State auditors point to complex cases, rate changes and electronic authorization shift as primary cost drivers
A Department of Audits special examination found most recent increases in out‑of‑home spending were tied to more high‑cost children, enhanced placement rates and growth in service authorizations (behavioral aides, transportation, written waivers); the launch and later scale‑back of an authorization tool (Argo) also changed spending patterns.
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Deputy Director Matt Taylor and senior analyst Nathan Club summarized a special examination requested by the House Appropriations Committee examining total program spending from FY22–FY25. They identified four cost categories with the largest increases — per‑diems (pdiums), transportation, behavioral aids and a category auditors labeled "written waivers" — which collectively explained much of the growth.
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