This letter details the procedures previously outlined in rules 5101:2-47-24 and 5101:2-47-26.2 of the Administrative Code.

The Ohio Department of Job and Family Services (ODJFS) approved reimbursement ceiling amounts are based upon the participation of the provider in the ODJFS Title IV-E reimbursement ceiling amount approval system. ODJFS shall issue the cost report forms or appropriate software to the PCSAs, PCPAs and PNAs no later than thirty days following the end of the cost reporting period. If ODJFS delays the release of the cost report form then the deadline for the PCSA, PCPA, and PNA to file the cost report shall be extended accordingly and ODJFS shall notify the providers, in writing, of the new filing deadline.

The ODJFS Title IV-E reimbursement ceiling amount approval system consists of the following:

(1)Annual submission of the JFS 02911 "Single Cost Report".

(2)The agreed upon procedures and supplements as outlined in rule 5101:2-47-26.2 of the Administrative Code substantiating the actual cost of care provided.

The JFS 02911 will only be accepted from and Title IV-E reimbursement ceiling amounts established for the following:

(1)Purchased foster homes.

(2)Private facilities.

(3)Publicly-operated facilities with a licensed capacity of twenty-five or fewer.

ODJFS will review each JFS 02911 along with the agreed upon procedures reports and supplements and will make any necessary adjustments to the JFS 02911 prior to the establishment of the Title IV-E reimbursement ceiling amount.

ODJFS will complete a desk review in lieu of the agreed upon procedures outlined above for the following:

(1)A PCSA, PCPA, or PNA new to the Title IV-E program.

(2)An existing PCSA, PCPA, or PNA that has established a new Title IV-E service.

The desk review will provide reasonable assurance that reported costs are allowable, reasonable, related to foster care and presented fairly in accordance with Administrative Code rules. ODJFS will:

(1)Notify the PCSA, PCPA, or PNA of any information on the cost report that requires further clarification and or documentation. Within fifteen days from receipt of notice the PCSA, PCPA, or PNA shall submit the supporting documentation requested by ODJFS and may submit any additional information that it believes supports the reported costs;

(2)Notify each PCSA, PCPA, and PNA of whether any of its reported costs are unallowable and the rate that results from that determination;

(3)Establish a Title IV-E rate for each PCSA, PCPA, or PNA that passes the desk review process. No Title IV-E rate will be established for any PCSA, PCPA, or PNA that does not pass the desk review process;

(4)Issue a Title IV-E approval rate letter to each PCSA, PCPA, and PNA that has passed the desk review process. The rate letter will reflect the allowable Title IV-E maintenance rate, the allowable Title IV-E administration rate and the effective date of the rates.

The costs reported on the JFS 02911 that are eligible for Title IV-E reimbursement are identified and converted to Title IV-E reimbursement ceiling amounts. The Title IV-E reimbursement ceiling amounts yielded by the cost report are the maximum ODJFS will recognize for reimbursement.

An inflation adjustment factor based on the United States Department of Labor, Bureau of Labor Statistics, "Consumer Price Index-Urban Category-All Items," will be calculated each year and ODJFS will publish the inflation indices. The inflation factor adjusts the costs reported to take into account the rate of inflation.

Title IV-E reimbursement ceiling amounts established by the cost report shall become effective April first following the reporting period.

ODJFS will publish on its website an annual Title IV-E rate roster of each approved PCSA's, PCPA's, and PNA's Title IV-E reimbursement ceiling amount.

ODJFS will conduct an annual "Agreed Upon Procedures" engagement for each Title IV-E agency that submits a cost report by September thirtieth of each year. ODJFS shall consider the results of the annual "Agreed Upon Procedures" performed and supplemental schedules when determining the Title IV-E reimbursement ceiling amount.

ODJFS will conduct quality assurance reviews of the "Agreed Upon Procedures" submitted by a PCPA or PNA to assure compliance with rule 5101:2-47-26.2 of the Administrative Code and its appendix. The reviews of the "Agreed Upon Procedures" engagements will be selected at the discretion of ODJFS. "Agreed Upon Procedures" engagements will be rejected if they fail the review process or if certified public accountants fail to make provisions for the working paper review. ODJFS will notify the agencies of any non-compliance found during the quality assurance reviews. ODJFS is not limited in its determination to perform additional audit work in an agency from information arising out of such quality assurance reviews.

INSTRUCTIONS:

The following chart depicts what materials should be inserted into the Family, Children, and Adult Services Manual (FCASM).