FAC Explorer

Audit 362504

FY End
2023-12-31
Total Expended
$24.31M
Findings
2
Programs
1
Organization: Madison Parish Hospital Service District (LA)
Year: 2023 Accepted: 2025-07-17
Auditor: Richard CPAS LLC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
571542 2023-003 - - P
1147984 2023-003 - - P

Programs

ALN Program Spent Major Findings
10.766 Community Facilities Loans and Grants $24.31M Yes 1

Contacts

Name Title Type
NFFLGA63EQ23 Russell Hawkins Auditee
3185742374 Albert Richard Auditor
No contacts on file

Notes to SEFA

Title: 1. Summary of Significant Accounting Principals Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note 1 to the Organization’s financial statements for the year ended December 31, 2023. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: During the year ended December 31, 2023, the District did not elect to use the 10% de minimis cost rate as covered in §200.414 of the Uniform Guidance. PresentationThe accompanying Schedule of Expenditures of Federal Awards (SEFA) is prepared using the accrual basis of accounting.Complete Assistance Listing Numbers are presented for those programs for which such numbers were available. Assistance Listing Number prefixes and other identifying numbers are presented for programs for which a complete Assistance Listing Number is not available.
Title: 2. Indirect Cost Rate Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note 1 to the Organization’s financial statements for the year ended December 31, 2023. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: During the year ended December 31, 2023, the District did not elect to use the 10% de minimis cost rate as covered in §200.414 of the Uniform Guidance. The District has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance
Title: 3. Reconciliation of Provider Relief Fund Grant Revenue Recognized in the Financial Statements to Federal Awards Expended on the SEFA Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting, which is described in Note 1 to the Organization’s financial statements for the year ended December 31, 2023. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements. De Minimis Rate Used: N Rate Explanation: During the year ended December 31, 2023, the District did not elect to use the 10% de minimis cost rate as covered in §200.414 of the Uniform Guidance. The award was funded through a payout of the interim loan utilized to finance construction Which was completed in March 2023. The remaining balance outstanding on the loan as of December 31, 2023 was $24,087.256.

Finding Details

Finding 2023-003
Criteria: In accordance with the Louisiana Revised Statute (R.S.) 24:513 and 24:514, audit reports are due to the Louisiana Legislative Auditor (LLA) no later than six months after the local auditee’s fiscal year end. In accordance with the Uniform Guidance, the Office is required to submit the annual audit reporting package and Data Collection Form to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditors’ reports or nine months after the end of the audit period Condition: The Hospital did not file the required annual audit report nor its report to the Federal Audit Clearing House within the prescribed time deadline including a non-emergency extension granted by the Legislative Auditor until September 30, 2024. Cause: The Hospital Chief Financial Officer resigned in late 2023. A new Chief Executive Officer and Chief Financial Officer were hired in early 2024; those executives resigned or were terminated by November 2024. The Hospital’s previous auditor declined to continue; replacement auditors were engaged on March 18, 2024. Matters related to net patient revenues and capital assets were not resolved until late 2024. Effect: The required annual audit reports were not completed until December 2024 resulting in the Hospital not being compliant with the filing requirements of the Louisiana Legislative Auditor or the Federal Clear House. Recommendation: We recommend that the Hospital adopt practices and procedures that will provide for timely closing and preparation of the financial statements to allow for timely fining as required.
Finding 2023-003
Criteria: In accordance with the Louisiana Revised Statute (R.S.) 24:513 and 24:514, audit reports are due to the Louisiana Legislative Auditor (LLA) no later than six months after the local auditee’s fiscal year end. In accordance with the Uniform Guidance, the Office is required to submit the annual audit reporting package and Data Collection Form to the Federal Audit Clearinghouse within the earlier of 30 calendar days after receipt of the auditors’ reports or nine months after the end of the audit period Condition: The Hospital did not file the required annual audit report nor its report to the Federal Audit Clearing House within the prescribed time deadline including a non-emergency extension granted by the Legislative Auditor until September 30, 2024. Cause: The Hospital Chief Financial Officer resigned in late 2023. A new Chief Executive Officer and Chief Financial Officer were hired in early 2024; those executives resigned or were terminated by November 2024. The Hospital’s previous auditor declined to continue; replacement auditors were engaged on March 18, 2024. Matters related to net patient revenues and capital assets were not resolved until late 2024. Effect: The required annual audit reports were not completed until December 2024 resulting in the Hospital not being compliant with the filing requirements of the Louisiana Legislative Auditor or the Federal Clear House. Recommendation: We recommend that the Hospital adopt practices and procedures that will provide for timely closing and preparation of the financial statements to allow for timely fining as required.