Audit 29125

FY End
2022-09-30
Total Expended
$5.98M
Findings
34
Programs
14
Year: 2022 Accepted: 2023-06-21
Auditor: Yeo and Yeo PC

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
29065 2022-002 Material Weakness - B
29066 2022-001 Material Weakness Yes N
29067 2022-002 Material Weakness - B
29068 2022-001 Material Weakness Yes N
29069 2022-002 Material Weakness - B
29070 2022-001 Material Weakness Yes N
29071 2022-002 Material Weakness - B
29072 2022-001 Material Weakness Yes N
29073 2022-002 Material Weakness - B
29074 2022-001 Material Weakness Yes N
29075 2022-002 Material Weakness - B
29076 2022-002 Material Weakness - B
29077 2022-002 Material Weakness - B
29078 2022-002 Material Weakness - B
29079 2022-002 Material Weakness - B
29080 2022-002 Material Weakness - B
29081 2022-002 Material Weakness - B
605507 2022-002 Material Weakness - B
605508 2022-001 Material Weakness Yes N
605509 2022-002 Material Weakness - B
605510 2022-001 Material Weakness Yes N
605511 2022-002 Material Weakness - B
605512 2022-001 Material Weakness Yes N
605513 2022-002 Material Weakness - B
605514 2022-001 Material Weakness Yes N
605515 2022-002 Material Weakness - B
605516 2022-001 Material Weakness Yes N
605517 2022-002 Material Weakness - B
605518 2022-002 Material Weakness - B
605519 2022-002 Material Weakness - B
605520 2022-002 Material Weakness - B
605521 2022-002 Material Weakness - B
605522 2022-002 Material Weakness - B
605523 2022-002 Material Weakness - B

Contacts

Name Title Type
RM8WBGL5LH44 Patricia Fournier Auditee
2488577432 Jessica Rolfe Auditor
No contacts on file

Notes to SEFA

Title: 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 where certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Oakland Integrated Healthcare Network d/b/a Honor Community Health under programs of the federal government for the year ended September 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 Oakland Integrated Healthcare Network d/b/a Honor Community Health, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Oakland Integrated Healthcare Network d/b/a Honor Community Health.
Title: Subrecipients 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 where certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. No amounts were provided to subrecipients.
Title: Reconciliation to the Financial Statements 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 where certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Federal revenues are recorded in grants and contracts revenue on the Statement of Operations as follows: Federal grants: $5,983,342, Provider Relief Fund recognized as revenue in prior year: ($87,792), Provider Relief Fund recorded as revenue in current year to be reported on SEFA in future years: $338,182, Other grants and contracts: $5,854,490, and Grants and contracts revenue: $12,088,222.

Finding Details

2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-001, 2021-001 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Program information: AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. Criteria: Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. Condition: We tested 60 sliding fee encounters and noted that 3 of 60 sliding fee encounters tested had did not have sliding fee applications, 13 out of 60 patients were discounted the wrong amount, 2 out of 60 patients sliding fee applications could not be located. Questioned Costs: None. Cause and Effect: The Organization failed to verify sliding fee applications were obtained for all patients receiving discounts and incorrectly applied sliding fee discounts to charges. Recommendation: We recommend the Organization continue with the corrective action plan implemented in the prior year in response to audit finding 2021-001 to ensure sliding fee applications are completed before encounters are billed. We recommend that management continue to review and monitor the internal sliding fee application auditing process for further improvements and consider increasing sample sizes. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.
2022-002 ? Material Weakness and Material Noncompliance ? Allowable Costs ? Fringe Benefits. Program information: AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds, Department of Treasury. AL # 93.224 and 93.527, Health Center Program Cluster, Department of Health and Human Services. AL # 93.914, HIV Emergency Relief Project Grants, Department of Health and Human Services. AL # 93.217, Family Planning Services, Department of Health and Human Services. AL # 93.092, Affordable Care Act (ACA) Personal Responsibility Education Program, Department of Health and Human Services. AL # 93.268, Immunization Cooperative Agreements, Department of Health and Human Services. AL # 93.994 Maternal and Child Health Services Block Grant to States. Criteria: Health centers must allocate fringe benefits to grants based on actual expenses. Condition: We noted fringe benefits were charged based on a flat budgeted percentage rather than actual expenses. Questioned Costs: $94,644. Estimated difference between budgeted percentage charged and actual entity wide percentage for the fiscal year. Cause and Effect: The Organization charged fringe benefits to various grants based on a budgeted percentage which resulted in fringes being over charged. Based on the actual fringe percentage calculated for the year, it was estimated that $66,844 was overcharged to various nonmajor federal grants and $28,000 was overcharged to AL # 21.027, Coronavirus State and Local Fiscal Recovery Funds. In addition, a journal entry was needed for AL # 93.224 and 93.527, Health Center Program Cluster of $101,266 to remove fringe amounts originally overcharged and replace them with eligible salaries. This was not a material amount for the Health Center Program Cluster. Recommendation: We recommend that fringe benefits be charged to grants based on the actual expenses to ensure costs are allowable and do not result in potential takeback of funds. Views of Responsible Officials: Management agrees with the finding. Corrective Action Plan: See attached corrective action plan.