, the required monthly reporting may be incorrect. Cause Internal control weakness. Identification as a Repeat Finding Yes. Recommendation The Board of Social Services should research all unidentified adjustments on the bank reconciliations and make the necessary adjustments on the corresponding reports submitted to the Division of Family Development. View of Responsible Officials and Planned Corrective Action The responsible officials agree with the finding and will address the matter as part of their corrective action plan.