(Des Moines, IA) – Iowa Auditor of State Rob Sand today (Tuesday) released a report on a special investigation of the Crossroads Behavioral Health Services for the period July 1, 2020 through June 30, 2024.  Crossroads is a nonprofit organization that provides outpatient mental health and addiction treatment center established to provide support, counseling, and therapeutic services to children, adolescents, and adults in service area 13. The special investigation was requested by Iowa Department of Health and Human Services (DHHS) officials as a result of concerns Crossroads was misappropriating federal funds.

Sand reported the special investigation identified $167,716.23 of questioned cost incurred, $14,167.91 of improper disbursements and $194.72 of unsupported disbursements. The $167,716.23 of questioned cost incurred includes:

• $74,967.05 under Substance Use and Problem Gambling Services Integrated Provider Network grant for
unallowable expenses and unpaid reimbursements to the subcontractor,
• $65,036.44 under State Opioid Response grant for unallowable expenses and unpaid reimbursements to
the subcontractor, and
• $27,712.74 under ARPA Integrated Provider Network Supplement grant for unpaid reimbursements to the
subcontractor.

The $14,167.91 of improper disbursements identified were disbursements using County Opioid funding. The $194.72 of unsupported disbursements identified includes mileage reimbursements and supply purchases for which Crossroads could not provide supporting documentation for purchases made using County Opioid funding. Sand recommended Iowa DHHS officials implement procedures to strengthen DHHS’ internal controls and operations, such as monitoring of grant and subcontractor payments.

Copies of the report have been filed with the Polk County Attorney’s Office, the Attorney General’s Office, and the Division of Criminal Investigation. A copy of the report is available for review on the Auditor of State’s website at Special Interest Reports.