State Terminates Contracts with AIDServe Indiana After Preliminary Audit Report
The Indiana Department of Health has ended its relationship with AIDServe Indiana, saying that the agency breached its contract by using "inappropriate invoicing procedures" and improper funding distribution, the Indianapolis Star/News reports. The state revoked 11 contracts, including those based on federal funding (Williams, Indianapolis Star/News, 11/18). The move comes after private auditors investigating AIDServe Indiana found that the organization was missing a variety of documentation, including bank statements and files. With the audit expected to be completed by the end of November, preliminary findings indicate AIDServe is missing reimbursement claims, bank statements and cancelled checks and may have "overcommitted grants." In addition, the auditors found recorded payroll costs do not match documented employee time (Williams, Indianapolis Star/News, 11/17). Now, the state health department is "busy trying to smooth [patients'] transition" to other agencies so client care is not disturbed. Deputy Health Commissioner Mary DePrez said that there is "an urgency involved in this. It is not like we can cut it off. We have services that need to be delivered on a daily basis." She added, "Throughout these months, we've been able to accomplish that goal, for the most part" (Williams, Indianapolis Star/News, 11/18).This is part of the KHN Morning Briefing, a summary of health policy coverage from major news organizations. Sign up for an email subscription.