FAC Explorer

Audit 327960

FY End
2022-12-31
Total Expended
$10.81M
Findings
2
Programs
1
Organization: Major Hospital (IN)
Year: 2022 Accepted: 2024-11-12
Auditor: Blue & CO LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
505323 2022-001 - - L
1081765 2022-001 - - L

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund $10.81M Yes 1

Contacts

Name Title Type
CN93KMP28469 Ralph Mercuri Auditee
3173923211 Scott Prentice Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards 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. Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal grant activity of Major Health Partners (MHP) under programs of the federal government for the year ended December 31, 2022 and is presented on the accrual basis of accounting. The information in the 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 (the Uniform Guidance). Because the Schedule presents only a selected portion of the operations of MHP, it is not intended to and does not present the net position, changes in net position, or cash flows of MHP.
Title: Pass-Through Funds to Sub-Recipients Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards 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. Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. During 2022, MHP did not pass-through funds to sub-recipients.
Title: Provider Relief Funds Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards 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. Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. Under terms and conditions of the Provider Relief Funds (PRF) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act and American Rescue Plan (ARP) Act, MHP is required to report Coronavirus Disease 2019 (COVID-19) related expenses and lost revenue to the U.S. Department of Health and Human Services (HHS). Guidance from HHS has required the reporting of the COVID-19 related expenses and lost revenue in certain reporting periods based on when the funds were received. The 2022 Schedule includes PRF of approximately $10,806,000 which was received by MHP in 2021. MHP recognized this amount as revenue in its 2021 statement of revenues, expenses and changes in net position as the terms and conditions of the PRF grant were satisfied by MHP during 2021. HHS required these PRF amounts be reported on the 2022 Schedule rather than the 2021 Schedule.
Title: Fair Market Value of Donated Personal Protective Equipment (Unaudited) Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards 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. Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. During 2022, MHP did not receive donated personal protective equipment from federal sources.

Finding Details

Finding 2022-001
2022-001 – Other Matter - Submission of Single Audit reporting package. Criteria – The Single Audit reporting package is due to the Federal Audit Clearinghouse within nine months after year end as stated in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F, Section 200.512(a)(1). Condition – The Single Audit reporting package was not submitted within this timeframe. Questioned costs - $-0- Context – Single Audit requirements direct the grant recipient to comply with the filing requisites. Effect - The Single Audit reporting package was not submitted to the Federal Audit Clearinghouse within the timeframe which resulted in an instance of noncompliance. Cause – Due to delays in obtaining testing support documentation, the Single Audit reporting package was not submitted to the Federal Audit Clearinghouse within the timeframe. Recommendation – We recommend MHP file the Single Audit reporting package with the Federal Audit Clearinghouse. Views of Responsible Officials and Planned Corrective Actions – Management understands the due date for Single Audit reporting package submission to the Federal Audit Clearinghouse and will file the Single Audit reporting package as soon as possible.
Finding 2022-001
2022-001 – Other Matter - Submission of Single Audit reporting package. Criteria – The Single Audit reporting package is due to the Federal Audit Clearinghouse within nine months after year end as stated in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, Subpart F, Section 200.512(a)(1). Condition – The Single Audit reporting package was not submitted within this timeframe. Questioned costs - $-0- Context – Single Audit requirements direct the grant recipient to comply with the filing requisites. Effect - The Single Audit reporting package was not submitted to the Federal Audit Clearinghouse within the timeframe which resulted in an instance of noncompliance. Cause – Due to delays in obtaining testing support documentation, the Single Audit reporting package was not submitted to the Federal Audit Clearinghouse within the timeframe. Recommendation – We recommend MHP file the Single Audit reporting package with the Federal Audit Clearinghouse. Views of Responsible Officials and Planned Corrective Actions – Management understands the due date for Single Audit reporting package submission to the Federal Audit Clearinghouse and will file the Single Audit reporting package as soon as possible.