Monday, March 27, 2017

State of MIchigan Passes 2016 Federal Title IV-E Review

By Casey Anbender, Management Analyst, SCAO, Child Welfare Services Division

The 2016 Federal Title IV-E Onsite Review took place last September in Lansing.  The state of Michigan was found to be in substantial compliance by the federal government, citing a total of three case errors from the 80 cases randomly selected for review statewide.[1]  The federal government reviews state Title IV-E Programs approximately once every three years to determine whether the case files, court orders, licensing requirements, and payment records meet federal Title IV-E requirements as outlined in 45 CFR §1356.71 and §472 of the Social Security Act.

The review examines the child’s eligibility and the placement’s reimbursability, and determines if the Michigan Department of Health & Human Services (MDHHS) paid an allowable rate for each case. Michigan has passed the last four consecutive federal reviews with three error cases in 2016, zero error cases in 2013, four error cases in 2010, and four error cases in 2007.

The three error cases in the 2016 Federal Review were cited for improper payment, meaning the state paid IV-E dollars on cases that did not meet the eligibility criteria during a given time period.  Two of the improper payment periods were because of adoption finalizations.  A primary eligibility requirement for IV-E funding is that the state agency must have placement and care authority.  When the court order for adoption finalization is issued and signed, the effective date becomes the date the agency no longer has placement and care authority for the child (the adoptive parents have full custody).  In both error cases cited, the agency improperly continued to pay for day care costs with IV-E funds after the adoption finalization date.

In the third improper payment error case, a reunification order was issued by the court instructing the child be returned home the same day.  However, there was an eight-day time frame between the court order returning the child home and the child being physically placed in the parent’s home.  Title IV-E payments were improperly made to the foster home during that time frame because the MDHHS no longer had placement and care authority as of the date the child was ordered to return home.  The federal reviewers noted how important it is for children to be returned to their homes as soon as safely possible and as soon as the conditions allow.  Courts and local MDHHS offices are encouraged to implement same-day exchange of court orders for reunification cases to expedite permanency, just as the courts have implemented same-day exchange of removal orders.  Both time frames are critical in child protection cases because they significantly impact parental rights.

In the final report issued by the Federal Department of Health & Human Services December 9, 2016, quality judicial determinations were cited as a program strength for the state:

“The MDHHS and the court have collaborated to strengthen the efficiency of actions through training and support of judges, attorneys, and other court staff, particularly in terms of the required judicial determinations.  The judicial determinations were timely and included rulings that facilitated timely permanency plans.  Judicial determinations also were child-specific and those pertaining to the child’s removal clearly outlined the circumstances under which the child was removed from the home…”  
None of the errors cited during the 2016 Federal Onsite Review were directly related to court order errors.  All of the court orders reviewed included the necessary legal findings, and federal reviewers repeatedly commented on how thorough and case-specific judicial officers were in making their findings during case reads.  Local collaboration between the courts and child welfare funding specialists has greatly improved and positively impacted the outcome of the 2016 Federal Onsite Review.  SCAO-CWS would like to thank all of the Title IV-E court contacts for their assistance during audit preparations to ensure the case files were properly prepared.  The next Federal Onsite Review will be in 2019.
SCAO-CWS offers several resources to courts to promote Title IV-E funding education and training.  Please visit the child welfare website for a training video on IV-E funding rules and regulations.
You may also request a refresher training for your court and local agencies.  SCAO-CWS and a representative from the MDHHS Federal Compliance Division will co-present and promote collaborative discussion to maximize federal funding.  To make a request, please contact me directly at AnbenderC@courts.mi.gov or 517-373-5234.
For further information about the 2016 Federal Title IV-E Review, please refer to the press release dated January 12, 2017.


Casey Anbender has been a management analyst at the State Court Administrative Office-Child Welfare Services Division since 2010.  She provides assistance to juvenile courts on Title IV-E funding rules, Indian Child Welfare law, and best practices for permanency planning in child protective proceedings. Casey graduated from the University of Michigan with a bachelor’s degree and attained her Juris Doctor, with special concentration in Family Law, from Michigan State University College of Law. 



[1] Four errors cases total are allowable before a state is deemed to have failed a federal review.  If a state is found to be in noncompliance, a program improvement plan is implemented and the federal government returns to the state to complete a secondary review of 150 cases after a year and a half (instead of 80 cases every three years).