Audit Finds State Overpaid Up To $73.5M In Unemployment

From the Legislative Division of Post Audit:

The federal government requires organizations that receive a significant amount of federal funding to undergo a “single audit” in accordance with OMB Circular A-133.

TOPEKA, Kan. (WIBW) - A state audit found the Kansas Department of Labor may have overpaid $73.5 million in unemployment benefits.

The findings were released Tuesday. A legislative post audit looked at whether the state was complying with 29 federal programs. The unemployment insurance program was the only one found to have problems.

The audit found the Labor Department paid claims before people were determined to be eligible and paid some claimants after the Additional Compensation Program ended. Those issues were cite as material weaknesses. The audit also listed 26 additional problem findings, which were classified as significant deficiencies. The audit said six of the problems had been noted in previous investigations.

Auditors say the federal government will determine whether the state will have to repay any of the $73.5 million in question.

All of the problem findings and the auditors' recommendations to address the problems are in the complete audit report, which can be found at this link.


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