The federal government is seeking a refund of $3.2 million from Ohio for exceeding the allowable Child Care Development Fund (CCDF). A Department of Health and Human Services inspector general report found that from fiscal years 2007 to 2011 the Ohio state agency had misclassified $8.4 million as quality activities expenditures instead of administrative expenditures, exceeding the 5 percent federal claim limit by $3.2 million.
Through the CCDF, the federal government has set aside $5.2 billion in block grants for states in fiscal 2012. The program was created in 1990 and is intended to help low-income families, families receiving temporary public assistance, and families transitioning from public assistance to obtain childcare so that they may work or attend school.
The Ohio state agency claimed a total of $38.5 million in federal funding for CCDF from fiscal years 2007 to 2011. The state agency agreed with the inspector general’s findings and has made corrections to the filing for the upcoming fiscal year to avoid making the same mistake in the future. However, the state has requested a waiver for $2.6 million of the $3.2 refund request because those mistaken claims occurred in fiscal years 2007 and 2008 which are now closed.
See the report here: http://oig.hhs.gov/oas/reports/region5/51300014.asp