[nfbmi-talk] finding six from monitoring

[joe harcz Comcast]

Finding 6:  MCB has entered into many agreements, known as “cash match agreements,” with local school districts in MI for the purpose of providing non-Federal
match funds for the VR program.  One of these “cash match” agreements is with the Macomb ISD.  The Macomb ISD receives $9,000 in funds earmarked as match
funds for the VR program from New Horizons, a local private CRP.  New Horizons provides job placement services to MCB’s eligible consumers as a fee-for-service
vendor.  Thus, New Horizons gives the Macomb ISD $9,000 to give to MCB for non-Federal match purposes; MCB, in turn, pays New Horizons to provide VR services.

Corrective Action:

6.1    MCB has taken in consideration what RSA has identified as reversion to donor in the development of this agreement to meet the requirements of 34
CFR 361.60(b)(3).  These changes in the agreements will meet the requirements of CFR 361.28.

6.2     MCB has submitted a written assurance to RSA within 10 days of the monitoring report that states MCB’s actions in regards to this agreement.  The
revision of the agreement has eliminated the contributions provided by New Horizons to assist in the development of transition activities for high school
students.

6.3    MCB has initiated a procedure where none of its cash match agreements will participate in agreements where the donor may benefit financially from
such agreements.  MCB’s procedure follows the requirements of CFR 361.28.

6.4

Table with 6 columns and 4 rows

Macomb ISD Cash Match/New Horizons

 (FYs 2005 through 2009)

 


FY 2005

FY 2006

FY 2007

FY 2008

FY 2009

Total funds Macomb ISD received from New Horizons for match

Local cash match amount was $28,440, of which $9000 was contributed by New Horizons

Local cash match amount was $28,440, of which $9000 was contributed by New Horizons

Local cash match amount was $28,440, of which $9000 was contributed by New Horizons

Local cash match amount was $28,440, of which $9000 was contributed by New Horizons.

Local cash match amount was $30,940, of which $9000 was contributed by New Horizons.

Total funds from this program MCB used for match  in specified FY

$28,440

$28,440

$28,440

$28,440

$30,940

table end