Skip to main content Skip to office menu Skip to footer
3 golden objects Minnesota Legislature

Office of the Legislative Auditor - Financial Audit Division

Report Summary
Board of Examiners for Nursing Home Administrators

Financial Audit

For the Four Years Ended June 30, 1995


Public Release Date: August 30, 1996 No. 96-33

Agency Background

The Board of Examiners for Nursing Home Administrators (board) exists to protect the public by ensuring that individuals employed as nursing home administrators meet and maintain the qualifications, standards, and professionalism necessary to competently operate a nursing home. The board consists of nine board members appointed by the Governor and two nonvoting members appointed by the commissioner of health and the commissioner of human services.

The board finances its operations through appropriations from the state of Minnesota. The board received State Government Special Revenue Fund appropriations ranging from $166,000 - $194,000 during the audit period. The board sets its fees to recover its direct and indirect costs. Attorney General costs make up the largest portion of indirect costs. The board deposits its receipts into the State Government Special Revenue Fund as nondedicated revenue.

Audited Areas and Conclusions

Our audit scope included several revenue classifications with a focus on licensure, application, and examination fees. In addition, our audit scope included administrative expenditures with a focus on payroll, rent, and purchased services for the period July 1, 1991, through June 30, 1995.

We concluded that the board charged the approved fees for licenses, applications, and examinations and set the fees to recover its direct and indirect operating expenses. However, the board needs to improve controls to ensure that the approved amount of license, application, and examination fees are collected and deposited promptly.

The board spent its state appropriations within its appropriation limits and statutory authority. However, the board did not comply with Department of Administration contract provisions. The board paid its employees at the proper amounts according to the respective bargaining unit agreements and/or board authorization.