Maricopa County June 30, 2004 Report Highlights-Financial Audit

Maricopa CountyLack of Effective Controls over CountyREPORTHIGHLIGHTS Healthcare Programs Resulted in Audit OpinionFINANCIAL STATEMENT AUDITDisclaimers and a CAFR Issuance Delay Subject Maricopa County, through the Maricopa approximately $20 million in unresolvedprepayments. As a result, we were unableManaged Care Systems (MMCS),Maricopa County issues a to determine whether prepaid expensesadministered the following programs:Comprehensive Annual and medical expenses were properlyFinancial Report. The County stated. • Arizona Health Care Cost Containmentis responsible for preparing • The records used to track medical claimsSystem (AHCCCS)—Acute Health Carefinancial statements, payment history were not updated forprogram reported in the Maricopamaintaining strong internal negotiated and settled claims, and forHealth Plan Fund.controls, and demonstrating claims paid for incorrect amounts. In• AHCCCS—Arizona Long-Term Careaccountability for its use of addition, paid dates for claims applied toSystem (ALTCS) program reported inpublic monies. As the prepayments were not accuratelythe ALTCS Fund.auditors, our job is to reported. As a result, the MMCS was• Senior Select, a federaldetermine whether the unable to determine an accurate balancemedicare/medicaid program, reportedCounty has met its for medical claims payable at June 30,in the Non-AHCCCS Health Plansresponsibilities. 2004.Fund.• Health Select, a county healthcareBecause of these deficiencies, MMCS’program, ...