FAC Explorer

Audit 39407

FY End
2022-09-30
Total Expended
$9.95M
Findings
2
Programs
3
Organization: Guadalupe Regional Medical Center (TX)
Year: 2022 Accepted: 2023-08-16
Auditor: Forvis LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
42912 2022-001 Material Weakness - ABL
619354 2022-001 Material Weakness - ABL

Programs

ALN Program Spent Major Findings
93.498 Provider Relief Fund and American Rescue Plan (arp) Rural Distribution $9.50M Yes 1
93.461 Hrsa Covid-19 Claims Reimbursement for the Uninsured Program and the Covid-19 Coverage Assistance Fund $388,005 - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $58,392 - 0

Contacts

Name Title Type
K4BRNGSP1LA9 Kody Gann Auditee
8304017721 Andrea Sartin Auditor
No contacts on file

Notes to SEFA

Title: Basis of Presentation Accounting Policies: Expenditures reported 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. Negative amounts, if any, shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The Medical Center 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 Guadalupe Regional Medical Center (the Medical Center) under programs of the federal government for the year ended September 30, 2022. 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 Medical Center, it is not intended to and does not present the financial position, changes in net position or cash flows of the Medical Center. The schedule includes the expenditures of the following entities:1.)Guadalupe Regional Medical Center (TIN 74-1386053)2.)Guadalupe Regional Medical Group (TIN 27-2814620)
Title: Federal Loan Programs Accounting Policies: Expenditures reported 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. Negative amounts, if any, shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The Medical Center has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The Medical Center did not have any federal loan programs during the year ended September 30, 2022.
Title: Personal Protective Equipment (PPE) (Unaudited) Accounting Policies: Expenditures reported 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. Negative amounts, if any, shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The Medical Center has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. For the year ended September 30, 2022, the Medical Center did not receive donated PPE in response to the COVID-19 pandemic.

Finding Details

Finding 2022-001
COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498 U.S. Department of Health and Human Services Criteria or specific requirement ? Activities Allowed/Unallowed and Allowable Costs and Cost Principles (45 CFR 75.403) and Reporting (45 CFR 75.342) Condition ? The Medical Center is required to prepare and submit Provider Relief Fund reports. The reports are to be prepared using accurate financial information and submitted by the deadline established. Questioned costs ? $1,525,701 ? Calculated as the value of reported rent, lease and insurance expenditures that were not related to the Medical Center?s prevention, preparation and/or response to the COVID-19 pandemic. Context ? The Period 2 Provider Relief Fund report was submitted and included rent, lease and insurance expenditures. The Medical Center?s submitted report includes the operations of the Medical Center?s nursing home facilities. The nursing home facilities are managed by a third party company. The Medical Center compiled the nursing home facility?s expenditures as submitted and included in their submitted Period 2 report. One nursing home facility manager was unable to justify that the expenditures charged to the grant were related to the prevention, preparation and/or response to the COVID-19 pandemic. Effect ? Expenses may not be allowable. Cause ? The Medical Center did not properly report Other PRF expenditures. Identification as a repeat finding, if applicable ? Not a repeat finding. Recommendation ? Policies and procedures over federal grants should be modified to ensure federal funding is not used to reimburse expenses that are not allowable and that reports are prepared using complete and accurate information. Views of responsible officials and planned corrective actions ? See attached corrective action plan for the Medical Center?s response to finding.
Finding 2022-001
COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498 U.S. Department of Health and Human Services Criteria or specific requirement ? Activities Allowed/Unallowed and Allowable Costs and Cost Principles (45 CFR 75.403) and Reporting (45 CFR 75.342) Condition ? The Medical Center is required to prepare and submit Provider Relief Fund reports. The reports are to be prepared using accurate financial information and submitted by the deadline established. Questioned costs ? $1,525,701 ? Calculated as the value of reported rent, lease and insurance expenditures that were not related to the Medical Center?s prevention, preparation and/or response to the COVID-19 pandemic. Context ? The Period 2 Provider Relief Fund report was submitted and included rent, lease and insurance expenditures. The Medical Center?s submitted report includes the operations of the Medical Center?s nursing home facilities. The nursing home facilities are managed by a third party company. The Medical Center compiled the nursing home facility?s expenditures as submitted and included in their submitted Period 2 report. One nursing home facility manager was unable to justify that the expenditures charged to the grant were related to the prevention, preparation and/or response to the COVID-19 pandemic. Effect ? Expenses may not be allowable. Cause ? The Medical Center did not properly report Other PRF expenditures. Identification as a repeat finding, if applicable ? Not a repeat finding. Recommendation ? Policies and procedures over federal grants should be modified to ensure federal funding is not used to reimburse expenses that are not allowable and that reports are prepared using complete and accurate information. Views of responsible officials and planned corrective actions ? See attached corrective action plan for the Medical Center?s response to finding.