Tracking# 2012-00131 
FA/P 5/4/12, eff. 7/1/12

I:/11091201.rtf 
[I:11091201.doc]

(11 CCR 2508-1)

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Rewrite of these rules was final adoption following publication at the 5/4/2012 Executive Director Rule-making session, with an effective date of 7/1/2012 (Rule-making# 11-9-12-1). Statement of Basis and Purpose and specific statutory authority for these revisions were incorporated by reference into the rule. These materials are available for review by the public during normal working hours at the Colorado Department of Human Services, Office of Enterprise Partnerships, Division of Boards and Commissions, State Board Administration. 

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5.000  FINANCE AND ACCOUNTING [Rev. eff. 7/1/12] 
5.100  PURPOSE AND SCOPE [Rev. eff. 7/1/12] 
These rules are the fiscal rules for county departments of social/human services concerning public assistance, social services, other forms of assistance, and the administration of the above including but not limited to internal controls, financial reporting, accounting and auditing. 
5.200  ROUTINE REPORTING PERIOD [Rev. eff. 7/1/12] 
5.201  Monthly Reporting to the Colorado Department of Human Services [Rev. eff. 7/1/12]
The county social/human services director shall report to the Colorado Department of Human Services at such times and in such manner and form as the Colorado Department of Human Services may from time to time direct. The routine reporting period from the county to the Colorado Department of Human Services is a calendar month. The Controller of the Colorado Department of Human Services shall determine the date required to submit financial data for each monthly reporting cycle. 
5.300  PROCUREMENT PROCESS [Rev. eff. 7/1/12] 
5.301  Counties Shall Follow County Procurement Processes [Rev. eff. 7/1/12] 
A county department of social/human services shall follow county procurement processes. If counties do not have procurement processes in place, State Procurement Rules shall be used pursuant to 1 CCR 101 through 1 CCR 109. 
5.302  Compliance with Office of Management and Budget (OMB) Circulars [Eff. 7/1/12] 
Counties shall comply with the applicable federal cost circulars and shall hold their sub-recipients and vendors accountable for compliance with the applicable circulars. Counties shall comply with OMB Circular A-87, “Cost Principles for State, Local, and Indian Tribal Governments” published at 2 CFR 225, and OMB Circular A-102, “Common Rule” published at 45 CFR 92. If a county passes through federal funds to a non-profit organization, that non-profit organization shall comply with OMB Circular A-122, “Cost Principles for Non-Profit Organizations” published at 2 CFR 230. If a county passes through federal funds to an educational institution, that educational institution shall comply with OMB Circular A-21, “Cost Principles for Educational Institutions” published at 2 CFR 220. No later amendments or editions are incorporated. 
Copies of this material are available by contacting the Controller of the Colorado Department of Human Services, 1575 Sherman Street, Denver, Colorado, 80203, and online at http://www.whitehouse.gov/omb/circulars_default or http://www.gpoaccess.gov/cfr/. Additionally, any incorporated material in these rules may be examined at any state publications depository library. 
5.400  County Allocations [Rev. eff. 7/1/12] 
5.401  Counties Shall Use Colorado Department of Human Services Guidance [Rev. eff. 7/1/12]
The counties shall refer to an annual Colorado Department of Human Services Agency Letter which sets forth program allocations as well as procedures that counties shall follow regarding any appeal of an allocation, closeout of actual expenditures each year, as well as methodology and data used to calculate annual allocations by program. 
5.500  CONTRACTS [Rev. eff. 7/1/12] 
5.501  Contract Procedures [Rev. eff. 7/1/12] 
Counties shall adhere to all county guidelines for contract processes and procedures. In the absence of county procedures, county departments of social/human services shall follow State contract processes and procedures pursuant to 1 CCR 101 through 1 CCR 109. 
5.600  TRAVEL [Rev. eff. 7/1/12] 
5.601  Travel Procedures [Rev. eff. 7/1/12] 
Counties shall adhere to all county guidelines for travel policies and reimbursement procedures. In the absence of county policies and procedures, county departments of social/human services shall follow state travel policies and procedures pursuant to 1 CCR 103-1.
5.700  REQUIRED USE OF STATEWIDE AUTOMATED SYSTEMS [Rev. eff. 7/1/12] 
County departments of social/human services shall use the Colorado Department of Human Services automated statewide client and/or provider information systems. These systems are designed to collect and store program data; assist with eligibility and payment determinations; generate forms and reports; create electronic benefit authorizations; and add to, delete, or make changes to the information on file.
5.800  REPORTING OF EMPLOYEE THEFT OR EMBEZZLEMENT [Rev. eff. 7/1/12] 
Any suspected theft or embezzlement of federal, state or local funds shall be immediately reported to at least one level of management above the party(s) suspected or to the county social/human services board. In addition, theft or embezzlement of state and/or federal funds or assets totaling $5,000 or more shall be reported in writing to the county social/human service board and to the Director of the Audit Division of the Colorado Department of Human Services at 4126 South Knox Court, Denver, Colorado 80236-3102. 
5.900  MAINTAIN INTERNAL CONTROLS AND ADEQUATE SEGREGATION OF DUTIES [Rev. eff. 7/1/12]
Counties shall maintain  a written set of internal control policies and procedures that promote a sound internal control environment that ensures an adequate and appropriate segregation of duties. The same staff may not initiate, authorize, and record a transaction, if staff also has the ability to receipt or disburse monies for that same transaction.