Office of the Legislative Auditor - Financial Audit Division

Conclusion:

• The Department of Human Services implemented an Income and Eligibility Verification System (IEVS). However, some aspects of this system do not comply with federal regulations. We also identified significant control deficiencies that could impact the department’s ability to validate eligibility data completely and accurately.

Key Findings:

• The department lacked effective controls to validate social security numbers.
• The department did not use IEVS to validate eligibility data for many federal program recipients.
• The department has not clearly defined how IEVS discrepancy data impacts the eligibility of Medical Assistance recipients.

Audit Scope:

Audit Period:
As of December 2004

• Income and Eligibility Verification System Controls
• Social Security Enumeration Controls

Background:

This information technology audit assessed the adequacy of income and eligibility data validation controls. Federal regulations require all states to maintain an Income and Eligibility Verification System. IEVS is a series of computerized file matches used to validate the accuracy and completeness of data provided by applicants and recipients of public assistance. The department used IEVS to validate data for the Medical Assistance, Temporary Assistance for Needy Families, and Food Stamps programs.