Audit 18759

FY End

2022-06-30

Total Expended

$1.17M

Findings

2

Programs

2

Organization: Pike County Recovery Council, Inc. (OH)

Year: 2022 Accepted: 2023-04-20

Auditor: Whited Seigneur Sams & Rahe CPAS

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
21352	2022-001	-	-	L
597794	2022-001	-	-	L

ALN	Program	Spent	Major	Findings
93.498	Provider Relief Fund	$1.13M	Yes	1
21.019	Coronavirus Relief Fund	$40,000	-	0

Contacts

Name	Title	Type
Y3HRUCDYZMU4	Michelle Black	Auditee
7409476727	Kathy Lambert	Auditor
No contacts on file

Notes to SEFA

Accounting Policies: The Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of the Organization under programs of the federal government for the year ended June 30, 2022. The information in this Schedule is prepared in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement, except for expenditures related to Assistance Listing Number 21.019, Coronavirus Relief Fund (CRF).CRF does not apply the cost principles contained in the Title 2 U.S. Code of Federal Regulation Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, but rather applies the U.S. Department of the Treasurys guidance. The pass-through entity identifying numbers are presented where available.The Organizations Provider Relief Funds (PRF) Phase 2 funds, of $1,127,289 has been recognized as revenue for the year ended June 30, 2021, and has been included on the schedule of expenditures of federal awards (SEFA) for the year ended June 30, 2022 as required by the Office of Management and Budgets Compliance Supplement. The Organization recognized Phase 4 PRF revenue of $725,328 for the year ended June 30, 2022, which is excluded from the SEFA for the year ended June 30, 2022. Phase 4 PRF could be recognized on the SEFA in a future period. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2022-001

2022-001 ? Noncompliance regarding Reporting ALN #93.498 Provider Relief Funds U.S. Department of Health & Human Services Criteria: Recipients of Provider Relief Funds (PRF) are subject to mandatory reporting to the Health Resources and Services Administration (HRSA) through the PRF Reporting Portal. For the Phase 2 funds received, the Organization was required to report actual patient care revenue for the 2019, 2020, and 2021 calendar years. Condition: Management reported Medicaid patient care revenue for fiscal years ending June 30, 2019, 2020, and 2021 rather than on a calendar year. Patient care revenue received from the county alcohol, drug addiction, and mental health board (ADAMH), self-pay, and other pay sources were excluded from reporting. Cause: The PRF User Guide issued by HRSA for reporting through the PRF Reporting Portal was not followed by management regarding the reporting of actual patient care revenue. Effect: Actual patient care revenue reported to HRSA was inaccurate and incomplete. Furthermore, it resulted in a significant overstatement of the calculation of lost revenues. Recommendation: For future reporting of Federal funding, we recommend management follow the issued directions for reporting, fully and completely. Management?s Response: Refer to the Corrective Action Plan.

Finding 2022-001

2022-001 ? Noncompliance regarding Reporting ALN #93.498 Provider Relief Funds U.S. Department of Health & Human Services Criteria: Recipients of Provider Relief Funds (PRF) are subject to mandatory reporting to the Health Resources and Services Administration (HRSA) through the PRF Reporting Portal. For the Phase 2 funds received, the Organization was required to report actual patient care revenue for the 2019, 2020, and 2021 calendar years. Condition: Management reported Medicaid patient care revenue for fiscal years ending June 30, 2019, 2020, and 2021 rather than on a calendar year. Patient care revenue received from the county alcohol, drug addiction, and mental health board (ADAMH), self-pay, and other pay sources were excluded from reporting. Cause: The PRF User Guide issued by HRSA for reporting through the PRF Reporting Portal was not followed by management regarding the reporting of actual patient care revenue. Effect: Actual patient care revenue reported to HRSA was inaccurate and incomplete. Furthermore, it resulted in a significant overstatement of the calculation of lost revenues. Recommendation: For future reporting of Federal funding, we recommend management follow the issued directions for reporting, fully and completely. Management?s Response: Refer to the Corrective Action Plan.