Audit 302628

FY End
2021-12-31
Total Expended
$3.12M
Findings
2
Programs
1
Year: 2021 Accepted: 2024-04-04

Organization Exclusion Status:

Checking exclusion status...

Findings

ID Ref Severity Repeat Requirement
392304 2021-001 - - L
968746 2021-001 - - L

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund $3.12M Yes 1

Contacts

Name Title Type
DNVPX3HTM3N4 Michael Hitchcock Auditee
8504332155 Allison Jones Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 - GENERAL Accounting Policies: Basis of Presentation: The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) is prepared in accordance with the accrual basis of accounting. The Schedule includes the expenditures of Covenant Health and Community Services, Inc., whose Tax Identification Number is 46-5132177. Provider Relief Fund and American Rescue Plan Rural Distribution – Assistance Listing Number 93.498: For the HHS awards related to the Provider Relief Fund (“PRF”) and American Rescue Plan (“ARP”) Rural Distribution program, HHS has indicated the amounts on the Schedule be reported corresponding to reporting requirements of the 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 $3,116,893 received from HHS between April 10, 2020 through June 30, 2020 and $312 in interest earnings thereon. In accordance with guidance from HHS, these amounts are presented as Period 1. Such amounts were recognized as income in the Organization’s financial statements as shown in the Schedule during the year ended December 31, 2020. Indirect Cost Rate: The Organization neither has an indirect cost agreement nor uses the 10% de minimis indirect cost rate. Subsequent Events: The Schedule and related disclosures include evaluation of events through March 28, 2024, which is the date the Schedule was available to be issued. De Minimis Rate Used: N Rate Explanation: No allocated overhead Covenant Health and Community Services, Inc. (the “Organization”) is a health system caring for patients across Florida through hospitals, outpatient facilities, home health, and preventative services. Federal funds were received in awards from the U.S. Department of Health and Human Services (“HHS”), including through federal programs established by legislation issued in response to the COVID-19 pandemic (e.g. Coronavirus Aid, Relief, and Economic Security (“CARES”) Act or the American Rescue Plan (“ARP”).
Title: NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Basis of Presentation: The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) is prepared in accordance with the accrual basis of accounting. The Schedule includes the expenditures of Covenant Health and Community Services, Inc., whose Tax Identification Number is 46-5132177. Provider Relief Fund and American Rescue Plan Rural Distribution – Assistance Listing Number 93.498: For the HHS awards related to the Provider Relief Fund (“PRF”) and American Rescue Plan (“ARP”) Rural Distribution program, HHS has indicated the amounts on the Schedule be reported corresponding to reporting requirements of the 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 $3,116,893 received from HHS between April 10, 2020 through June 30, 2020 and $312 in interest earnings thereon. In accordance with guidance from HHS, these amounts are presented as Period 1. Such amounts were recognized as income in the Organization’s financial statements as shown in the Schedule during the year ended December 31, 2020. Indirect Cost Rate: The Organization neither has an indirect cost agreement nor uses the 10% de minimis indirect cost rate. Subsequent Events: The Schedule and related disclosures include evaluation of events through March 28, 2024, which is the date the Schedule was available to be issued. De Minimis Rate Used: N Rate Explanation: No allocated overhead Basis of Presentation: The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) is prepared in accordance with the accrual basis of accounting. The Schedule includes the expenditures of Covenant Health and Community Services, Inc., whose Tax Identification Number is 46-5132177. Provider Relief Fund and American Rescue Plan Rural Distribution – Assistance Listing Number 93.498: For the HHS awards related to the Provider Relief Fund (“PRF”) and American Rescue Plan (“ARP”) Rural Distribution program, HHS has indicated the amounts on the Schedule be reported corresponding to reporting requirements of the 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 $3,116,893 received from HHS between April 10, 2020 through June 30, 2020 and $312 in interest earnings thereon. In accordance with guidance from HHS, these amounts are presented as Period 1. Such amounts were recognized as income in the Organization’s financial statements as shown in the Schedule during the year ended December 31, 2020. Indirect Cost Rate: The Organization neither has an indirect cost agreement nor uses the 10% de minimis indirect cost rate. Subsequent Events: The Schedule and related disclosures include evaluation of events through March 28, 2024, which is the date the Schedule was available to be issued.

Finding Details

The Organization originally submitted its audit report dated September 19, 2022 on the Schedule of Income from U.S. Department of Health and Human Services Awards for the HHS Provider Relief Fund and American Rescue Plan Rural Distribution for the periods of availability which ended during the year ended December 31, 2021 to PRFaudits@hrsa.gov. In March 2024, the Organization was informed that the submission was rejected as the reporting portal at PRFaudits@hrsa.gov was appropriate for commercial entities only. Upon consultation with the auditors, it was determined that the form and content of the original audit report and the manner of submission needed to be revised to comply with the reporting requirements pursuant to the Uniform Guidance for nonfederal entities.
The Organization originally submitted its audit report dated September 19, 2022 on the Schedule of Income from U.S. Department of Health and Human Services Awards for the HHS Provider Relief Fund and American Rescue Plan Rural Distribution for the periods of availability which ended during the year ended December 31, 2021 to PRFaudits@hrsa.gov. In March 2024, the Organization was informed that the submission was rejected as the reporting portal at PRFaudits@hrsa.gov was appropriate for commercial entities only. Upon consultation with the auditors, it was determined that the form and content of the original audit report and the manner of submission needed to be revised to comply with the reporting requirements pursuant to the Uniform Guidance for nonfederal entities.