FAC Explorer

Audit 49787

FY End
2022-03-31
Total Expended
$10.73M
Findings
4
Programs
14
Organization: Hamilton Health Center, Inc. (PA)
Year: 2022 Accepted: 2022-12-11
Auditor: Baker Tilly US LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
59051 2022-001 Significant Deficiency - L
59052 2022-002 Significant Deficiency - L
635493 2022-001 Significant Deficiency - L
635494 2022-002 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
93.527 Affordable Care Act (aca) Grants for New and Expanded Services Under the Health Center Program $2.57M Yes 0
93.926 Healthy Start Initiative $1.16M - 0
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $613,932 - 0
10.557 Special Supplemental Nutrition Program for Women, Infants, and Children $565,452 - 0
93.566 Refugee and Entrant Assistance_state Administered Programs $347,627 - 0
93.498 Provider Relief Fund $270,468 Yes 1
93.217 Family Planning_services $235,526 - 0
93.224 Consolidated Health Centers (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $232,339 Yes 0
93.918 Grants to Provide Outpatient Early Intervention Services with Respect to Hiv Disease $167,131 - 0
93.788 Opioid Str $139,058 - 0
93.994 Maternal and Child Health Services Block Grant to the States $47,378 - 0
93.667 Social Services Block Grant $45,062 - 0
93.959 Block Grants for Prevention and Treatment of Substance Abuse $43,166 - 0
93.977 Preventive Health Services_sexually Transmitted Diseases Control Grants $16,356 - 0

Contacts

Name Title Type
PNLNCXKS1CH6 Terese Delaplaine Auditee
7172329971 Debra Bowes 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 shown on the Schedule (where applicable) represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where applicable. De Minimis Rate Used: N Rate Explanation: The Corporation has not elected to use the ten percent de minimis indirect cost rate as allowed under theUniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Hamilton Health Center, Inc. and subsidiaries (the Corporation) under programs of the federal government for the year ended March 31, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, UniformAdministrative Requirements, Cost Principles and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts may differ from amounts presented in, or used in the preparation of, the consolidated financial statements. Because the Schedule presents only a selected portion of the operations of the Corporation, it is not intended to and does not present the consolidated financial position, changes in net assets or cash flows of the Corporation.
Title: Provider Relief Fund and American Rescue Plan Rural Distribution 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 shown on the Schedule (where applicable) represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where applicable. De Minimis Rate Used: N Rate Explanation: The Corporation has not elected to use the ten percent de minimis indirect cost rate as allowed under theUniform Guidance. For the U.S. Department of Health and Human Services (HHS) awards related to the Provider Relief Fund and American Rescue Plan Rural Distribution (PRF) program, HHS has indicated the amounts on the Schedule be reported corresponding to reporting requirements of the Health Resources and Services Administration (HRSA) PRF Reporting Portal. Payments from HHS for PRF are assigned to Payment Received Periods (each, a Period) based upon the date each payment from the PRF was received. Each Period has a specified Period of Availability and timing of reporting requirements. Entities report into the HRSA PRF Reporting Portal after each Periods deadline to use the funds (i.e., after the end of the Period of Availability).The schedule includes $270,468 received from HHS between April 10, 2020 through June 30, 2020. In accordance with the guidance from HHS, the schedule includes expenditures for the period of availability which ended in the year ended March 31, 2022 (i.e. Period 1).

Finding Details

Finding 2022-001
2022-001: Significant Deficiency in Internal Control - Reporting Federal Program: Health Centers Program Cluster Assistance Listing Number: 93.224/93.527 Federal Agency: U.S. Department of Health and Human Services Award Number: N/A Award Year: 2022 Compliance Requirement: Reporting Questioned Costs: There are no questioned costs associated with this finding. Criteria: The Corporation is required to submit quarterly Federal Cash Transaction Reports within 30 days of the end of each calendar quarter. Condition and Context: The Corporation was required to submit its quarterly Federal Cash Transaction Report for the quarter ended December 31, 2021 by January 30, 2022 and the report was submitted on March 1, 2022. Effect: The Corporation did not comply with the reporting requirements for the submission of the quarterly Federal Cash Transaction Report for the period ended December 31, 2021. Cause: The Corporation did not file the quarterly Federal Cash Transaction Report timely due to an oversight by management. Recommendation: The Corporation should implement procedures to identify and ensure compliance with all reporting requirements for each project.
Finding 2022-002
2022-002: Significant Deficiency in Internal Control - Reporting Federal Program: Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Program Assistance Listing Number: 93.498 Federal Agency: U.S. Department of Health and Human Services Award Number: N/A Award Year: 2021 Compliance Requirement: Reporting Questioned Costs: Not determinable Criteria: Non-federal entities in receipt of federal funds must comply with the requirements of 2 CFR200.303(a), which require an entity to establish and maintain effective internal control over the Federal award to ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Recipients of Provider Relief Funds (PRF) payments must also comply with the reporting requirements described in the PRF terms and conditions and specified in directions issued by the U.S. Department of Health and Human Services. Condition and Context: The Corporation did not complete the PRF reporting in accordance with the U.S. Department of Health and Human Services guidance. The Corporation incorrectly used gross patient revenue from reports under incorrect parameters. Such amounts were used in the calculation of lost revenues. The adjustments needed within the PRF report to correct the errors decreased year over year lost revenues from $9,417,623 to $7,949,685 on total distributions of PRF funding of $270,468. Effect: The amounts reported to Health Resources & Services Administration (HRSA) were not in accordance with established U.S. Department of Health and Human Services reporting guidance. Cause: An oversight by management led to the incorrect reports being used to calculate lost revenue on the PRF Phase 1 submission. Recommendation: We recommend that management implement procedures to ensure that the most recent guidance is reviewed and understood, and that information used in preparation of the reports is reviewed, with errors addressed, prior to reporting.
Finding 2022-001
2022-001: Significant Deficiency in Internal Control - Reporting Federal Program: Health Centers Program Cluster Assistance Listing Number: 93.224/93.527 Federal Agency: U.S. Department of Health and Human Services Award Number: N/A Award Year: 2022 Compliance Requirement: Reporting Questioned Costs: There are no questioned costs associated with this finding. Criteria: The Corporation is required to submit quarterly Federal Cash Transaction Reports within 30 days of the end of each calendar quarter. Condition and Context: The Corporation was required to submit its quarterly Federal Cash Transaction Report for the quarter ended December 31, 2021 by January 30, 2022 and the report was submitted on March 1, 2022. Effect: The Corporation did not comply with the reporting requirements for the submission of the quarterly Federal Cash Transaction Report for the period ended December 31, 2021. Cause: The Corporation did not file the quarterly Federal Cash Transaction Report timely due to an oversight by management. Recommendation: The Corporation should implement procedures to identify and ensure compliance with all reporting requirements for each project.
Finding 2022-002
2022-002: Significant Deficiency in Internal Control - Reporting Federal Program: Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Program Assistance Listing Number: 93.498 Federal Agency: U.S. Department of Health and Human Services Award Number: N/A Award Year: 2021 Compliance Requirement: Reporting Questioned Costs: Not determinable Criteria: Non-federal entities in receipt of federal funds must comply with the requirements of 2 CFR200.303(a), which require an entity to establish and maintain effective internal control over the Federal award to ensure compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Recipients of Provider Relief Funds (PRF) payments must also comply with the reporting requirements described in the PRF terms and conditions and specified in directions issued by the U.S. Department of Health and Human Services. Condition and Context: The Corporation did not complete the PRF reporting in accordance with the U.S. Department of Health and Human Services guidance. The Corporation incorrectly used gross patient revenue from reports under incorrect parameters. Such amounts were used in the calculation of lost revenues. The adjustments needed within the PRF report to correct the errors decreased year over year lost revenues from $9,417,623 to $7,949,685 on total distributions of PRF funding of $270,468. Effect: The amounts reported to Health Resources & Services Administration (HRSA) were not in accordance with established U.S. Department of Health and Human Services reporting guidance. Cause: An oversight by management led to the incorrect reports being used to calculate lost revenue on the PRF Phase 1 submission. Recommendation: We recommend that management implement procedures to ensure that the most recent guidance is reviewed and understood, and that information used in preparation of the reports is reviewed, with errors addressed, prior to reporting.