Assistance Listing Number, Federal Agency, and Program Name ? 93.498, U.S. Department of Health and Human Services, Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) Federal Award Identification Number and Year ? N/A, 2022 Pass-through Entity ? N/A ? Direct funded Finding Type ? Material weakness and material noncompliance with laws and regulations Repeat Finding ? Yes; 2021-001 Criteria ? per the Provider Relief Fund General and Targeted Distributions Post-Payment Notice of Reporting Requirements dated June 11, 2021, recipients may choose to apply PRF payments toward lost revenue using one of three options, up to the amount: Option i: of the difference between actual patient care revenue; Option ii: of the difference between budgeted (prior to March 27, 2020) and actual patient care revenue; or Option iii: calculated by any reasonable method of estimating revenue The same Post-Payment Notice of Reporting Requirements included specific submission deadlines for PRF portal submissions. Period 2 submissions were due by March 31, 2022 and Period 3 submissions were due by September 30, 2022. Condition ? The System?s controls in place for reporting submissions did not identify that guidelines were not followed related to the lost revenue calculations or the required submission timeline. Questioned Costs ? None Identification of How Questioned Costs Were Computed ? N/A ? Refer to context below for additional information. Context ? The Period 2 reporting submission for lost revenue did not follow the acceptable options provided by the Department of Health and Human Services. Recipients may choose to apply Provider Relief Fund payments toward lost revenue using one of three options: (i) up to the amount of the difference between actual patient care revenue, (ii) up to the amount of the difference between budgeted (if approved prior to March 27, 2020) and actual patient care revenue, or (iii) up to the amount calculated by any reasonable method of estimating revenue. The System used option ii to calculate lost revenue but the budgeted amounts used in the submission for several periods were not approved by March 27, 2020; therefore, option ii was not allowable. The System should have used option iii to report lost revenue. Additionally, the Period 2 submission was submitted late; it was due by March 31, 2022 but was not submitted until June 14, 2022. Cause and Effect ? Appropriate review of the reporting submission was not completed to ensure the report followed the required guidelines. As a result, the report submitted was inaccurate and late. Recommendation - We recommend the System implement controls, including levels of review, to ensure reports are completed and submitted in accordance with the guidelines established by HHS. Views of Responsible Officials and Planned Corrective Actions ? The System will review and enhance its PRF reporting process by implementing controls to ensure reports are completed and submitted in accordance with the guidelines established by HHS.
Assistance Listing Number, Federal Agency, and Program Name ? 14.231, U.S. Department of Housing and Urban Development, Emergency Solutions Grants Program Federal Award Identification Number and Year ? N/A, 2022 Pass-through Entity ? Florida Department of Children and Families Finding Type ? Material weakness and material noncompliance with laws and regulations Repeat Finding ? No Criteria ? Award recipients must pay each subrecipient for allowable costs within 30 days after receiving the subrecipient?s complete payment request. Condition ? The System?s controls in place for subrecipient payments did not ensure that subrecipients were paid within the required 30 day window. Questioned Costs ? None Identification of How Questioned Costs Were Computed ? N/A ? Refer to context below for additional information. Context ? A total of 18 payments to subrecipients were tested. One selection was paid 52 days after the System received the subrecipient?s complete payment request; all other payments were made within the 30 day window. Cause and Effect ? The program regulations mandate timely remittance of payments. The controls designed to adhere to that requirement were not operating effectively in the instance identified in our testing. As a result, the System did not comply with the 30 day payment window requirement for payments to subrecipients. Recommendation - We recommend the System implement controls, including levels of review, to ensure grant agreements are thoroughly reviewed to understand all compliance requirements. Views of Responsible Officials and Planned Corrective Actions ? The System will review and enhance its grant agreement review process by implementing controls to ensure grant agreements are thoroughly reviewed and are adhering to all the compliance requirements.
Assistance Listing Number, Federal Agency, and Program Name ? 93.498, U.S. Department of Health and Human Services, Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) Federal Award Identification Number and Year ? N/A, 2022 Pass-through Entity ? N/A ? Direct funded Finding Type ? Material weakness and material noncompliance with laws and regulations Repeat Finding ? Yes; 2021-001 Criteria ? per the Provider Relief Fund General and Targeted Distributions Post-Payment Notice of Reporting Requirements dated June 11, 2021, recipients may choose to apply PRF payments toward lost revenue using one of three options, up to the amount: Option i: of the difference between actual patient care revenue; Option ii: of the difference between budgeted (prior to March 27, 2020) and actual patient care revenue; or Option iii: calculated by any reasonable method of estimating revenue The same Post-Payment Notice of Reporting Requirements included specific submission deadlines for PRF portal submissions. Period 2 submissions were due by March 31, 2022 and Period 3 submissions were due by September 30, 2022. Condition ? The System?s controls in place for reporting submissions did not identify that guidelines were not followed related to the lost revenue calculations or the required submission timeline. Questioned Costs ? None Identification of How Questioned Costs Were Computed ? N/A ? Refer to context below for additional information. Context ? The Period 2 reporting submission for lost revenue did not follow the acceptable options provided by the Department of Health and Human Services. Recipients may choose to apply Provider Relief Fund payments toward lost revenue using one of three options: (i) up to the amount of the difference between actual patient care revenue, (ii) up to the amount of the difference between budgeted (if approved prior to March 27, 2020) and actual patient care revenue, or (iii) up to the amount calculated by any reasonable method of estimating revenue. The System used option ii to calculate lost revenue but the budgeted amounts used in the submission for several periods were not approved by March 27, 2020; therefore, option ii was not allowable. The System should have used option iii to report lost revenue. Additionally, the Period 2 submission was submitted late; it was due by March 31, 2022 but was not submitted until June 14, 2022. Cause and Effect ? Appropriate review of the reporting submission was not completed to ensure the report followed the required guidelines. As a result, the report submitted was inaccurate and late. Recommendation - We recommend the System implement controls, including levels of review, to ensure reports are completed and submitted in accordance with the guidelines established by HHS. Views of Responsible Officials and Planned Corrective Actions ? The System will review and enhance its PRF reporting process by implementing controls to ensure reports are completed and submitted in accordance with the guidelines established by HHS.
Assistance Listing Number, Federal Agency, and Program Name ? 14.231, U.S. Department of Housing and Urban Development, Emergency Solutions Grants Program Federal Award Identification Number and Year ? N/A, 2022 Pass-through Entity ? Florida Department of Children and Families Finding Type ? Material weakness and material noncompliance with laws and regulations Repeat Finding ? No Criteria ? Award recipients must pay each subrecipient for allowable costs within 30 days after receiving the subrecipient?s complete payment request. Condition ? The System?s controls in place for subrecipient payments did not ensure that subrecipients were paid within the required 30 day window. Questioned Costs ? None Identification of How Questioned Costs Were Computed ? N/A ? Refer to context below for additional information. Context ? A total of 18 payments to subrecipients were tested. One selection was paid 52 days after the System received the subrecipient?s complete payment request; all other payments were made within the 30 day window. Cause and Effect ? The program regulations mandate timely remittance of payments. The controls designed to adhere to that requirement were not operating effectively in the instance identified in our testing. As a result, the System did not comply with the 30 day payment window requirement for payments to subrecipients. Recommendation - We recommend the System implement controls, including levels of review, to ensure grant agreements are thoroughly reviewed to understand all compliance requirements. Views of Responsible Officials and Planned Corrective Actions ? The System will review and enhance its grant agreement review process by implementing controls to ensure grant agreements are thoroughly reviewed and are adhering to all the compliance requirements.