FAC Explorer

Audit 385185

FY End
2024-06-30
Total Expended
$1.12M
Findings
1
Programs
3
Organization: Greater Baltimore Medical Center, INC (MD)
Year: 2024 Accepted: 2026-02-03
Auditor: KPMG LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1172059 2024-001 Material Weakness Yes P

Programs

ALN Program Spent Major Findings
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $752,917 Yes 1
16.575 CRIME VICTIM ASSISTANCE $360,905 Yes 0
93.395 CANCER TREATMENT RESEARCH $5,708 Yes 0

Contacts

Name Title Type
HVD2ST69XRW4 Joshua Brake Auditee
4438496605 Derek Hardesty Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes federal grant activity of Greater Baltimore Medical Center HealthCare, Inc. (GBMC or the Company) and is presented on the accrual basis of accounting. 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. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the consolidated financial statements. The Company did not pass through funds to any subrecipients.
The Company has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
During the audit of the consolidated financial statements for the year ended June 30, 2025, it was identified that an error occurred in the reporting of the federal expenditures related to the COVID-19: Coronavirus State and Local Fiscal Recovery Funds (ALN 21.027). The Schedule reported an amount of $1,137,506, which was overstated by $676,054 due to inclusion of certain costs from the year ended June 30, 2023 and understated by $291,465 due to the reporting of expenditures based on cash receipts, resulting in a net overstatement of the Schedule for the year ended June 30, 2024 of $384,589. The Schedule has been restated to remove $384,589 in expenditures for the COVID-19: Coronavirus State and Local Fiscal Recovery Funds program (ALN 21.027). Additionally, the Company determined that ALN 97.036 – Disaster Grants - Public Assistance (Presidentially Declared Disasters) was overstated by $13,037. The net of the above amounts resulted in total expenditures of $397,626 being removed from the Schedule for the year ended June 30, 2024.

Finding Details

Finding 2024-001
The Company did not have adequate controls for reporting expenditures on the SEFA for the COVID-19: Coronavirus State and Local Fiscal Recovery Funds (SLFRF). Specifically, management stated that ineffective communication between the grants and accounting departments led to the creation of a general ledger account for SLFRF that was not properly coded as a federal award. Additionally, the Company lacked documented procedures for recording expenditures in the correct fiscal year. This resulted in management erroneously recording expenditures on the SEFA using the cash basis rather than the accrual basis of accounting. Due to these conditions, the Company identified two errors during fiscal year 2024: • $676,054 of fiscal year 2023 SLFRF expenditures were incorrectly included on the June 30, 2024 SEFA because the award had not been identified as federal in the general ledger. • $291,465 of fiscal year 2024 SLFRF expenditures were incorrectly excluded from the June 30, 2024 SEFA because the Company used the cash basis instead of the accrual basis of accounting. As a result, the June 30, 2024 SEFA was restated to reduce SLFRF expenditures by $384,589.