FAC Explorer

Audit 13682

FY End
2023-06-30
Total Expended
$9.65M
Findings
4
Programs
16
Organization: Lifespring, Inc. (IN)
Year: 2023 Accepted: 2024-01-25
Auditor: Blue and Company

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
10059 2023-001 Significant Deficiency - N
10060 2023-001 Significant Deficiency - N
586501 2023-001 Significant Deficiency - N
586502 2023-001 Significant Deficiency - N

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund $2.17M - 0
93.829 Section 223 Demonstration Programs to Improve Community Mental Health Services $1.45M - 0
93.224 Consolidated Health Centers (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $1.10M Yes 1
93.332 Cooperative Agreement to Support Navigators in Federally-Facilitated and State Partnership Marketplaces $281,851 - 0
93.958 Block Grants for Community Mental Health Services $268,156 - 0
14.267 Continuum of Care Program $216,127 - 0
16.838 Comprehensive Opioid Abuse Site-Based Program $205,000 - 0
93.667 Social Services Block Grant $193,652 - 0
93.150 Projects for Assistance in Transition From Homelessness (path) $107,039 - 0
93.994 Maternal and Child Health Services Block Grant to the States $63,784 - 0
93.665 Emergency Grants to Address Mental and Substance Use Disorders During Covid-19 $62,646 - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $43,800 - 0
93.898 Cancer Prevention and Control Programs for State, Territorial and Tribal Organizations $37,658 - 0
93.426 Improving the Health of Americans Through Prevention and Management of Diabetes and Heart Disease and Stroke $34,371 - 0
93.268 Immunization Cooperative Agreements $27,201 - 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $5,177 - 0

Contacts

Name Title Type
HQMUFQ6UYLJ1 Nick Clark Auditee
8122061484 Peter Szostak Auditor
No contacts on file

Notes to SEFA

Title: NOTE A – BASIS OF PRESENTATION Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Center has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A The accompanying schedule of expenditures of federal awards for the year ended June 30, 2023 includes the federal grant activity of LifeSpring Health Systems, Inc. (the Center) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). The financial statement classifications may include other financial activity for reporting purposes. Therefore, some of the amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements.
Title: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Center has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Center has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: NOTE C – OTHER Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Center has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A During the year ended June 30, 2023, the Center did not provide any federal awards to subrecipients. In addition, there were no federal awards expended in the form of non-cash assistance and there were no loan guarantees outstanding at year-end.
Title: NOTE D – PROVIDER RELIEF FUNDS Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Center has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A Under terms and conditions of the Provider Relief Funds (PRF) under the Coronavirus Aids, Relief, and Economic Security (CARES) Act, the Center is required to report COVID-19 related expenses and lost revenue to the U.S. Department of Health and Human Services (HHS). Guidance from HHS has required the reporting of the COVID-19 related expenses and lost revenue in certain reporting periods based on when the funds were received. The 2023 SEFA includes PRF of approximately $2,175,000 which was received and recognized by the Center prior to June 30, 2023. HHS requires these PRF amounts to be reported on the 2023 SEFA rather than the 2022 SEFA.
Title: NOTE E – FAIR MARKET VALUE OF DONATED PERSONAL PROTECTIVE EQUIPMENT (UNAUDITED) Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The Center has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: N/A During 2023, the Center did not receive donated personal protective equipment from federal sources.

Finding Details

Finding 2023-001
2023-001 – Significant deficiency related to sliding fee scale discount applications Federal agency – United States Department of Health and Human Services Federal program - Health Centers Cluster - Affordable Care Act Grants for New and Expanded Services under the Health Center Program Assistance Listing # – 93.527 Grant ID # - H80CS28353 Grant award period – FY 2022-2023 Compliance requirement – Special Tests and ProvisionsCriteria – Management is responsible for establishing and maintaining effective internal controls over determining sliding fee discounts and write-offs. Federal grant funds received by the Center required that the Center maintain a sliding fee write-off policy based on income and family size thresholds. Condition – The auditor noted during its testing of sliding fee discounts that two out of forty sliding fee discounts were incorrectly calculated and/or applied. Questioned costs - $-0- Context – Grant specific requirements direct the grant recipient to comply with policies surrounding sliding fee discounts. Effect – This condition creates a risk that patients can be under or over charged for services provided by the Center, which is not in compliance with the Center’s federal grant guidelines. Cause – The cause of this deficiency is related to human input error. Recommendation – The auditor recommends that procedures and policies surrounding sliding fee discounts are reviewed and revised in order to strengthen internal controls to help ensure calculations and applications of sliding fee discounts are done correctly. In addition, the auditor recommends that all system settings surrounding sliding fee discounts are reviewed to make sure calculations are correctly performed. Views of Responsible Officials and Planned Corrective Action - Management concurs with audit finding 2023-001. The Center is developing procedures and policies surrounding review of sliding fee discounts are reviewed and revised in order to strengthen internal controls to help ensure calculations and applications are done correctly.
Finding 2023-001
2023-001 – Significant deficiency related to sliding fee scale discount applications Federal agency – United States Department of Health and Human Services Federal program - Health Centers Cluster - Affordable Care Act Grants for New and Expanded Services under the Health Center Program Assistance Listing # – 93.527 Grant ID # - H80CS28353 Grant award period – FY 2022-2023 Compliance requirement – Special Tests and ProvisionsCriteria – Management is responsible for establishing and maintaining effective internal controls over determining sliding fee discounts and write-offs. Federal grant funds received by the Center required that the Center maintain a sliding fee write-off policy based on income and family size thresholds. Condition – The auditor noted during its testing of sliding fee discounts that two out of forty sliding fee discounts were incorrectly calculated and/or applied. Questioned costs - $-0- Context – Grant specific requirements direct the grant recipient to comply with policies surrounding sliding fee discounts. Effect – This condition creates a risk that patients can be under or over charged for services provided by the Center, which is not in compliance with the Center’s federal grant guidelines. Cause – The cause of this deficiency is related to human input error. Recommendation – The auditor recommends that procedures and policies surrounding sliding fee discounts are reviewed and revised in order to strengthen internal controls to help ensure calculations and applications of sliding fee discounts are done correctly. In addition, the auditor recommends that all system settings surrounding sliding fee discounts are reviewed to make sure calculations are correctly performed. Views of Responsible Officials and Planned Corrective Action - Management concurs with audit finding 2023-001. The Center is developing procedures and policies surrounding review of sliding fee discounts are reviewed and revised in order to strengthen internal controls to help ensure calculations and applications are done correctly.
Finding 2023-001
2023-001 – Significant deficiency related to sliding fee scale discount applications Federal agency – United States Department of Health and Human Services Federal program - Health Centers Cluster - Affordable Care Act Grants for New and Expanded Services under the Health Center Program Assistance Listing # – 93.527 Grant ID # - H80CS28353 Grant award period – FY 2022-2023 Compliance requirement – Special Tests and ProvisionsCriteria – Management is responsible for establishing and maintaining effective internal controls over determining sliding fee discounts and write-offs. Federal grant funds received by the Center required that the Center maintain a sliding fee write-off policy based on income and family size thresholds. Condition – The auditor noted during its testing of sliding fee discounts that two out of forty sliding fee discounts were incorrectly calculated and/or applied. Questioned costs - $-0- Context – Grant specific requirements direct the grant recipient to comply with policies surrounding sliding fee discounts. Effect – This condition creates a risk that patients can be under or over charged for services provided by the Center, which is not in compliance with the Center’s federal grant guidelines. Cause – The cause of this deficiency is related to human input error. Recommendation – The auditor recommends that procedures and policies surrounding sliding fee discounts are reviewed and revised in order to strengthen internal controls to help ensure calculations and applications of sliding fee discounts are done correctly. In addition, the auditor recommends that all system settings surrounding sliding fee discounts are reviewed to make sure calculations are correctly performed. Views of Responsible Officials and Planned Corrective Action - Management concurs with audit finding 2023-001. The Center is developing procedures and policies surrounding review of sliding fee discounts are reviewed and revised in order to strengthen internal controls to help ensure calculations and applications are done correctly.
Finding 2023-001
2023-001 – Significant deficiency related to sliding fee scale discount applications Federal agency – United States Department of Health and Human Services Federal program - Health Centers Cluster - Affordable Care Act Grants for New and Expanded Services under the Health Center Program Assistance Listing # – 93.527 Grant ID # - H80CS28353 Grant award period – FY 2022-2023 Compliance requirement – Special Tests and ProvisionsCriteria – Management is responsible for establishing and maintaining effective internal controls over determining sliding fee discounts and write-offs. Federal grant funds received by the Center required that the Center maintain a sliding fee write-off policy based on income and family size thresholds. Condition – The auditor noted during its testing of sliding fee discounts that two out of forty sliding fee discounts were incorrectly calculated and/or applied. Questioned costs - $-0- Context – Grant specific requirements direct the grant recipient to comply with policies surrounding sliding fee discounts. Effect – This condition creates a risk that patients can be under or over charged for services provided by the Center, which is not in compliance with the Center’s federal grant guidelines. Cause – The cause of this deficiency is related to human input error. Recommendation – The auditor recommends that procedures and policies surrounding sliding fee discounts are reviewed and revised in order to strengthen internal controls to help ensure calculations and applications of sliding fee discounts are done correctly. In addition, the auditor recommends that all system settings surrounding sliding fee discounts are reviewed to make sure calculations are correctly performed. Views of Responsible Officials and Planned Corrective Action - Management concurs with audit finding 2023-001. The Center is developing procedures and policies surrounding review of sliding fee discounts are reviewed and revised in order to strengthen internal controls to help ensure calculations and applications are done correctly.