5101:9-7-02.2 Child support enforcement agency (CSEA) annual and grant closeout.

The following accounting procedures are necessary for local accountability in the closeout of state and federal funds.

(A) Annual closeout for state funded allocations.

State funded allocations will be reconciled and closed at the end of the state fiscal year (SFY).

(1) Final – April through June – quarterly expenditure reports are due to the Ohio department of job and family services (ODJFS) and shall be uploaded by the CSEA into the county finance information system (CFIS) by the fifteenth day of September each year in preparation for the annual closeout of state funded allocations.

(2) Upon receipt of all final quarterly reports as outlined in this paragraph, ODJFS will perform a reconciliation for each CSEA and, at the discretion of the ODJFS director, may redistribute appropriated funds on an allocation by allocation basis.

(a) For each appropriated fund, and based on CSEA under-spending, ODJFS will determine on a statewide basis the amount of available funds that maybe redistributed. ODJFS will then provide preliminary redistribution amounts in available funds to any CSEA that has expenditures in excess of the appropriated fund in which available funds have been identified. ODJFS will develop a formula that details the calculation for the available fund redistribution. Preliminary annual reconciliation and redistribution amounts will be forwarded to the CSEA by the thirtieth of September.

(b) A CSEA may move child support ceiling excess amounts to child support incentives or state match by submitting a coding adjustment.

(c) The results of any statewide distribution will be reflected on the annual reconciliation report. The annual reconciliation report will include:

(i) A list of allocations and state-funded allocations issued during the SFY;

(ii) The expenditures charged to those allocations;

(iii) Whether the allocations were overpaid or underpaid;

(iv) A total of all state-funded allocations for which the CSEA was overpaid; and

(v) The total of all state-funded allocations for which the CSEA was underpaid.

(3) The JFS 02717 “Annual Closeout Agreement And Certification Administrative Fund Reconciliation” (rev. 8/2007) will be generated by ODJFS for and sent to the CSEA no later than the fifteenth of October.

(a) The CSEA shall review the annual reconciliation report and return the signed closeout agreement to ODJFS no later than the last business day of October.

(b) The CSEA shall submit a written request for extension no later than ten business days prior to the original due date of the last business day of October. A request for extension must be submitted to the ODJFS fiscal supervisor and must explain the circumstances beyond the control of the CSEA. For good cause, as deemed appropriate by ODJFS, closeout agreements may be submitted no later than November ninth, if written approval from ODJFS is obtained prior to the original due date of the agreement.

(4) If the CSEA agrees with the annual reconciliation report and certifies agreement with the annual closeout amount, the CSEA will return the certification of ODJFS.

(5) If the CSEA disagrees with the annual reconciliation report, the CSEA shall return the certification form stating its disagreement, along with supporting documentation, to the ODJFS, office of fiscal and monitoring services, bureau of county finance and technical assistance (BCFTA).

The ODJFS fiscal supervisor assigned to the CSEA will review the documentation, verify the fiscal amount, and submit a report of findings to the CSEA within thirty business days of receipt of the information.

(6) If the records of ODJFS are found to be in error, ODJFS will correct the error and generate a revised annual reconciliation report and closeout agreement within fifteen business days of receipt of the ODJFS fiscal supervisor’s findings. The CSEA shall return the revised closeout agreement within fifteen business days and any applicable payment within thirty business days of receipt of the revised agreement. The identification of an error in ODJFS records may result in subsequent adjustments to statewide redistribution and ceiling excess coverage.

(7) If the records of a CSEA are found to be in error, the CSEA shall only request correction of the error if it results in monies returned to the state. The CSEA shall return the original reconciliation report and closeout agreement form within fifteen business days of receipt of the ODJFS fiscal supervisor’s findings described in paragraph (A)(5) of this rule. Payment shall be due November thirtieth or within thirty business days from receipt of the ODJFS fiscal supervisor’s findings, whichever is later.

(B) Any excess expenditures identified after statewide reconciliation occurs shall become the responsibility of the CSEA with excess expenditures. Coding adjustments will not be available for closed period allocations.

Except as noted in this paragraph, the final exchange of funds for the SFY closeout will occur as follows:

(1) The CSEA shall submit one check for the total of all allocations for which the CSEA has been overpaid unless the CSEA disagrees with the annual closeout agreement as described in paragraph (A) of this rule. Separate checks for each allocation are not necessary. Failure by the CSEA to remit payment by the due date may result in referral to the office of the attorney general for collection proceedings.

(2) When the JFS 02717 is not received pursuant to paragraph (A)(3) of this rule, the CSEA shall remit payment within thirty calendar days from the date the JFS 02717 is sent to the CSEA.

(3) ODJFS will redistribute funds to the CSEA for all allocations for which the CSEA was underpaid no later than the fifteenth of December. The redistribution process may be dependent upon the timely receipt of funds by counties with overpayments.

(C) Closeout for federal grants.

Federally funded subgrants will be reconciled quarterly throughout the grant availability period and closed at the end of the grant availability period during the normal quarterly closeout process. ODJFS will enter grant availability dates in CFIS and notify the CSEA of the closeout dates of the individual grants.

(1) At the end of the grant availability period, upon receipt of all final quarterly reports, ODJFS will perform a grant reconciliation and at the discretion of the ODJFS director, may redistribute appropriated funds on a grant by grant basis.

(a) For each grant and based on CSEA under-spending, ODJFS will determine on a statewide basis the amount of available funds that may be redistributed. ODJFS will then provide preliminary redistribution amounts to any CSEA that has expenditures in excess of the grant in which available funds have been identified. ODJFS will develop a formula that details the calculation for the available grant redistribution.

(b) The results of any statewide distribution will be reflected on the grant reconciliation report. The grant reconciliation report will include:

(i) A list of grants ending;

(ii) The expenditures charged to those grants;

(iii) Whether the grants were overpaid or underpaid;

(iv) A total of all grants for which the CSEA was overpaid; and

(v) The total of all grants for which the CSEA was underpaid.

(2) ODJFS will send the grant reconciliation report and closeout agreement to the CSEA after the end of the grant period.

(a) The CSEA shall review the grant reconciliation report and return the signed closeout agreements to ODJFS within fifteen business days of the date of receipt.

(b) If the CSEA fails to submit the closeout agreement by the required time period or submits an incomplete or inadequate report, the grant reconciliation report will be processed as final.

(3) If the CSEA disagrees with the grant reconciliation report, the CSEA shall return the certification form stating its disagreement, along with supporting documentation to the ODJFS office of fiscal and monitoring services, BCFTA.

The ODJFS fiscal supervisor assigned to the CSEA will review the documentation, verify the fiscal amount, and submit a report of findings to ODJFS within thirty calendar days of receipt of the information.

(4) If the records of ODJFS are found to be in error, the ODJFS will correct the error and generate a revised annual reconciliation report and closeout agreement within fifteen business days of receipt of the ODJFS fiscal supervisor’s findings. The CSEA shall return the revised closeout agreement within ten business days, and any applicable payment within thirty business days, of receipt of the revised agreement. The identification of an error in ODJFS records may result in subsequent adjustments to statewide redistribution and ceiling excess coverage.

(5) If the CSEA’s records are found to be in error, the CSEA shall only request correction of the error if it results in monies returned to the state. The CSEA shall return the original reconciliation report, closeout agreement form, and applicable payment within fifteen business days of receipt of the ODJFS fiscal supervisor’s findings.

(D) Any excess expenditures identified after statewide reconciliation occurs shall become the responsibility of all CSEA with excess expenditures. ODJFS will notify each CSEA of its pro-rata share of excess expenditures in each specific grant. Coding adjustments will not be available for closed grants. At the end of the grant availability period, upon receipt of all final quarterly reports, ODJFS will perform a grant reconciliation and, at the discretion of the ODJFS director, may redistribute appropriated funds on a grant by grant basis.

The final exchange of funds for the grant closeout will occur as follows:

(1) The CSEA shall submit one check for the total of all grants for which the CSEA has been overpaid unless the CSEA disagrees with the grant agreement as described in paragraph (C) of this rule. Separate checks for each grant are not necessary. Failure by the CSEA to remit payment as requested may result in referral to the office of the attorney general for collection proceedings.

(2) ODJFS will schedule the redistribution of funds to the CSEA for all grants for which the CSEA was underpaid. The redistribution process may be dependent upon the timely receipt of funds by CSEAs with overpayments.

(E) Prior period coding adjustments.

45 C.F.R. 95.7 requires that expenditures be reported within two years after the expense was incurred. Consistent with those regulations, requests for ODJFS coding adjustments must be submitted to ODJFS one quarter prior to the end of the two-year period to allow ODJFS to compile federal reports and submit for federal reimbursement.

(1) CSEAs shall submit requests for coding adjustments to ODJFS through the quarterly information consolidated plus (QuIC+) for upload into CFIS no later than seven quarters after the expense was incurred.

(a) The CSEA shall determine how the expenditure was originally reported and submit a coding adjustment to the same grant or state allocation, if still within the period of availability.

(b) If the grant or state allocation that the expenditure was charged is no longer available, the CSEA shall make the coding adjustment against the current year’s grant or allocation.

(2) Additional federal funding resulting from prior period adjustments shall be available by draw requests or as part of the annual closeout process.

(F) The CSEA shall maintain reconciliation documentation in accordance with the records retention requirements in rule 5101:9-9-21 of the Administrative Code. This documentation may be subject to inspection, monitoring, and audit by ODJFS and the Ohio auditor of state.

Replaces: Part of 5101:9-7-02

Effective: 09/03/2009

R.C. 119.032 review dates: 09/01/2014

Promulgated Under: 119.03

Statutory Authority: 3125.25, 5101.02

Rule Amplifies: 3125.25, 5101.02

Prior Effective Dates: 1/1/86 (Emer), 4/1/86, 4/2/86 (Emer), 7/1/86, 4/1/87 (Emer), 6/12/87, 12/1/87, 9/1/89 (Emer), 11/30/89, 4/1/92, 1/1/93, 5/1/93, 7/1/93, 7/8/94, 10/30/94, 11/2/95, 1/1/96, 1/30/96, 4/1/96, 6/23/96, 7/1/96, 10/12/96, 4/1/97, 9/1/98, 2/1/99, 7/15/02, 9/28/02, 3/19/07