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Federal reviewers designate Idaho VR “high risk”; committee hears $10M reallocation, $2.7M state‑match request and $2.5M remediation contract
Summary
Federal reviewers have designated the Idaho Division of Vocational Rehabilitation a high‑risk grantee after auditors found failures in internal controls and federal reporting; the division received a $10 million federal reallocation that requires a $2.7 million state match and has contracted for remediation services that could cost as much as $2.5 million.
Federal reviewers have designated the Idaho Division of Vocational Rehabilitation (IDVR) a high‑risk grantee after identifying failures in internal controls and inaccurate federal financial reporting, Legislative Services Office auditors and the division’s interim director told the Joint Finance‑Appropriations Committee on Monday.
Brooke Dupree, a budget and policy analyst with the Legislative Services Office, told the committee the division received a $10,000,000 federal reallocation in September through a noncognizable adjustment after the Rehabilitation Services Administration (RSA) re‑allotted funds to states able to spend them. Dupree said the federal award requires a state match and the division has requested $2,700,000 one‑time from the Idaho General Fund for the state matching requirement for fiscal 2025.
April Renfro, an auditor with the Legislative Services Office Audits Division, summarized an accountability review issued Jan. 13, 2025, that found the division did not establish procedures and control activities to ensure compliance with appropriation laws for fiscal 2024. Renfro said RSA placed the division on a higher level of oversight in a May 3, 2024, letter, citing 2 C.F.R. 200.208 and imposing specific conditions related to the division’s financial…
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