NOTE: As provided in LFC policy, this report is intended for use by the standing finance committees of the legislature.  The Legislative Finance Committee does not assume responsibility for the accuracy of the information in this report when used in any other situation.

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(Parenthesis ( ) Indicate Expenditure Decreases)

Duplicates/Conflicts with/Companion to/Relates to

SOURCES OF INFORMATION

LFC file

Children, Youth and Families Department

Human Services Department

SUMMARY

Synopsis of Bill

House Joint Memorial 36 proposes that the legislative finance committee (LFC) direct its staff to conduct a fiscal and compliance audit of the foster care programs of the children, youth and families department (CYFD) and of the human services department's (HSD) participation and responsibilities in the treatment foster care program. This memorial requests that the children, youth and families department, the human services department, the school of medicine at the university of New Mexico and other state agencies cooperate with the LFC staff in conducting the audit.

The memorial proposes that the scope of the audit include:

• •placement used as alternative to foster care when children are removed from their homes by CYFD;



• •procedures and criteria used in screening and evaluation of all children and families of suspected abuse and neglect;

• •role of CYFD in monitoring the appropriateness of evaluation and assessment of children conducted through managed care organizations including the responsibility of HSD in monitoring the evaluation process and referrals, treatment and outcomes of those children; and



• •examination of cases of children in all residential facilities and programs, including juvenile justice facilities, crisis shelters, foster and treatment foster care homes or facilities.

The LFC is to report the findings with any recommendations for legislation to the legislative health and human services committee in October 2000.

Significant Issues

According to HSD the proposed LFC performance audit will duplicate past and the current audits performed by HSD medical services division. The Quality Assurance Bureau of Medical Assistance Division has performed two performance audits of treatment foster care at CYFD during 1999 and is preparing to audit all three of the SALUD! behavioral health organizations for quality and appropriateness of utilization management measures.

ADMINISTRATIVE IMPLICATIONS

The performance audit work plan approved by the LFC allocates approximately 2000 audit hours for this audit.

MP/njw