Wisconsin agencies received a record $9.6 billion in funding
from the federal government in fiscal year 2007, and though they had some
accounting problems, the University of Wisconsin System received $1.3 billion.

The bipartisan report released by the Legislative Audit
Bureau Tuesday also pointed to spending reporting problems at UW-Milwaukee and
UW-Eau Claire.

At UWM, there was a problem with the timesheets of some
employees, as well as some questions about where exactly the grant money would
be spent. Eau Claire had a similar situation.

UW System spokesperson David Giroux said the problems have
been resolved, and they were “not anything of great concern.”

“These are three instances where we have made some
minor technical improvements,” Giroux said. “And that’s why you do
this. That’s why you have audits — to uncover these minor issues before they
become major.”

Of the UW System’s funding, roughly $650 million went to
financial aid, and $513 million was for research grants.

Big spenders of federal dollars also included the Department
of Health and Family Services, which received the largest chunk of any agency
at nearly $4 billion, and the Department of Public Instruction, which received
$515 million.

DPI had some difficulties in matching federal funds,
requiring them to return $2.1 million to the government, according to DPI
communications officer Patrick Gasper.

Problems arose with the Gaining Early Awareness &
Readiness for Undergraduate Programs (GEAR UP). The programs inform roughly
3,000 students from grades six to12 about college opportunities.

In order to receive federal money for GEAR UP, DPI had to
match the $2.1 million. Since DPI could not do so, the money had to be
returned, and LAB’s report expressed concerns about DPI’s ability to match
funds in the future.

But Gasper said he remains optimistic.

“We’re very confident that we’re going to meet the
match this year without a problem,” he said.

LAB’s report said $2,857 of the federal money went unaccounted
for. Joint Legislative Audit Committee Co-Chairs Sen. Jim Sullivan,
D-Wauwatosa, and Rep. Suzanne Jeskewitz, R-Menomonee Falls, dismissed the
dollars in question in a statement Tuesday as a “very small portion”
of the $9.6 billion.

As far as DHFS’s $4 billion, roughly $2.8 billion was used
to fund Medicaid. The remaining $1.1 billion funded programs such as child
protective services, adoption services and substance abuse services.

DHFS spokesperson Stephanie Ward said the department
appreciates the abundant number of federal grants.

“It does cost money to provide these wonderful benefits
to people who are in need of them,” Ward said.