FAC Explorer

Audit 308302

FY End
2023-09-30
Total Expended
$3.21M
Findings
2
Programs
2
Organization: Seminole Hospital District of Gaines County (TX)
Year: 2023 Accepted: 2024-06-06
Auditor: Forvis Mazars

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
400165 2023-003 Material Weakness - L
976607 2023-003 Material Weakness - L

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund $3.20M Yes 1
93.301 Small Rural Hospital Improvement Grant Program $10,990 - 0

Contacts

Name Title Type
FM5JS5YJJT35 John Everett Auditee
4327584945 Danielle Zimmerman 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 or other regulatory requirements, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The District 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 award activity of Seminole Hospital District (the District) under programs of the federal government for the year ended September 30, 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 selected portion of the operations of the District, it is not intended to and does not present the financial position, changes in net position or cash flows of the District.
Title: Federal Loan Programs 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 or other regulatory requirements, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The District has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The District did not have any federal loan programs during the year ended September 30, 2023.
Title: Personal Protective Equipment (PPE) (Unaudited) 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 or other regulatory requirements, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The District has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. For the year ended September 30, 2023, the District received $0 in federally donated personal protective equipment in response to the COVID-19 pandemic.

Finding Details

Finding 2023-003
COVID-19 Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498 U.S. Department of Health and Human Services Payments Received July 1, 2021 to December 31, 2023 or Reporting Period 4 Criteria or specific requirement – Reporting (45 CFR 75.342) Condition – The District is required to prepare and submit accurate provider relief fund reporting. These reports are to be prepared using accurate financial information and submitted by the deadline established. Questioned costs – None Context – The period four Provider Relief Fund report was tested. When testing the underlying financial information, errors in the information were identified, thus resulting in errors in the reported total revenue/net charges from patient care due to using cash receipts rather than accrual based revenue. Effect – Errors were made in reporting quarterly Total Revenue/Net Charges from Patient Care. Lost revenues were not accurately reported. Cause – The District did not correctly summarize patient service revenue in their calculation. Identification as a repeat finding, if applicable – Not a repeat finding. Recommendation – Policies and procedures over federal grant reporting should be modified to ensure reports are prepared using complete and accurate information. Views of responsible officials and planned corrective actions: Policies and procedures over federal grant reporting will be modified to ensure reports are prepared using complete and accurate information. Management will increase compensation controls by introducing additional oversight and review for future COVID-19 PRF reporting.
Finding 2023-003
COVID-19 Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498 U.S. Department of Health and Human Services Payments Received July 1, 2021 to December 31, 2023 or Reporting Period 4 Criteria or specific requirement – Reporting (45 CFR 75.342) Condition – The District is required to prepare and submit accurate provider relief fund reporting. These reports are to be prepared using accurate financial information and submitted by the deadline established. Questioned costs – None Context – The period four Provider Relief Fund report was tested. When testing the underlying financial information, errors in the information were identified, thus resulting in errors in the reported total revenue/net charges from patient care due to using cash receipts rather than accrual based revenue. Effect – Errors were made in reporting quarterly Total Revenue/Net Charges from Patient Care. Lost revenues were not accurately reported. Cause – The District did not correctly summarize patient service revenue in their calculation. Identification as a repeat finding, if applicable – Not a repeat finding. Recommendation – Policies and procedures over federal grant reporting should be modified to ensure reports are prepared using complete and accurate information. Views of responsible officials and planned corrective actions: Policies and procedures over federal grant reporting will be modified to ensure reports are prepared using complete and accurate information. Management will increase compensation controls by introducing additional oversight and review for future COVID-19 PRF reporting.