FAC Explorer

Audit 55393

FY End
2022-12-31
Total Expended
$3.09M
Findings
2
Programs
2
Organization: Pr Health Corporation D/b/a First Care Health Center (ND)
Year: 2022 Accepted: 2023-10-01
Auditor: Eide Bailly LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
58896 2022-004 Material Weakness - N
635338 2022-004 Material Weakness - N

Programs

ALN Program Spent Major Findings
10.766 Community Facilities Loans and Grants $2.84M Yes 1
93.155 Rural Health Research Centers $248,400 - 0

Contacts

Name Title Type
EA2QQFLS7MB3 Marcus Lewis Auditee
7012844538 Ashley Brandt-Duda Auditor
No contacts on file

Notes to SEFA

Title: Loan/loan guarantee outstanding balances Accounting Policies: 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. COMMUNITY FACILITIES LOANS AND GRANTS (10.766) - Balances outstanding at the end of the audit period were 2721789.
Title: Basis of Presentation Accounting Policies: 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. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of P.R. Health Corporation d/b/a First Care Health Center (Health Center) under programs of the federal government for the year ended December 31, 2022. 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 Health Center, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Health Center.

Finding Details

Finding 2022-004
2022-004 Department of Agriculture Federal Financial Assistance Listing #10.766 Community Facilities Loans and Grants Cluster Special Tests and Provisions Material Weakness in Internal Control Over Compliance Criteria 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and conditions of the federal awards. Condition During our testing, there was no formal review separate from the preparer over the reserve fund reconciliation for the federal program. Cause The Home did not have an adequate internal control policy in place to ensure review and approval over the reserve fund. Effect The lack of adequate policies governing review increases the risk that employees participating in the federal award administration may not be able to detect and correct noncompliance in a timely manner. Questioned Costs None reported. Context/Sampling Sampling was not used. The Health Center has two required reserve accounts that were tested. Repeat Finding from Prior Years No Recommendation We recommend that the Health Center enhance internal control policies to ensure that formal documentation of reviews is present. Views of Responsible Officials Management agrees with the finding.
Finding 2022-004
2022-004 Department of Agriculture Federal Financial Assistance Listing #10.766 Community Facilities Loans and Grants Cluster Special Tests and Provisions Material Weakness in Internal Control Over Compliance Criteria 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and conditions of the federal awards. Condition During our testing, there was no formal review separate from the preparer over the reserve fund reconciliation for the federal program. Cause The Home did not have an adequate internal control policy in place to ensure review and approval over the reserve fund. Effect The lack of adequate policies governing review increases the risk that employees participating in the federal award administration may not be able to detect and correct noncompliance in a timely manner. Questioned Costs None reported. Context/Sampling Sampling was not used. The Health Center has two required reserve accounts that were tested. Repeat Finding from Prior Years No Recommendation We recommend that the Health Center enhance internal control policies to ensure that formal documentation of reviews is present. Views of Responsible Officials Management agrees with the finding.