FAC Explorer

Audit 400245

FY End
2021-12-31
Total Expended
$1.75M
Findings
2
Programs
2
Organization: Central Mississippi Health Services Inc. (MS)
Year: 2021 Accepted: 2026-04-30
Auditor: BDO USA PC

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1210904 2021-002 Material Weakness Yes L
1210905 2021-002 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
93.527 GRANTS FOR NEW AND EXPANDED SERVICES UNDER THE HEALTH CENTER PROGRAM $1.42M Yes 1
93.224 HEALTH CENTER PROGRAM $333,325 Yes 1

Contacts

Name Title Type
M9TPEUYMHKF3 Marvel Turner Auditee
6013535820 Clint King Auditor
No contacts on file

Notes to SEFA

The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Central Mississippi Health Services, Inc. (the Corporation) under programs of the federal government for the year ended December 31, 2021. 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 Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Corporation.
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.
The Corporation has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.

Finding Details

Finding 2021-002
Finding 2021-002 – Delinquent filing Condition The Corporation’s monthly reconciliation and financial close processes were not performed timely which resulted in significant delays in performing the audit. Criteria Effective internal control over financial reporting requires management to maintain a structured monthly close process and to perform periodic reconciliations that support the general ledger in a timely manner. Cause and Effect These conditions were primarily attributable to significant turnover during the year, which reduced the Corporation’s capacity to perform reconciliations and execute the monthly close in a timely manner. As a result, controls over the financial close process were not performed timely, increasing the risk that misstatements or omissions would not be identified and corrected. The delay in closing the 2021 books indicates that financial information used for operational and governance decisions may have been incomplete or inaccurate, which increases overall business risk to the Corporation. Recommendation We recommend the Corporation continue strengthening and formalizing its reconciliation and monthly close procedures. Reconciliations of information to the general ledger should be performed on a recurring basis, differences should be researched and resolved promptly, and significant accounts should be evaluated for completeness and accuracy before the close is finalized. Views of Responsible Officials and Planned Corrective Action Responsible officials indicated that turnover during the year contributed to delays and inconsistencies in completing reconciliations and monthly close activities. Management has already made changes in personnel by adding increased expertise and experience to the personnel assigned to oversee these duties. Management plans to continue formalizing reconciliation and close procedures, improve the consistency and timeliness of account review and resolution of reconciling items. Management also has a plan to complete all outstanding audits as soon as possible.