DEPARTMENTAL GRANT APPEALS BOARD
Department of Health and Human Services
SUBJECT: New York State Department of
Social Services
Docket No. 88-120
Decision No. 968
DATE: July 19, 1988
DECISION
The New York State Department of Social Services (State) appealed
a
decision by the Family Support Administration (Agency)
disallowing
$629,357 in federal financial participation claimed by the State
under
section 403(a) of the Social Security Act (Act) for the calendar
quarter
ending December 31, 1987. The Agency found that the costs at
issue were
provided in connection with "social services" as defined at
section
2002(a)(1) of the Act. The Agency based the disallowance on
section
403(a)(3) of the Act, which prohibits federal reimbursement under
Title
IV-A for costs associated with the provision of such social
services.
Arguing for reversal of the disallowance, New York asserted that
the
disallowed costs were properly charged to Title IV-A based on
an
approved cost allocation plan. New York also maintained that
these
claims were allowable under statutory exceptions in
section
403(a)(3)(C). Finally, New York argued that at least part of
these
claims were attributable to income maintenance functions and
therefore
were allowable under section 403(a)(1).
The State acknowledged that these identical issues were addressed
and
decided in New York State Dept. of Social Services, DGAB No. 759
(1986);
and New York State Dept. of Social Services, DGAB No. 932
(1988). The
State requested that the Board issue a summary decision
consistent with
the findings and determinations we made in those
decisions. The Agency
did not object to this course of action.
We therefore sustain the disallowance of $629,357 based on Decisions
No.
759 and No. 932 (which we incorporate by.reference here), subject
to
possible reduction in accordance with those decisions.
________________________________ Donald
F.
Garrett
________________________________ Norval
D.
(John) Settle
________________________________ Judith
A.
Ballard Presiding Board Member