FAC Explorer

Audit 315911

FY End
2023-06-30
Total Expended
$14.15M
Findings
2
Programs
4
Organization: Southeast Iowa Regional Medical Center (IA)
Year: 2023 Accepted: 2024-07-25
Auditor: Cliftonlarsonallen LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
479413 2023-003 Material Weakness - B
1055855 2023-003 Material Weakness - B

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund $3.37M Yes 0
21.027 Coronavirus State and Local Fiscal Recovery Funds $250,000 - 0
93.217 Family Planning_services $134,680 - 0
93.575 Child Care and Development Block Grant $6,589 - 0

Contacts

Name Title Type
WJH3JNMLJCV1 Jeremy Alexander Auditee
3197683280 Korey Boelter, CPA Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: No funds were identified as having been provided to subrecipients by the Organization and accordingly, no funds identified in the schedule of expenditures of federal awards are attributable to subrecipient entities De Minimis Rate Used: Y Rate Explanation: The Organization has elected to use the 10% de minimis indirect cost rate allowable under the Uniform Guidance. The accompanying schedule of expenditures of federal awards includes the federal grant activity of Great River Health System, Inc. and Subsidiaries (the Organization) and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the applicable 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 of expenditures of federal awards presents only a selected portion of the operations of the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
Title: Reconcilation of SEFA and Financial Statements Accounting Policies: No funds were identified as having been provided to subrecipients by the Organization and accordingly, no funds identified in the schedule of expenditures of federal awards are attributable to subrecipient entities De Minimis Rate Used: Y Rate Explanation: The Organization has elected to use the 10% de minimis indirect cost rate allowable under the Uniform Guidance. The consolidated financial statements reflect revenue recognized from the Provider Relief Fund of $-0- and $3,369,628 and revenue recognized from the American Rescue Plan of $-0- and $9,905,408 for the years ended June 30, 2023 and 2022, respectively. The SEFA includes Provider Relief Funds of $3,369,628, including interest of $555 and American Rescue Plan Funds of $9,905,408, including interest of $1,238 that were received in Periods 4 and 5 in accordance with the requirements of the compliance supplement for assistance listing number 93.498.

Finding Details

Finding 2023-003
FINDING: 2023-003 ALLOWABLE COSTS Condition: During the performance of our audit engagement procedures, we identified some reported costs that were duplicated. Criteria: Provider Relief Funds are to be used to prevent, prepare for, and respond to coronavirus and the funds shall reimburse the recipient only for health care related expenses or lost revenues that are attributable to coronavirus. Cause: Lack of controls led to oversight in preparation of the costs attributable to coronavirus, which led to certain costs being duplicated in the reporting. Effect: The Organization's internal controls over compliance related to payroll were not effective and as a result caused an error in reporting. Questioned Costs: $2,450,733 Recommendation: We recommended the Organization put in place controls over compliance that mitigate the risk of errors in reporting. It was noted that the total unused lost revenues far exceeded the amounts used in the reporting period. Additional unused lost revenue would have been used had the expenses been reported appropriately. Management Response: Management will review calculations and support for all payroll expenditures to ensure accuracy in future reporting. Management also notes that they had sufficient unused lost revenues to cover the duplicated expenses that were reported incorrectly.
Finding 2023-003
FINDING: 2023-003 ALLOWABLE COSTS Condition: During the performance of our audit engagement procedures, we identified some reported costs that were duplicated. Criteria: Provider Relief Funds are to be used to prevent, prepare for, and respond to coronavirus and the funds shall reimburse the recipient only for health care related expenses or lost revenues that are attributable to coronavirus. Cause: Lack of controls led to oversight in preparation of the costs attributable to coronavirus, which led to certain costs being duplicated in the reporting. Effect: The Organization's internal controls over compliance related to payroll were not effective and as a result caused an error in reporting. Questioned Costs: $2,450,733 Recommendation: We recommended the Organization put in place controls over compliance that mitigate the risk of errors in reporting. It was noted that the total unused lost revenues far exceeded the amounts used in the reporting period. Additional unused lost revenue would have been used had the expenses been reported appropriately. Management Response: Management will review calculations and support for all payroll expenditures to ensure accuracy in future reporting. Management also notes that they had sufficient unused lost revenues to cover the duplicated expenses that were reported incorrectly.