FAC Explorer

Audit 294369

FY End
2023-05-31
Total Expended
$4.18M
Findings
4
Programs
3
Organization: Elaine Ellis Center of Health Inc. (DC)
Year: 2023 Accepted: 2024-03-11
Auditor: Bert Smith & CO

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
374678 2023-001 Significant Deficiency - P
374679 2023-002 - - L
951120 2023-001 Significant Deficiency - P
951121 2023-002 - - L

Programs

ALN Program Spent Major Findings
93.224 Consolidated Health Centers (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $3.92M Yes 1
93.527 Affordable Care Act (aca) Grants for New and Expanded Services Under the Health Center Program $161,475 Yes 1
93.526 Affordable Care Act (aca) Grants for Capital Development in Health Centers $97,699 - 0

Contacts

Name Title Type
RFJKYDVW7NJ3 Timothy Walker Auditee
2028032340 Stephanie Lane 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement De Minimis Rate Used: N Rate Explanation: The Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Elaine Ellis Center of Health, Inc. (the “Center”) under programs of the federal government for the year ended May 31, 2023. 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 selection portion of the operations of the Center, it is not intended to and does not present the balance sheet, changes in net assets, or cash flows of the Center
Title: 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 De Minimis Rate Used: N Rate Explanation: The Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance 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
Title: INDIRECT COST 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 De Minimis Rate Used: N Rate Explanation: The Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance The Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance

Finding Details

Finding 2023-001
Accounting records provide management with valuable insights into an organization’s profitability, liquidity, and overall financial health. As a result, it is imperative that organizations maintain accurate and complete accounting records, that are adequately supported with documentation. The Center has written accounting policies and procedures that outline the steps for processing, analyzing, and reconciling its account balances. However, during the audit, we identified some account balances that were not completely analyzed and reconciled and journal entries that were not supported with adequate documentation. Audit adjustments were made to correct the account balances. The Center does not have sufficient human resources in its accounting department to perform the monthly analysis and reconciliation of its account balances. The Center has one individual primarily performing its accounting functions. The additional resources will enable the Center to reconcile its accounts timelier and produce more accurate financial reports. Recommendation: We recommend the Center provide additional human resources to its accounting department. We also recommend the Center analyze and reconcile its accounts monthly and retain all documentation supporting the journal entries in its accounting system
Finding 2023-002
The Center must submit annually to the federal government a Uniform Data System (UDS) report which summarizes certain patient and financial activity for the calendar year. One of the line items in the report is the total drawdowns for the period. Based on our review, the drawdown amounts in the report did not agree with the Center’s accounting records. Performance and financial reports for federal awards should include all activity of the reporting period, be supported by applicable accounting or performance records, and be fairly presented in accordance with governing requirements. The Center miscalculated the drawdown totals for the calendar year. Although the Center’s management reviewed the UDS report prior to submission to the federal government, the supporting documents for the drawdown totals were not reviewed for overall accuracy and completeness. The Center miscalculated the drawdown totals for the calendar year. Although the Center’s management reviewed the UDS report prior to submission to the federal government, the supporting documents for the drawdown totals were not reviewed for overall accuracy and completeness. We recommend the Center have a designated person to independently review the accuracy and completeness of the supporting documents used to prepare the UDS report.
Finding 2023-001
Accounting records provide management with valuable insights into an organization’s profitability, liquidity, and overall financial health. As a result, it is imperative that organizations maintain accurate and complete accounting records, that are adequately supported with documentation. The Center has written accounting policies and procedures that outline the steps for processing, analyzing, and reconciling its account balances. However, during the audit, we identified some account balances that were not completely analyzed and reconciled and journal entries that were not supported with adequate documentation. Audit adjustments were made to correct the account balances. The Center does not have sufficient human resources in its accounting department to perform the monthly analysis and reconciliation of its account balances. The Center has one individual primarily performing its accounting functions. The additional resources will enable the Center to reconcile its accounts timelier and produce more accurate financial reports. Recommendation: We recommend the Center provide additional human resources to its accounting department. We also recommend the Center analyze and reconcile its accounts monthly and retain all documentation supporting the journal entries in its accounting system
Finding 2023-002
The Center must submit annually to the federal government a Uniform Data System (UDS) report which summarizes certain patient and financial activity for the calendar year. One of the line items in the report is the total drawdowns for the period. Based on our review, the drawdown amounts in the report did not agree with the Center’s accounting records. Performance and financial reports for federal awards should include all activity of the reporting period, be supported by applicable accounting or performance records, and be fairly presented in accordance with governing requirements. The Center miscalculated the drawdown totals for the calendar year. Although the Center’s management reviewed the UDS report prior to submission to the federal government, the supporting documents for the drawdown totals were not reviewed for overall accuracy and completeness. The Center miscalculated the drawdown totals for the calendar year. Although the Center’s management reviewed the UDS report prior to submission to the federal government, the supporting documents for the drawdown totals were not reviewed for overall accuracy and completeness. We recommend the Center have a designated person to independently review the accuracy and completeness of the supporting documents used to prepare the UDS report.