GAB Decision 625
February 19, 1985
New York State Department of Social Services;
Ballard, Judith A.; Garrett, Donald F. Teitz, Alexander G.
Docket Nos. 84-163; 84-164
In Board Docket No. 84-163, the New York State Department of Social
Services (State) appealed the disallowance dated June 25, 1984 of
$221,257 in federal financial participation (FFP) by the Administration
for Children, Youth and Families (ACYF; Agency). The disallowance was
based on claims for increasing adjustments on the Quarterly Statement of
Expenditures Report submitted December 7, 1983 and revised December 29,
1983. Some of the expenditures were for periods beginning as far back
as July 1972, and all of the expenditures were for periods prior to
October 1, 1981. The ground for disallowance was that the claims were
unallowable because they represented claims for expenditures filed more
than two years after the calendar quarter of the date of the
expenditure. The cited statutory basis for the disallowance was section
306 of Pub. L. 96-272. In Docket No. 84-164 ACYF, by letter dated June
27, 1984, disallowed a total of $1,466,243 in claims included in the
Quarterly Statement of Expenditures Report dated March 9, 1984 and
revised March 28, 1984. Of this amount of increasing adjustments,
$1,444,508 in FFP was disallowed for foster care expenditures made prior
to October 1, 1979 but not claimed by May 15, 1981, as required by
section 306 of Pub. L. 96-272 and 45 CFR 95.10. The amount of $21,735
FFP was disallowed for foster care expenditures made after September 30,
1979 but not claimed within two years after the calender quarter in
which the expenditures were made, as required by section 1132 of the
Social Security Act and 45 CFR 95.7. The State duly appealed the total
disallowance of $221,557 in Docket No. 84-163. In Docket No. 84-164 the
State did not appeal claims of $1,252,154 and $190,104 incurred by New
York City. This left the amount appealed in Docket No. 84-164 as
$23,985. In Docket No. 84-163 the Agency issued a revised disallowance
on November 16, 1984. The total amount disallowed was unchanged.
The(2) only difference in the form of the disallowance was that the
claims were divided into expenditures related to fiscal year (FY) 1979
and prior periods, which had to be filed by May 15, 1981, and claims for
FY 1980 and after which had to be filed within two years after the
calendar quarter in which the expenditures were made. In Docket No.
84-164 the Agency also issued a revised disallowance letter dated
November 16, 1984. The only difference from the original disallowance
letter was a shift of $59 from claims related to fiscal years 1976-79 to
claims for fiscal years 1980-81. The total amount of the disallowance
remained the same. The State continued to appeal the disallowances as
revised and requested that the Board issue a summary decision based on
New York State Department of Social Services, Decision No. 521, March 6,
1984. The State admitted that the same issues arose in the instant
disallowances as in Decision No. 521 and there were no distinguishing
facts in these appeals. The State submitted no new argument why the
State thought Decision No. 521 was wrong. We therefore conclude that the
claims here are barred by statutory filing limitations, and based on
Decision No. 521, which we incorporate herein, we sustain the
disallowance of $221,257 in Docket No. 84-163 and $23,985 in Docket No.
84-164.
JUNE 06, 1985