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HRD-80-50 1 (1980-02-07)

handle is hein.gao/gaobabafc0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE WASHINGTON. D.C. 20548 HUMAN RESOURCIEU DIVISION 1 FEBRUARY 7, 1980 B-197050 111468 The Honorable Particia Roberts Harrris T.he Secretary of Health, Education, - and Welfare Dear Mrs. Harris: Subject: State Advance Payments to Aid to Families with Dependent Children Recipients Are In- consistent with Federal Regulations7 (HRD-80-50) We recently completed a survey of the Aid to Families with Dependent Children (AFDC) program. The purpose of the survey was to examine the program policies, management characteristics, and operational procedures in six States l/ and several of their local welfare agencies to identify areas for further audit or analysis. Although we identified several matters on which addi- ticnal work is planned, we noted an issue concerning assist- ance payments that warrants your immediate attention. Pur- suant to payment policies which we believe are inconsistent with Federal regulations, New York and Massachusetts (the latter with your approval) are making advance payments to AFDC recipients and are obtaining 50-percent Federal par- ticipation. During 1978 these payments amounted to a mini- mum of about $6 million in New York and about $33.6 million in Massachusetts. In addition, an undeterminable portion of the $6 million and about $1.4 million of the $33.6 million are overpayments, which may not be recouped. (p We recommend that you disapprove the advance payment policy in Massachusetts and disallow any claims by the States for Federal participation in advance payments. A)6 6 2L)G PLO( Qj)G0337' 1/California, Illinois, Massachusetts, New York, Oregon, and Texas. S 6/ O(105054)

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