HomeMy WebLinkAboutMINUTES - 12052005 - C.88 TO: BOARD OF SUPERVISORS _ Contra
FROM: INTERNAL OPERATIONS COMMITTEE .
Costa
DATE: DECEMBER 5,2005 °as;__ County
SUBJECT: FOOD STAMP ERROR RATE UPDATE
i
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
RECOMMENDATION:
ACCEPT report prepared by the Employment and Human Services Director on the status of efforts to
reduce the County's food stamp error rate and DIRECT that a status report be made to the Internal
Operations Committee in May 2006.
BACKGROUND:
On February 5,2002,the Board of Supervisors referred to the Internal Operations Committee(IOC) a
letter from the State Department of Health and Human Services appealing to the Board to make a strong
commitment to improving California's overall performance in administering the Food Stamp Program,
and the task of overseeing the development of a Corrective Action Plan to reduce the County's error rate.
The IOC has been monitoring this problem on an annual basis and, as a result of corrective strategies
implemented by the Department, the food stamp error rate has been steadily decreasing since 2001. In
federal fiscal year 2004, the Employment and Human Services Department attained the second lowest
error rate in the State of California and was publicly commended by the Board of Supervisors.
CONTINUED ON ATTACHMENT: YES SIGNATURE:9�;� A�e�
_RECOMMENDATION OF COUNTY ADMINISTRATOR ./ COMMENDA O OF BOARD COMMITTEE
_yGAPPROVE OTHER
SIGNATURE(S
C*YLE B.U EMA,CHAIR MARK DeMuUiWX
ACTION OF BOARD ON APPROVE AS RECOMMENDED OTHER
VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE
�w1' AND CORRECT COPY OF AN ACTION TAKEN
UNANIMOUS(ABSENT / _ } AND ENTERED ON THE MINUTES OF THE
BOARD OF SUPERVISORS ON THE DATE
AYES: NOES: SHOWN.
ABSENT: ABSTAIN:
ATTESTED: JANUARY 10,2006
CONTACT: JULIE ENEA(925)335-1077
JOHN SWEETEN,CLERK OF THE BOARD OF SUPERVISORS
AND COUNTY ADMINISTRATOR
CC: INTERNAL OPERATIONS COMMITTEE STAFF
COUNTY ADMINISTRATOR
EMPLOYMENT AND HUMAN SERVICES DIRECTOR
BY 6811"I'Y
Food Stamp Error Rate Update December 5,2005
Internal Operations Committee Page 2
The Employment and Human Services Department reported to the Board of Supervisors on this matter in
May 2005 and made follow-up reports to the IOC on October 17 and December 5. The Department
Director was pleased to advise the IOC that the County's error rate continues to be maintained at a level
well below the state and national averages for the first nine months of the federal fiscal year 2005.
The Department Director cautioned the Committee that the Department's implementation of the
California Works Information Network(CalWIN) system will require diligence in re-evaluating and
revising business processes, and training staff on new processes and controls.
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EMPLOYMENT AND HUMAN SERVICES
CONTRA COSTA COUNTY
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DATE November 23, 2005
TO Supervisor M. DeSaulnier
Supervisor G. B. Uilkema
Internal Operations Committee
FROM John B. Cullen, Directo
SUBJECT Food Stamp Error Rate
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Recommendations
ACCEPT the report presented by the ESHD Director on the status of efforts to impact the
Food Stamp error rate;
REPORT OUT to the Board of Supervisors regarding success in achieving the goal of
lowering Contra Costa's rate below the Federal Tolerance Level.
BACKGROUND
The Food Stamp Program was designed to provide assistance to hungry people, regardless
of their age, gender, marital or family status. It is one of the few federal programs that
have maintained its position las a federal entitlement program for people who need
assistance making ends meet.
Contra Costa County provides Food Stamp assistance to approximately 29,180 residents
resulting in 12,252 cases. Our Food Stamp issuances through the Electronic Benefits
Transfer (EBT) system for Federal Fiscal Year (FFY) 2004 were $26,666,851. EBT
issuances for FFY 2005 were $33,508,646.
The federal government requires and funds states to administer the Food Stamp Program.
Accuracy measurements are determined by Quality Control reviews of Food Stamp
cases. Each state is required to maintain an error rate at or below 105% of the federal
tolerance level. The Federal Tolerance Level is an average of all the states' error rates.
California counties administerJthe Food Stamp Program and are, therefore, held liable for
performance. The consequence of not meeting this standard is that fiscal sanctions may
be applied to the State and County. In past years, California has not operated within the
Federal Tolerance and has had sanctions in excess of $150 million levied by the U.S.
Department of Agriculture. Following negotiations between the Federal and State
governments, we have been allowed to `reinvest' County funds into lowering our error
rates instead of actually paying the sanctions.
Internal Operations Committee
Food Stamp Error Rate
November 23, 2005
Page 2 of 4
Federal Fiscal Year(FFY) 2001
California's problems began in+FFY 2001 when the State's error rate was 17.37% with
the Federal Tolerance being 8.66%. Contra Costa's rate was 13.99% that year.
Federal Fiscal Year 2002 J
In FFY 2002, California improved to 14.84%, as did Contra Costa to 10.56%; still above
the Federal Tolerance of 8.26%I
Federal Fiscal Year 2003
For FFY 2003, the California rate was 7.96%, the Federal Tolerance Level was 6.64%
and Contra Costa's rate was 4.62%.
Federal Fiscal Year 2004 J
Completed Quality Control sampling reviews for FFY 2004 have determined a dollar
error rate of 6.32% in California, 1.73% in Contra Costa while the Federal Tolerance
Level was 5.88%. FFY 2004 was the second consecutive evaluation period that EHSD
has maintained an error rate below the Federal Tolerance Level.
Federal Fiscal Year 2005
Currently our error rate for the 2005 federal year through June 2005 is 1.67%, with
California at 5.62%, and the Federal Tolerance at 5.55%.
Many of the corrective action activities that we started during FFY 2002 have been
institutionalized throughout the department and have had a positive impact on our error
trend. These include:
• Food Stamp OversightCommittee, chaired by ESHD Director
• Quality Control Error Citation Workgroup
• Supervisory case reviews
• Secondary supervisory case reviews
• Targeted reviews
• Contract with the Rushmore Group
• Consultation with CDSS Corrective Action staff
• Improved Food Stamp Handbook and ongoing updates
• Training
• Hot Tips
• Monthly bulletin
In addition to the established practices mentioned above, ongoing payment accuracy
strategies include:
Internal Operations Committee
Food Stamp Error Rate
November 23, 2005
Page 3 of 4
• Program Integrity Unit (PIU) is responsible for developing, implementing and
monitoring all department corrective action activities. The primary function of the
PIU is to complete targeted reviews of case accuracy as well as complete secon-
dary reviews of the supervisory case reviews.
• Ongoing ad hoc reports identify specific error prone cases and are distributed to
staff for case correction. The Program Integrity Coordinator monitors these cases
to make sure necessary actions have been taken.
• Comprehensive Corrective Action Plan (CAP) provides the annual blueprint for
error reduction strategiesland builds upon efforts identified the prior year.
• Ongoing training that addresses not only program policies but also systemic issues
such as caseload management.
Another factor in lowering and+Sustaining an error rate below the Federal Tolerance level
has been the Food Stamp Policy Manager's supervision of Quality Control and Program
Integrity activities. This has strengthened interdepartmental communication and coopera-
tion, ensuring a more cohesive aJnd collaborative approach to corrective action activities.
The most common errors continue to be in the area of earned income, followed by shelter
deduction, household composition and unearned income. The majority of the errors are
agency caused, largely due to our failure to take correct action on information provided,
or applying policy incorrectly.
Lack of staff caseload management skills have contributed to agency errors. Eligibility
staff have attended mandatory caseload management training in our efforts to minimize
these types of errors. Additionally, training in the area of treatment of income has been
ongoing, especially with the implementation of Quarterly Reporting/Prospective Budget-
ing (QRPB). There have been a combined total of 1216 classroom hours of training for
both CaIWORKs and Non-Assistance Food Stamp staff addressing documentation
requirements, quarterly reporting households, quarterly reporting processing, income
averaging and adding/deleting household members. Unit supervisors have also conducted
"on the job training" via case action exercises with their staff during monthly unit
meetings.
EHSD is experiencing and managing a great deal of change as new systems and business
model changes have been implemented. There will be a requirement in the coming year to
continually re-evaluate and reuse business processes, communicate systems changes and
requirements, monitor the application of Food Stamp policy and provide sufficient
training for the administration of Food Stamps. These challenges will include:
Internal Operations Committee
Food Stamp Error Rate
November 23, 2005
Page 4 of 4
• Using a new large-scale and complex welfare payment and tracking system, Cal-
WIN, that automates the administration of Food Stamps to a significantly greater
degree than in the past.
• The continual need for managing, communicating and tracking the impact of major
CaIWIN system changes.)
• Staff learning to coordinate the use of CalWIN and CaseSTARS, the scanning and
indexing system that contains on-line case records.
• Completing the review and resolution of the discrepant cases that resulted from
converting from the Case Data System (CDS) to CalWIN.
• Making sure that staff is trained as assignments change and new staff is hired.
• Managing Food Stamp cases in a new business model, the banked caseload mode
at the Medi-Cal Service Center.
• Obtaining and retaining sufficient Staff Development staff to provide training in
Food Stamp policy and automated systems.
• Retaining a sufficient level of Quality Control (QC) and Program Integrity staff
• Addressing increased and new monitoring requirements resulting from new and
changing system reports.)
The department has been able to effectively reduce and maintain an error rate below the
Federal tolerance level through the active and informed commitment of top-level
management, the successful implementation of many corrective action activities, and the
concerted effort of staff. Although our efforts to achieve and sustain an error rate that is
below the Federal tolerance level have been successful, there have been changes within
the last six months that could possibly increase the Food Stamp error rate in the future.
We are continuing to work closely with the California Department of Social Services
(CDSS) and other counties to identify and address error prone new systems procedures as
quickly as possible. It is our goal to put appropriate solutions in place to minimize any
increases in the Food Stamp error rate while we continue with the implementation of
CalWIN.
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