$425 Million in Minnesota Grants Had No Oversight, Audit Finds

A new state audit reveals severe failures in a major Minnesota health program. It found a complete lack of oversight for $425 million in public grants. The report examines the Minnesota Department of Human Services (DHS) Behavioral Health Grants Division. Auditors say the division did not require or review mandatory spending reports from the organizations that received the money. This means officials could not confirm how the public funds were used. The audit also found evidence of serious misconduct. It states that a division director created fabricated documents after the audit began. This was an attempt to show that oversight existed when it did not. The findings point to a failure of basic financial controls. A state legislative committee will now review the audit. Its members must decide what actions to take following these revelations.