DEPARTMENTAL GRANT APPEALS BOARD
Department of Health and Human Services
SUBJECT: New York State Department of Social Services
Docket No. 87-155
Decision No. 906
DATE: October 8, 1987
DECISION
The New York State Department of Social Services (State) appealed
a
decision by the Family Support Administration (Agency)
disallowing
$510,285 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, 1986. 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 Department of Social Services, Decision
No.
759, June 13, 1986. The State requested that the Board issue a
summary
decision consistent with the findings and determinations we made
in
Decision No. 759. The Agency did not object to this course of
action.
We therefore sustain the disallowance of $510,285, based on Decision
No.
759 (which we incorporate by reference.here) and subject to reduction
in
accordance with Decision No. 759 and subsequent proceedings.
________________________________ Donald
F.
Garrett
________________________________ Norval
D.
(John) Settle
________________________________ Judith
A.
Ballard Presiding Board Member