FAC Explorer

Audit 6872

FY End
2018-12-31
Total Expended
$794,158
Findings
4
Programs
2
Organization: First Person Care Clinic, Inc. (NV)
Year: 2018 Accepted: 2023-12-15
Auditor: Jwt & Associates LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
4447 2018-001 Significant Deficiency - I
4448 2018-002 Significant Deficiency - L
580889 2018-001 Significant Deficiency - I
580890 2018-002 Significant Deficiency - L

Programs

ALN Program Spent Major Findings
93.224 Health Resources and Services Administration Health Center Program (community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) $754,162 Yes 2
93.297 Nevada Primary Care Association: Teen Pregnancy Prevention $39,996 - 0

Contacts

Name Title Type
HRAATANFJ7C3 Roxana Valeton Auditee
7023808118 Richard Jackson Auditor
No contacts on file

Notes to SEFA

Title: NOTE A - BASIS OF PRESENTATION Accounting Policies: See notes. De Minimis Rate Used: Y Rate Explanation: See note C. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of First Person Care Clinic (the Clinic) under programs of the federal government for the year ended December 31, 2018. The information in this Schedule is presented in accordance with the requirements of Title 2 U. S. Code of Federal Regulations (CFR) 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 Clinic, it is not intended to and does not present the financial position, changes in net assets or cash flows for the Clinic. For purposes of the Schedule, federal awards include all grants and contracts entered into directly between the Clinic, agencies, and departments of the federal government. The awards are classified into major program categories in accordance with the provisions of the Uniform Grant Guidance.
Title: NOTE B - BASIS OF ACCOUNTING Accounting Policies: See notes. De Minimis Rate Used: Y Rate Explanation: See note C. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the course of business to amounts reported as expenditures in prior years.
Title: NOTE C - INDIRECT COST RATE Accounting Policies: See notes. De Minimis Rate Used: Y Rate Explanation: See note C. The Clinic elected to use the ten percent federal de minimis cost rate allowed under Title 2 U. S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) when applicable.
Title: NOTE D - RELATIONSHIP OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS TO FINANCIAL STATEMENTS Accounting Policies: See notes. De Minimis Rate Used: Y Rate Explanation: See note C. Consistent with management's policy, federal awards and other grants are recorded in respective revenue categories. As result, the amount of total federal awards expended on the Schedule does not agree to total grant revenue on the Statement of Operations and Changes in Net Assets as presented in the Clinic's report on the audited financial statements.

Finding Details

Finding 2018-001
Finding 2018 - 001 Procurement, Suspension & Debarment (I) Significant Deficiency in Internal Controls over Compliance Identification of the Federal Program: U.S. Department of Health and Human Services; Health Clinic Program Cluster; CFDA 93.224: 18H80CS31240. Criteria or Specific Requirement: Non-federal entities must follow the procurement standards set out at 2 CFR Sections 200.318 through 200.326. They must use their own documented procedures, which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal statues and the procurement requirements identified in 2 CFR Part 200 as described above. Finding/Condition: The procurement policies and procedures were found lacking as to the bidding and retaining process. We could not locate certain files indicating that the procurement requirements had been followed. In addition, we could not locate certain files indicating the debarment procedures had been properly followed per the requirements. Cause: Management lack of time to establishing a policy and procedure regarding this requirement. Effect: The lack of policies and procedures in this area may cause the Clinic to be out of compliance with this procurement, suspension and debarment requirement. A lack of competitive bidding may overstate allowable costs and a lack of debarment procedures may allow debarred vendors in providing material, supplies and services. Questioned Cost: None Recommendation: The Clinic should establish sound policies and procedures which conform to federal requirements for procurement, suspension and debarment. Views of Responsible Officials and Corrective Action Plan: See corrective action plan.
Finding 2018-002
Finding 2018 - 002 Reporting (L) Significant Deficiency in Internal Controls over Compliance Identification of the Federal Program: U.S. Department of Health and Human Services; Health Clinic Program Cluster; CFDA 93.224: 18H80CS31240. Criteria or Specific Requirement: Recipients of federal awards must establish internal controls over reports that are prepared and submitted. Finding/Condition: Pursuant to the reporting requirement set forth by the Department of Health and Human Services, the Clinic is required to file the quarterly Federal Financial Report (FFR) within 30 days of the end of the quarter and submit the single audit to the Federal Audit Clearinghouse within the sooner of 30 days of the issuance of the audit report or nine months after the end of the Clinic’s fiscal year. During our reporting period, we were unable to determine the submission of the quarterly reports and noted also that the audit was not completed and filed timely. Cause: Turnover in the Clinic’s management. Effect: The delay in submitting the required reports may lead to the granting agency to impose temporary restrictions on the drawdown of grant funds process. Questioned Cost: None Recommendation: The Clinic should establish reporting deadlines so that reports are filed accurately and on a timely basis. Views of Responsible Officials and Corrective Action Plan: See corrective action plan. Section III - Prior Year Findings and Questioned Costs No prior year findings or questioned costs.
Finding 2018-001
Finding 2018 - 001 Procurement, Suspension & Debarment (I) Significant Deficiency in Internal Controls over Compliance Identification of the Federal Program: U.S. Department of Health and Human Services; Health Clinic Program Cluster; CFDA 93.224: 18H80CS31240. Criteria or Specific Requirement: Non-federal entities must follow the procurement standards set out at 2 CFR Sections 200.318 through 200.326. They must use their own documented procedures, which reflect applicable state and local laws and regulations, provided that the procurements conform to applicable federal statues and the procurement requirements identified in 2 CFR Part 200 as described above. Finding/Condition: The procurement policies and procedures were found lacking as to the bidding and retaining process. We could not locate certain files indicating that the procurement requirements had been followed. In addition, we could not locate certain files indicating the debarment procedures had been properly followed per the requirements. Cause: Management lack of time to establishing a policy and procedure regarding this requirement. Effect: The lack of policies and procedures in this area may cause the Clinic to be out of compliance with this procurement, suspension and debarment requirement. A lack of competitive bidding may overstate allowable costs and a lack of debarment procedures may allow debarred vendors in providing material, supplies and services. Questioned Cost: None Recommendation: The Clinic should establish sound policies and procedures which conform to federal requirements for procurement, suspension and debarment. Views of Responsible Officials and Corrective Action Plan: See corrective action plan.
Finding 2018-002
Finding 2018 - 002 Reporting (L) Significant Deficiency in Internal Controls over Compliance Identification of the Federal Program: U.S. Department of Health and Human Services; Health Clinic Program Cluster; CFDA 93.224: 18H80CS31240. Criteria or Specific Requirement: Recipients of federal awards must establish internal controls over reports that are prepared and submitted. Finding/Condition: Pursuant to the reporting requirement set forth by the Department of Health and Human Services, the Clinic is required to file the quarterly Federal Financial Report (FFR) within 30 days of the end of the quarter and submit the single audit to the Federal Audit Clearinghouse within the sooner of 30 days of the issuance of the audit report or nine months after the end of the Clinic’s fiscal year. During our reporting period, we were unable to determine the submission of the quarterly reports and noted also that the audit was not completed and filed timely. Cause: Turnover in the Clinic’s management. Effect: The delay in submitting the required reports may lead to the granting agency to impose temporary restrictions on the drawdown of grant funds process. Questioned Cost: None Recommendation: The Clinic should establish reporting deadlines so that reports are filed accurately and on a timely basis. Views of Responsible Officials and Corrective Action Plan: See corrective action plan. Section III - Prior Year Findings and Questioned Costs No prior year findings or questioned costs.