FAC Explorer

Audit 43642

FY End
2022-12-31
Total Expended
$1.54M
Findings
2
Programs
6
Organization: Hospital Authority of Candler County (GA)
Year: 2022 Accepted: 2023-09-28
Auditor: Draffin & Tucker LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
50135 2022-001 Material Weakness - L
626577 2022-001 Material Weakness - L

Programs

ALN Program Spent Major Findings
93.498 Covid-19 - Provider Relief Fund - Period 4 $1.13M Yes 1
10.766 Community Facilities Loans and Grants $244,260 - 0
93.155 Covid-19 - Small Rural Hospital Improvement Grant - Testing and Mitigation Program $120,000 - 0
93.461 Covid-19 - Claims Reimbursement for the Uninsured Program $22,123 - 0
93.912 Covid-19 - Rhc Vaccine Confidence Program $20,697 - 0
93.241 State Rural Hospital Flexibility Program $5,000 - 0

Contacts

Name Title Type
MFM8KN662SE5 Will Bennett Auditee
9126855741 Charles Horne Auditor
No contacts on file

Notes to SEFA

Title: Loans/Outstanding Loan Balances Accounting Policies: 1. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Candler County Hospital Authority (Authority) under programs of the federal government for the year ended December 31, 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 Authority, it is not intended to and does not present the financial position, change in net position, or cash flows of the Authority. 2. Expenditures reported on the Schedule are reported on the accrual basis of accounting which is consistent with the preparation of the Authority's financial statements. 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 reimbursement. The Provider Relief Fund (PRF) amount reported on the Schedule represents the amount reported to the U.S. Department of Health and Human Services HRSA Reporting Portal for Period 4 as specified in the OMB Compliance Supplement. Candler County Hospital Authority did not receive any Period 3 PRF payments. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Federal expenditures under loan programs include any new loans made during the year and loans outstanding at the beginning of the year for which there are continuing compliance requirements. There were no new loans for the year ended December 31, 2022. The balance of the loan outstanding as of December 31, 2022 is $129,074.
Title: Non-Cash Awards Accounting Policies: 1. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Candler County Hospital Authority (Authority) under programs of the federal government for the year ended December 31, 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 Authority, it is not intended to and does not present the financial position, change in net position, or cash flows of the Authority. 2. Expenditures reported on the Schedule are reported on the accrual basis of accounting which is consistent with the preparation of the Authority's financial statements. 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 reimbursement. The Provider Relief Fund (PRF) amount reported on the Schedule represents the amount reported to the U.S. Department of Health and Human Services HRSA Reporting Portal for Period 4 as specified in the OMB Compliance Supplement. Candler County Hospital Authority did not receive any Period 3 PRF payments. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The Authority did not have any non-cash awards during the fiscal year.
Title: Subrecipients Accounting Policies: 1. The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Candler County Hospital Authority (Authority) under programs of the federal government for the year ended December 31, 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 Authority, it is not intended to and does not present the financial position, change in net position, or cash flows of the Authority. 2. Expenditures reported on the Schedule are reported on the accrual basis of accounting which is consistent with the preparation of the Authority's financial statements. 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 reimbursement. The Provider Relief Fund (PRF) amount reported on the Schedule represents the amount reported to the U.S. Department of Health and Human Services HRSA Reporting Portal for Period 4 as specified in the OMB Compliance Supplement. Candler County Hospital Authority did not receive any Period 3 PRF payments. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. There were no awards passed through to subrecipients.

Finding Details

Finding 2022-001
Criteria: Provider Relied Funds were provided under the Coronavirus Aid, Relief, and Economic Security Act and are to be used to prevent, prepare for and respond to coronavirus. The funds shall reimburse the recipient only for expenses or lost revenues that are attributable to coronavirus. The funds may not be used to reimburse from other sources or that other sources are obligated to reimburse. Condition: The Authority reported duplicate expenses within the HHS Health Resources and Services Administration (HRSA) Reporting Portal Period 4 submission. Cause: Although the Authority has a process in place to identify and report allowable expenses, an appropriate review process was not in place to detect and correct any duplicate expenditures. Effect: The Authority reported expenses within the HHS HRSA Reporting Portal Period 4 submission which were not allowed based on the terms and conditions of the award. Questioned Costs: $205,670 of duplicate expenses were improperly included in Period 4 reporting submission. Context: Upon testing the compliance requirements of this program, it was determined that certain expenditure items were reported twice and therefore, not in compliance with guidance provided by HHS. However, the Period 4 reporting submission included $440,399 of unreimbursed expenses attributable to coronavirus and $777,380 of unused lost revenues that the Authority believe could offset the issue identified above. Recommendation: We recommend the Authority design and implement controls, including levels of review, to ensure qualifying expenses submitted are in accordance with the HHS guidelines. Views of Responsible Officials and Planned Corrective Actions: See management?s corrective action plan.
Finding 2022-001
Criteria: Provider Relied Funds were provided under the Coronavirus Aid, Relief, and Economic Security Act and are to be used to prevent, prepare for and respond to coronavirus. The funds shall reimburse the recipient only for expenses or lost revenues that are attributable to coronavirus. The funds may not be used to reimburse from other sources or that other sources are obligated to reimburse. Condition: The Authority reported duplicate expenses within the HHS Health Resources and Services Administration (HRSA) Reporting Portal Period 4 submission. Cause: Although the Authority has a process in place to identify and report allowable expenses, an appropriate review process was not in place to detect and correct any duplicate expenditures. Effect: The Authority reported expenses within the HHS HRSA Reporting Portal Period 4 submission which were not allowed based on the terms and conditions of the award. Questioned Costs: $205,670 of duplicate expenses were improperly included in Period 4 reporting submission. Context: Upon testing the compliance requirements of this program, it was determined that certain expenditure items were reported twice and therefore, not in compliance with guidance provided by HHS. However, the Period 4 reporting submission included $440,399 of unreimbursed expenses attributable to coronavirus and $777,380 of unused lost revenues that the Authority believe could offset the issue identified above. Recommendation: We recommend the Authority design and implement controls, including levels of review, to ensure qualifying expenses submitted are in accordance with the HHS guidelines. Views of Responsible Officials and Planned Corrective Actions: See management?s corrective action plan.