FAC Explorer

Audit 317597

FY End
2023-12-31
Total Expended
$1.06M
Findings
4
Programs
1
Organization: White Memorial Community Health Center (CA)
Year: 2023 Accepted: 2024-08-20
Auditor: Vasquez & CO LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
484705 2023-001 - - N
484706 2023-001 - - N
1061147 2023-001 - - N
1061148 2023-001 - - N

Programs

ALN Program Spent Major Findings
93.527 Affordable Care Act (aca) Grants for New and Expanded Services Under the Health Center Program $245,016 Yes 1

Contacts

Name Title Type
Z2NJDMFY76L2 Eduardo Cua Auditee
3238593629 Arcelita Peran Auditor
No contacts on file

Notes to SEFA

Title: NOTE 1 BASIS OF PRESENTATION Accounting Policies: Expenditures 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. Program expenditures in excess of the maximum reimbursement authorized or the program expenditures that were funded with nonfederal funds are excluded from the accompanying Schedule. De Minimis Rate Used: N Rate Explanation: The Organization 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 (Schedule) includes the federal award activity of White Memorial Community Health Center under programs of the federal government for the year ended December 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 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: NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Expenditures 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. Program expenditures in excess of the maximum reimbursement authorized or the program expenditures that were funded with nonfederal funds are excluded from the accompanying Schedule. De Minimis Rate Used: N Rate Explanation: The Organization has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Expenditures 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. Program expenditures in excess of the maximum reimbursement authorized or the program expenditures that were funded with nonfederal funds are excluded from the accompanying Schedule. The Organization has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE 3 SUBRECIPIENTS Accounting Policies: Expenditures 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. Program expenditures in excess of the maximum reimbursement authorized or the program expenditures that were funded with nonfederal funds are excluded from the accompanying Schedule. De Minimis Rate Used: N Rate Explanation: The Organization has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The Organization provided no federal awards to subrecipients for the year ended December 31, 2023.
Title: NOTE 4 RELATIONSHIP OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS TO THE FINANCIAL STATEMENTS Accounting Policies: Expenditures 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. Program expenditures in excess of the maximum reimbursement authorized or the program expenditures that were funded with nonfederal funds are excluded from the accompanying Schedule. De Minimis Rate Used: N Rate Explanation: The Organization has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Consistent with management’s policy, federal awards are recorded in the same account categories as grants from other sources, which are together reported as government grants and contracts revenue. As a result, the amount of total federal awards reported on the Schedule does not agree to total grants and contracts revenues on the Statement of Activities as presented in the Organization's Audited Financial Statements as of and for the year ended December 31, 2023.

Finding Details

Finding 2023-001
Assistance Listing Number (ALN): 93.527 Assistance Listing Program Title: Health Center Program Cluster Federal Agency: Department of Health and Human Services (HHS) Passed Through Entity: Not applicable Federal Award Numbers: L2C42346 H8G48898 Federal Award Year: July 1, 2021 to June 30, 2024 December 1, 2022 to December 31, 2023 Compliance Requirement: Special Tests and Provisions – Sliding Fee Discounts Criteria or Specific Requirements Section N (1) Special Tests and Provisions – Sliding Fee Discounts of Part 4 Agency Program Requirements of the Health Center Program Cluster, states that “Health centers must have a schedule of fees or payments for the provision of their health services consistent with locally prevailing rates or charges and designed to cover their reasonable costs of operation. They are also required to have a corresponding schedule of discounts applied and adjusted based on the patient’s ability to pay. The patient’s ability to pay is determined based on the official poverty guidelines, as revised annually by the U.S. Department of Health and Human Services (HHS). The poverty guidelines are issued each year in the Federal Register and HHS maintains a web page that provides the poverty guidelines.” Condition The Organization determines the amount of fees to be charged to a patient based on the patient’s income, expenses, and number of dependents in conjunction with the sliding fee schedule. Of the 25 patients selected for testing, we noted two patients who were charged the incorrect sliding fee amount. One patient was overcharged by $3, while the other was undercharged by $40. Questioned Costs None. Causes and Effect The Organization’s staff inadvertently applied the incorrect sliding fee amount due to insufficient training and oversight. As a result, the determination of the patient’s co-pay was not consistent with the sliding fee schedule. Recommendation We recommend that the Organization strengthen its internal control procedures to ensure the accurate determination and application of the sliding fee discounts. Specifically, the Organization should provide additional training to staff involved in the sliding fee process and ensure that appropriate individuals are monitoring and reviewing the Organization’s compliance with the program requirements. This will help ensure that patients are charged the proper sliding fee and that program goals and objectives are met.
Finding 2023-001
Assistance Listing Number (ALN): 93.527 Assistance Listing Program Title: Health Center Program Cluster Federal Agency: Department of Health and Human Services (HHS) Passed Through Entity: Not applicable Federal Award Numbers: L2C42346 H8G48898 Federal Award Year: July 1, 2021 to June 30, 2024 December 1, 2022 to December 31, 2023 Compliance Requirement: Special Tests and Provisions – Sliding Fee Discounts Criteria or Specific Requirements Section N (1) Special Tests and Provisions – Sliding Fee Discounts of Part 4 Agency Program Requirements of the Health Center Program Cluster, states that “Health centers must have a schedule of fees or payments for the provision of their health services consistent with locally prevailing rates or charges and designed to cover their reasonable costs of operation. They are also required to have a corresponding schedule of discounts applied and adjusted based on the patient’s ability to pay. The patient’s ability to pay is determined based on the official poverty guidelines, as revised annually by the U.S. Department of Health and Human Services (HHS). The poverty guidelines are issued each year in the Federal Register and HHS maintains a web page that provides the poverty guidelines.” Condition The Organization determines the amount of fees to be charged to a patient based on the patient’s income, expenses, and number of dependents in conjunction with the sliding fee schedule. Of the 25 patients selected for testing, we noted two patients who were charged the incorrect sliding fee amount. One patient was overcharged by $3, while the other was undercharged by $40. Questioned Costs None. Causes and Effect The Organization’s staff inadvertently applied the incorrect sliding fee amount due to insufficient training and oversight. As a result, the determination of the patient’s co-pay was not consistent with the sliding fee schedule. Recommendation We recommend that the Organization strengthen its internal control procedures to ensure the accurate determination and application of the sliding fee discounts. Specifically, the Organization should provide additional training to staff involved in the sliding fee process and ensure that appropriate individuals are monitoring and reviewing the Organization’s compliance with the program requirements. This will help ensure that patients are charged the proper sliding fee and that program goals and objectives are met.
Finding 2023-001
Assistance Listing Number (ALN): 93.527 Assistance Listing Program Title: Health Center Program Cluster Federal Agency: Department of Health and Human Services (HHS) Passed Through Entity: Not applicable Federal Award Numbers: L2C42346 H8G48898 Federal Award Year: July 1, 2021 to June 30, 2024 December 1, 2022 to December 31, 2023 Compliance Requirement: Special Tests and Provisions – Sliding Fee Discounts Criteria or Specific Requirements Section N (1) Special Tests and Provisions – Sliding Fee Discounts of Part 4 Agency Program Requirements of the Health Center Program Cluster, states that “Health centers must have a schedule of fees or payments for the provision of their health services consistent with locally prevailing rates or charges and designed to cover their reasonable costs of operation. They are also required to have a corresponding schedule of discounts applied and adjusted based on the patient’s ability to pay. The patient’s ability to pay is determined based on the official poverty guidelines, as revised annually by the U.S. Department of Health and Human Services (HHS). The poverty guidelines are issued each year in the Federal Register and HHS maintains a web page that provides the poverty guidelines.” Condition The Organization determines the amount of fees to be charged to a patient based on the patient’s income, expenses, and number of dependents in conjunction with the sliding fee schedule. Of the 25 patients selected for testing, we noted two patients who were charged the incorrect sliding fee amount. One patient was overcharged by $3, while the other was undercharged by $40. Questioned Costs None. Causes and Effect The Organization’s staff inadvertently applied the incorrect sliding fee amount due to insufficient training and oversight. As a result, the determination of the patient’s co-pay was not consistent with the sliding fee schedule. Recommendation We recommend that the Organization strengthen its internal control procedures to ensure the accurate determination and application of the sliding fee discounts. Specifically, the Organization should provide additional training to staff involved in the sliding fee process and ensure that appropriate individuals are monitoring and reviewing the Organization’s compliance with the program requirements. This will help ensure that patients are charged the proper sliding fee and that program goals and objectives are met.
Finding 2023-001
Assistance Listing Number (ALN): 93.527 Assistance Listing Program Title: Health Center Program Cluster Federal Agency: Department of Health and Human Services (HHS) Passed Through Entity: Not applicable Federal Award Numbers: L2C42346 H8G48898 Federal Award Year: July 1, 2021 to June 30, 2024 December 1, 2022 to December 31, 2023 Compliance Requirement: Special Tests and Provisions – Sliding Fee Discounts Criteria or Specific Requirements Section N (1) Special Tests and Provisions – Sliding Fee Discounts of Part 4 Agency Program Requirements of the Health Center Program Cluster, states that “Health centers must have a schedule of fees or payments for the provision of their health services consistent with locally prevailing rates or charges and designed to cover their reasonable costs of operation. They are also required to have a corresponding schedule of discounts applied and adjusted based on the patient’s ability to pay. The patient’s ability to pay is determined based on the official poverty guidelines, as revised annually by the U.S. Department of Health and Human Services (HHS). The poverty guidelines are issued each year in the Federal Register and HHS maintains a web page that provides the poverty guidelines.” Condition The Organization determines the amount of fees to be charged to a patient based on the patient’s income, expenses, and number of dependents in conjunction with the sliding fee schedule. Of the 25 patients selected for testing, we noted two patients who were charged the incorrect sliding fee amount. One patient was overcharged by $3, while the other was undercharged by $40. Questioned Costs None. Causes and Effect The Organization’s staff inadvertently applied the incorrect sliding fee amount due to insufficient training and oversight. As a result, the determination of the patient’s co-pay was not consistent with the sliding fee schedule. Recommendation We recommend that the Organization strengthen its internal control procedures to ensure the accurate determination and application of the sliding fee discounts. Specifically, the Organization should provide additional training to staff involved in the sliding fee process and ensure that appropriate individuals are monitoring and reviewing the Organization’s compliance with the program requirements. This will help ensure that patients are charged the proper sliding fee and that program goals and objectives are met.