FAC Explorer

Audit 397947

FY End
2024-12-31
Total Expended
$20.54M
Findings
1
Programs
3
Organization: Boulder City Hospital, Inc. (NV)
Year: 2024 Accepted: 2026-04-07
Auditor: EIDE BAILLY LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1206066 2024-003 Material Weakness Yes N

Programs

ALN Program Spent Major Findings
10.766 COMMUNITY FACILITIES LOANS AND GRANTS $17.74M Yes 1
10.768 BUSINESS AND INDUSTRY GUARANTEED LOANS $2.70M Yes 0
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $100,000 Yes 0

Contacts

Name Title Type
NWMZN7JGRL66 Doug Lewis Auditee
7022934111 Kevin Smith Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity of Boulder City Hospital, Inc. (the Hospital) under programs of the federal government for the year ended December 31, 2024. The information 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 Hospital, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Hospital.
Expenditures reported on the schedule are reported on the accrual basis of accounting. When applicable, 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. No federal financial assistance has been provided to a subrecipient.
The Hospital does not draw for indirect administrative expenses and has not elected to use the 10% de minimis cost rate.
Expenditures in this schedule consist of the beginning of the year outstanding loan balance plus advances made on the loan during the year. The outstanding balance at December 31, 2024 was as follows for the respective programs: COVID-19 CARES Act Business & Industry Guaranteed Loan 10.768 $2,912,645; Community Facilities Loans and Grants 10.766 $17,331,993. The COVID-19 CARES Act Business & Industry Guaranteed Loan has a 90% guarantee. Accordingly, the amount presented on the schedule represents 90% of the beginning of year outstanding loan balance and advances made during the year.

Finding Details

Finding 2024-003
U.S. Department of Agriculture Federal Financial Assistance Listing #10.766 FaCommunity cilities Loans and Grants Special Tests and Provisions Material Weakness in Internal Control Over Compliance and Material Noncompliance Criteria – 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and conditions of the federal award. The Loan Resolution Security Agreement requires a monthly amount to be set aside in a reserve fund until the specific account balance is reached. Condition – The Hospital did not sufficiently fund their reserve account. As of December 31, 2024, the Hospital should have USDA debt reserves at least equal to $459,327. The USDA debt reserves equaled $141,821 as of December 31, 2024. Cause – Management has not funded the USDA debt reserves adequately. Effect – The Hospital was not in compliance with their provisions of the USDA debt agreements. Questioned Costs – None reported. Context – Sampling was not used. Repeat Finding from Prior Years – Yes, repeated finding 2023-003. Recommendation – We recommend the Hospital fund the reserve account adequately at each measurement date. Views of Responsible Officials – Management agrees with the finding.