Audit 291645

FY End

2021-12-31

Total Expended

$8.74M

Findings

2

Programs

6

Organization: Calhoun Liberty Hospital Association INC (FL)

Year: 2021 Accepted: 2024-02-22

Auditor: Draffin & Tucker LLP

Organization Exclusion Status:

Checking exclusion status...

ID	Ref	Severity	Repeat	Requirement
370124	2021-004	Material Weakness	-	ABL
946566	2021-004	Material Weakness	-	ABL

ALN	Program	Spent	Major	Findings
93.498	Provider Relief Fund	$3.57M	Yes	1
97.030	Community Disaster Loans	$2.90M	Yes	0
40.038	Community Development Projects	$1.90M	Yes	0
93.461	Covid-19 Testing for the Uninsured	$234,697	-	0
93.697	Covid-19 Testing for Rural Health Clinics	$100,000	-	0
64.003	Emergency Medical Services (ems) Matching Awards	$39,345	-	0

Contacts

Name	Title	Type
MVVFA4FW3CL4	Christinia Jepsen	Auditee
8506745411	Charles Horne	Auditor
No contacts on file

Notes to SEFA

Accounting Policies: 1. The accompanying schedule of expenditures of federal awards and state financial assistance (Schedule) includes the federal award and state financial assistance project activity of Calhoun-Liberty Hospital Association, Inc., D/B/A Calhoun-Liberty Hospital, (Hospital) under programs of the federal government and State of Florida for the year ended December 31, 2021. 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), the Federal Single Audit Act (Section 215.97, Florida Statutes), and the State of Florida Department of Financial Services, Chapter 69 I-5, Florida Administrative Code, State Financial Assistance, Chapter 10.650, Rules of the Auditor General. Because the Schedule presents only a selected portion of the operations of the Hospital, it is not intended to and does not present the financial position, change in net assets, or cash flows of the Hospital. 2. Expenditures reported on the Schedule are reported on the accrual basis of accounting which is consistent with the preparation of the Hospital’s financial statements. 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 Provider Relief Fund (PRF) amount reported on the Schedule represents the amount reported to the U.S. Department of Health and Human Services HRSA Reporting Portal for Period 1 as specified in the OMB Compliance Supplement. The Hospital did not receive any Period 2 PRF payments. 3. The Hospital did not have any non-cash awards during the fiscal year. 4. There were no awards passed through to subrecipients. 5. The Hospital has elected to not use the 10% de minimis indirect cost rate under the Uniform Guidance. 6. Federal expenditures under loan programs include any new loans made during the year and loans outstanding at the beginning of the year for which there are continuing compliance requirements. In November 2019, the Hospital was awarded $2,900,739 loan from the Federal Emergency Management Agency (FEMA) under the Community Disaster Loan (CDL) program under the major disaster declaration of October 11, 2018 for the State of Florida. Loan funds drawn down during the year ended December 31, 2021 were $2,150,739. In September 2021, the United States congress passed The Extending Government Funding and Delivering Emergency Assistance Act (P.L. 117-43). Pursuant to P.L. 117-43, repayment of the remaining balance of $2,900,739 was cancelled. The balance of the loan outstanding as of December 31, 2021 is $-0-. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.

Finding Details

Finding 2021-004

Federal agency: U.S. Department of Health and Human Services (HHS) Federal program title: COVID-19 Provider Relief Fund (PRF) – Period 1 Assistance Listing No.: 93.498 Criteria: Provider Relief Funds were provided under the Coronavirus Aid, Relief, and Economic Security Act and are to be used to prevent, prepare for, and respond to coronavirus. The funds shall reimburse the recipient only for expenses or lost revenues that are attributable to coronavirus and that have not been reimbursed from other sources or that other sources are obligated to reimburse. Condition: The Hospital reported expenses within the HHS Health Resources and Services Administration (HRSA) Reporting Portal that were reimbursed by other sources. Cause: Although the Hospital has a process in place to identify and report allowable expenses, the Hospital did not take into consideration HHS guidance as it relates to cost-based reimbursement. Effect and questioned costs: The Hospital reported expenses that were reimbursed by other sources of approximately $284,000, however there are additional coronavirus related expenses and lost revenues that were reported in the Period 1 portal submission to cover the identified issue. Recommendation: We recommend the Hospital design and implement controls, including levels of review, to ensure reports are submitted in accordance with the HHS guidelines with supporting documentation retained. Views of responsible officials and planned corrective actions: See management’s corrective action plan.

Finding 2021-004

Federal agency: U.S. Department of Health and Human Services (HHS) Federal program title: COVID-19 Provider Relief Fund (PRF) – Period 1 Assistance Listing No.: 93.498 Criteria: Provider Relief Funds were provided under the Coronavirus Aid, Relief, and Economic Security Act and are to be used to prevent, prepare for, and respond to coronavirus. The funds shall reimburse the recipient only for expenses or lost revenues that are attributable to coronavirus and that have not been reimbursed from other sources or that other sources are obligated to reimburse. Condition: The Hospital reported expenses within the HHS Health Resources and Services Administration (HRSA) Reporting Portal that were reimbursed by other sources. Cause: Although the Hospital has a process in place to identify and report allowable expenses, the Hospital did not take into consideration HHS guidance as it relates to cost-based reimbursement. Effect and questioned costs: The Hospital reported expenses that were reimbursed by other sources of approximately $284,000, however there are additional coronavirus related expenses and lost revenues that were reported in the Period 1 portal submission to cover the identified issue. Recommendation: We recommend the Hospital design and implement controls, including levels of review, to ensure reports are submitted in accordance with the HHS guidelines with supporting documentation retained. Views of responsible officials and planned corrective actions: See management’s corrective action plan.