FAC Explorer

Audit 26519

FY End
2022-06-30
Total Expended
$24.27M
Findings
2
Programs
2
Organization: The Guthrie Clinic (PA)
Year: 2022 Accepted: 2023-03-30
Auditor: Baker Tilly US LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
20316 2022-001 Significant Deficiency Yes L
596758 2022-001 Significant Deficiency Yes L

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund and American Rescue Plan (arp) Rural Distribution $18.08M Yes 0
93.461 Hrsa Covid-19 Claims Reimbursement for the Uninsured Program and the Covid-19 Coverage Assistance Fund $862,653 Yes 0

Contacts

Name Title Type
JMEJT5FMGGX9 Francis MacAfee Auditee
5708875985 Danielle Hawley Auditor
No contacts on file

Notes to SEFA

Title: Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of The Guthrie Clinic and Affiliates (collectively, the Corporation) for the year ended June 30,2022. The information in this Schedule is presented 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 Corporation, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Corporation. The Schedule includes expenditures of the U.S. Department of Health and Human Services (HHS)Provider Relief Funding and American Rescue Plan (ARP) Rural Distribution (PRF) program of the Corporation for the periods of availability which ended in the year ended June 30, 2022. 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. De Minimis Rate Used: N Rate Explanation: The Corporation did not elect to use the 10 percent de minimis indirect cost rate allowed under Uniform Guidance. For the HHS awards related to the PRF program, HHS has indicated the amounts on the Schedule be reported corresponding to reporting requirements of the Health Resources and Services Administration (HRSA) PRF Reporting Portal. Payments from HHS for PRF are assigned to "Payment Received Periods" (each, a Period) based upon the date each payment from the PRF was received. Each Period has a specified Period of Availability and timing of reporting requirements. Entities report into the HRSA PRF Reporting Portal after each Period's deadline to use the funds (i.e., after the end of the Period of Availability).The Schedule includes $23,406,511 received from HHS between July 1, 2020 through June 30, 2021. In accordance with the guidance from HHS, the Schedule includes expenditures for the period of availability which ended in the year ended June 30, 2022 (i.e. Periods 2 and 3). The Schedule includes the following entities that received the Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) program:Legal Entity Name; Tax Identification NumberGuthrie Cortland Medical Center; 15-0532079Corning Hospital; 16-0393490CMH Services, Inc.; 16-1370440Regional Medical Practice, P.C.; 20-4848729Guthrie Towanda Memorial Hospital; 24-0786657Robert Packer Hospital; 24-0795463Troy Community Hospital; 24-0800337Twin Tier Management Corporation; 23-2209439Guthrie Medical Group, P.C.; 25-0815795Guthrie Home Care; 23-2394345

Finding Details

Finding 2022-001
Finding 2022-001 - Significant Deficiency in Internal Control ? Reporting Repeat Finding 2021-001 Assistance Listing No.: 93.498 COVID-19: Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Federal Agency: U.S. Department of Health and Human Services Pass-through Agency: Not applicable Award Number: Not applicable Award Year: 2021 Compliance Requirement: Reporting Questioned Costs: None reported Criteria: Non-federal entities in receipt of federal funds must comply with the requirements of 2 CFR 200.303(a), which require an entity to establish and maintain effective internal control over the Federal award to ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Recipients of Provider Relief Fund and American Rescue Plan Rural Distribution (PRF) payments must also comply with the reporting requirements described in the PRF terms and conditions and specified in directions issued by the U.S. Department of Health and Human Services. Condition/Context: In the Corporation's Period 2 submissions, using the Lost Revenues Reporting Method: Alternative Reasonable Methodology (Option 3), the lost revenues for quarter 4 of 2020 were incorrectly reported as $0 (rather than $4,934,624) and the lost revenues for quarter 1 of 2021 were incorrectly reported as $4,934,624 (rather than $0). This is not a statistically valid sample. Effect: Lost revenue reported to Health Resources and Services Administration (HRSA) for quarter 1 of 2021 should have been input as lost revenue for quarter 4 of 2020. Total lost revenues reported for Period 1 were not impacted by the amounts being incorrectly input into the wrong quarter because both quarters are within Reporting Period 2. Cause: An oversight by management during the review process that failed to identify the error in the reporting of lost revenues. Recommendation: We recommend that management implement procedures to ensure that information used in preparation of the reports is reviewed, with errors addressed, prior to reporting. Views of Responsible Officials: The Corporation agrees with the finding and has implemented additional internal controls through independent review and sign off of the draft PRF reporting, prior to final submission, to ensure completeness and accuracy. The Corporation rectified the reporting error in its Period 3 submissions.
Finding 2022-001
Finding 2022-001 - Significant Deficiency in Internal Control ? Reporting Repeat Finding 2021-001 Assistance Listing No.: 93.498 COVID-19: Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Federal Agency: U.S. Department of Health and Human Services Pass-through Agency: Not applicable Award Number: Not applicable Award Year: 2021 Compliance Requirement: Reporting Questioned Costs: None reported Criteria: Non-federal entities in receipt of federal funds must comply with the requirements of 2 CFR 200.303(a), which require an entity to establish and maintain effective internal control over the Federal award to ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Recipients of Provider Relief Fund and American Rescue Plan Rural Distribution (PRF) payments must also comply with the reporting requirements described in the PRF terms and conditions and specified in directions issued by the U.S. Department of Health and Human Services. Condition/Context: In the Corporation's Period 2 submissions, using the Lost Revenues Reporting Method: Alternative Reasonable Methodology (Option 3), the lost revenues for quarter 4 of 2020 were incorrectly reported as $0 (rather than $4,934,624) and the lost revenues for quarter 1 of 2021 were incorrectly reported as $4,934,624 (rather than $0). This is not a statistically valid sample. Effect: Lost revenue reported to Health Resources and Services Administration (HRSA) for quarter 1 of 2021 should have been input as lost revenue for quarter 4 of 2020. Total lost revenues reported for Period 1 were not impacted by the amounts being incorrectly input into the wrong quarter because both quarters are within Reporting Period 2. Cause: An oversight by management during the review process that failed to identify the error in the reporting of lost revenues. Recommendation: We recommend that management implement procedures to ensure that information used in preparation of the reports is reviewed, with errors addressed, prior to reporting. Views of Responsible Officials: The Corporation agrees with the finding and has implemented additional internal controls through independent review and sign off of the draft PRF reporting, prior to final submission, to ensure completeness and accuracy. The Corporation rectified the reporting error in its Period 3 submissions.