Corrective Action Plans

Finding 46076 (2022-003)

Material Weakness 2022

WI

Questioned Costs Special Tests & Provisions Material Weakness

Special Tests and Provisions ? Wage Rate Requirements There is no disagreement with the finding. District management will review policies and procedures in response to the finding. Additional Response Patti Degnitz, Business Manager, is the contact person for the District. She performs the followi...

Special Tests and Provisions ? Wage Rate Requirements There is no disagreement with the finding. District management will review policies and procedures in response to the finding. Additional Response Patti Degnitz, Business Manager, is the contact person for the District. She performs the following mitigating controls: 1. Reviews and approves all adjusting entries proposed by the auditor. 2. Compares final adjusted trial balance with audited financial statements. 3. Compares the schedule of expenditures of federal awards and state financial assistance to: a. Final adjusted trial balance b. Submitted final reimbursement claims c. State payment register and DPI website

View Audit 41494 Questioned Costs: $1

Finding 46075 (2022-001)

Significant Deficiency 2022

Knob Noster R-Viii School District

MA

Questioned Costs Reporting Significant Deficiency

The District will review state law, federal law and District policy as well as administrative procedures regarding enrollment of resident and non-resident students to ensure accuracy and compliance.

View Audit 41469 Questioned Costs: $1

Finding 46074 (2022-020)

Significant Deficiency 2022

Grant County Board of Education

KY

Internal Control / Segregation of Duties

Views of Responsible Officials and Planned Corrective Actions: The District office will review internal controls surrounding payroll to ensure that pay to employees is in conjunction with contracted rates and weekly timecards.

View Audit 40249

Finding 46073 (2022-002)

Significant Deficiency 2022

Lincoln County, Nebraska

NE

Allowable Costs / Cost Principles Reporting Matching / Level of Effort / Earmarking § 200.303

Finding 2022-002: Coronavirus State and Local Fiscal Recovery Funds Reporting Corrective Action Planned: The Lincoln County Board of Commissioners will discuss establishing a policy for reporting requirements. They will also discuss who will file reports for the county going forward and perhaps ...

Finding 2022-002: Coronavirus State and Local Fiscal Recovery Funds Reporting Corrective Action Planned: The Lincoln County Board of Commissioners will discuss establishing a policy for reporting requirements. They will also discuss who will file reports for the county going forward and perhaps someone to review the document before submission who is not involved in the preparation of the report. Anticipated Completion Date: Ongoing ? preferably by the next reporting date in April 2023 Responsible Party: Christopher D. Bruns, Lincoln County Board Chairman

View Audit 40615

Finding 46071 (2022-001)

Material Weakness 2022

Southeast Mental Health Services

CO

Allowable Costs / Cost Principles Material Weakness Internal Control / Segregation of Duties

View of Responsible Official and Planned Corrective Action: Oversight of time cards has been established and assigned. Southeast Health Group management is confident that there were no erroneous invoicing charges nor inaccurate requests for reimbursement. SHG?s time and effort reporting guidelines ...

View of Responsible Official and Planned Corrective Action: Oversight of time cards has been established and assigned. Southeast Health Group management is confident that there were no erroneous invoicing charges nor inaccurate requests for reimbursement. SHG?s time and effort reporting guidelines ensured proper accounting and compliance standards were followed and oversight has been added to ensure proper documentation.

View Audit 40000

Finding 46064 (2022-001)

Significant Deficiency 2022

Charles R. Drew University of Medicine and Science

CA

Student Financial Aid Special Tests & Provisions Matching / Level of Effort / Earmarking

Management?s Corrective Action Plan: The University acknowledges the finding and the recommendation from Moss Adams regarding improving procedures. Finding-2022-001 Special Tests and Provisions-Enrollment Reporting-Significant Deficiency in Internal Controls Over Compliance Improved Process of Proto...

Management?s Corrective Action Plan: The University acknowledges the finding and the recommendation from Moss Adams regarding improving procedures. Finding-2022-001 Special Tests and Provisions-Enrollment Reporting-Significant Deficiency in Internal Controls Over Compliance Improved Process of Protocol: The University will implement corrective action during November 2022 related to the filing of the NSLDS report. This will include updating monthly reporting to National Student Clearinghouse when responding to NSLDS roster files rather than every other month. Additionally, the department has revised paperwork for graduating students to ensure status are processed in a timely manner by the Registrar. Contact Person Responsible for Corrective Action: Raquel Munoz. Registrar Anticipated Completion Date: November 2022

View Audit 40248

Finding 46063 (2022-001)

Significant Deficiency 2022

Simcha, Inc.

OH

HUD Housing Programs Cash Management Internal Control / Segregation of Duties

Management will create a balancing of the liability account and bank statement to be reviewed as part of the monthly balance sheet reconciliations to adhere to the HUD regulations. Responsible person is William Bode, Controller 216.504.6462

View Audit 40501

Finding 46061 (2022-003)

Significant Deficiency 2022

Johnstown-Cambria County Airport Authority

PA

Subrecipient Monitoring Allowable Costs / Cost Principles Cash Management

Airport Improvement Program (AIP) Award 3-42-0045-055-2020 ? CFDA No. 20.106 Name of contact person ? Heather Tomasko, Assistant Manager Internal Controls over Compliance: Significant Deficiency: See Finding #2022-002

View Audit 40645

Finding 46058 (2022-003)

Significant Deficiency 2022

Colona Grade School District No. 190

IL

Subrecipient Monitoring Cash Management Significant Deficiency § 200.305

Finding No.: 2022- 003 Condition: The District's expenditure report filed for June 30, 2022 included expenditures paid in July and August 2022. These amounts were not reported as committed or obligated. Plan: Grant expenditure reports will be prepared on the cash basis and obligations reported. ...

Finding No.: 2022- 003 Condition: The District's expenditure report filed for June 30, 2022 included expenditures paid in July and August 2022. These amounts were not reported as committed or obligated. Plan: Grant expenditure reports will be prepared on the cash basis and obligations reported. The liquidation of the obligations will be reported on subsequent liquidation reports. Anticipated Date of Completion: August 31, 2022 Name of Contact Person: Dr. Mike Ruff, Superintendent Management Response: There is no disagreement with this finding and management will monitor all future federal reimbursement requests. Committed and obligated expenditures will be reported appropriately, and will be paid within 90 days after project completion.

View Audit 40633

Finding 46055 (2022-004)

Material Weakness 2022

Housing Authority of the City of Oakland, California

CA

HUD Housing Programs Eligibility Subrecipient Monitoring § 200.303

Reference Number 2022-004: The Office of Property Operations has reviewed the audit finding report and recommendations. The department will implement steps to monitor compliance with Public Housing program policies to ensure staff perform timely annual re-certifications, following established guidel...

Reference Number 2022-004: The Office of Property Operations has reviewed the audit finding report and recommendations. The department will implement steps to monitor compliance with Public Housing program policies to ensure staff perform timely annual re-certifications, following established guidelines and retaining acceptable documentation to support resident eligibility determinations and subsequent re-certifications. These items include: ? Ensuring all initial eligibility information is received at the time of unit leasing ? Updating protocols for documenting the re-certification process, including file checklists to ensure all documents are in the resident file ? Re-establishing a file audit protocol to be performed on a quarterly basis ? Closely monitoring delayed re-certifications, including written documentation regarding any delays ? Creating a standard operating procedure to document any delays in re-certifications that may impact the timeliness and accuracy of data reported to the HUD system ? Scheduling recertification training for all staff involved in the re-certification process before June 30, 2023 Contact Information: Michelle Hasan, Director of Leased Housing

View Audit 52339

Finding 46051 (2022-002)

Significant Deficiency 2022

Compton Community College District

CA

Student Financial Aid Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties

Views of Responsible Officials and Corrective Action Plan We concur. Admissions and Records is aware of this issue and the impact that is has on the NSLDS reporting and will implement a business practice that includes a collaboration with Financial Aid and Academic Affairs to address this matter. Ad...

Views of Responsible Officials and Corrective Action Plan We concur. Admissions and Records is aware of this issue and the impact that is has on the NSLDS reporting and will implement a business practice that includes a collaboration with Financial Aid and Academic Affairs to address this matter. Additionally, Admissions and Records will work with Academic Affairs to implement a district policy to enforce faculty drops by the established deadlines. Lastly, a recent update was applied to our Banner ERP system on November 13, 2022, to address a known defect that prevented faculty from dropping students by the class census date and W deadline.

View Audit 52256

Finding 46047 (2022-002)

Significant Deficiency 2022

Crook County School District 1

WY

Internal Control / Segregation of Duties

To Whom It May Concern, This letter is in response to the audit findings identified in the annual district financial report for fiscal year ended June 30, 2022 issued by Leo Riley & Co. This letter addresses the compliance findings 2022-001 and 2022-002 regarding Separation of Duties. CCSD #1 a...

To Whom It May Concern, This letter is in response to the audit findings identified in the annual district financial report for fiscal year ended June 30, 2022 issued by Leo Riley & Co. This letter addresses the compliance findings 2022-001 and 2022-002 regarding Separation of Duties. CCSD #1 acknowledges that, due to the small office staff, it makes it impractical for the District to achieve full separation of the accounting functions within the business office. CCSD #1 is unable to fully segregate the accounting functions of approval, accounting/ reconciling, and asset custody. The District has mitigated the risks associated with this limitation through use of various compensating controls and segregating the functions to the extent reasonably possible. This has been accomplished by placing various security levels into the approval process for payroll and cash disbursements, and this is evidenced through an audit trail for approval at each level of approval process. Additionally, accounting reports are reviewed monthly for discrepancies and errors. The governing board is also involved in the approval process as the final authority over payment approval. The District has formal policy procedure manuals for accounting controls procedures and follows Wyoming State Statutes to mitigate, to the lowest level possible, any risk of errors or irregularities and to timely detect any such errors or irregularities. The accounting staff, management and the School Board are fully aware of the situation and are therefore on heightened awareness in performing their duties to further mitigate any risks that have not been mitigated. Sincerely, Pamela Garman Business Manager

View Audit 52252

Finding 46046 (2022-001)

Significant Deficiency 2022

Valley Children's Healthcare

CA

Cash Management Reporting Significant Deficiency

As required by the OMB Uniform Guidance, we have provided our response and corrective action plan addressing the finding in the Schedule of Findings and Questioned Costs for the year ended September 30, 2022. Management?s Views and Corrective Action Plan Finding No: 2022-001: Reporting ? Significa...

As required by the OMB Uniform Guidance, we have provided our response and corrective action plan addressing the finding in the Schedule of Findings and Questioned Costs for the year ended September 30, 2022. Management?s Views and Corrective Action Plan Finding No: 2022-001: Reporting ? Significant Deficiency in Internal Control Over Compliance Federal Program Information Federal Agency: U.S Department of Health and Human Services, Health Resources and Services Administration (HRSA) Assistance Listing No: 93.498 COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Award Year 2020-2021 Corrective Action Planned Management has implemented a corrective action plan. Management has added an additional layer of review control over the completeness and accuracy of expenditures and calculations included in all submissions. Person Responsible for Corrective Action: Stephanie Vance, VP Finance Anticipated Completion Date: September 30, 2022

View Audit 51260

Finding 46032 (2022-001)

Material Weakness 2022

Northern Wells Community Schools

IN

Questioned Costs School Nutrition Programs Cash Management § 200.303

FINDING 2022-001 Information on the federal program: Subject: Child Nutrition Cluster - Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program, After School Snacks, Summer Food Service Program for Children Assistance Lis...

FINDING 2022-001 Information on the federal program: Subject: Child Nutrition Cluster - Internal Controls Federal Agency: Department of Agriculture Federal Program: School Breakfast Program, National School Lunch Program, After School Snacks, Summer Food Service Program for Children Assistance Listing Number: 10.553, 10.555, 10.559 Pass-Through Entity: Indiana Department of Education Compliance Requirement: Reporting Audit Finding: Material Weakness Condition: An effective internal control system was not in place at the School Corporation in order to ensure compliance with requirements related to the grant agreement and the reporting compliance requirement. Context: We noted that for four claims in a sample of four, the meal counts were over/under claimed for the month. We noted that in October 2020, the School Corporation had underclaimed lunches by 212 meals and overclaimed breakfast by 42 meals. In April 2021, the School Corporation had overclaimed breakfast by 397 meals. In October 2021, the School Corporation had underclaimed lunches by 48 meals and snacks by 36 meals. In April 2022, the School Corporation had overclaimed lunches by two meals, snacks by 45 meals, and underclaimed breakfast by 2 meals. Views of Responsible Officials: We concur with the finding. Description of Corrective Action Plan: Going forward, we will have multiple people verifying the data before submission to reimbursement for claims to make sure all meals submitted are accurate and meet the criteria and eligibility of the Child Nutrition Cluster. Responsible Party and Timeline for Completion: The Food Service Director and the Corporation Treasurer are the responsible parties for this corrective action. This will be implemented 4/1/2023.

View Audit 40998 Questioned Costs: $1

Finding 46031 (2022-003)

Significant Deficiency 2022

Stockton Unified School District

CA

Questioned Costs Procurement, Suspension & Debarment Allowable Costs / Cost Principles

Views of Responsible Officials and Planned Corrective Action: Management concurs with findings. District management will continue to provide staff members internal control procedure training specifically in the areas of federal procurement. This will ensure adherence to Federal program requirements.

View Audit 46797 Questioned Costs: $1

Finding 46021 (2022-001)

Significant Deficiency 2022

Housing Authority of the City of Marianna

FL

HUD Housing Programs Subrecipient Monitoring Reporting

2022-001 ALN 14.871 ? Housing Voucher Cluster ? Significant Deficiencies in Internal Control over Emergency Housing Voucher Special Tests and Provisions Management acknowledges t...

2022-001 ALN 14.871 ? Housing Voucher Cluster ? Significant Deficiencies in Internal Control over Emergency Housing Voucher Special Tests and Provisions Management acknowledges the finding and is following the auditor?s recommendation as listed in the Schedule of Findings and Questioned Costs. Person Responsible for Correction of Finding: Misty Hanlon, Executive Director Projected Completion Date: June 30, 2023

View Audit 45065

Finding 46020 (2022-003)

None 2022

Department of Education, State of Hawaii

HI

Eligibility Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties § 200.403

2022-003 Student Eligibility View of Responsible Officials Management agrees with the finding and recommendation. Corrective Action Plan The Community Education Specialist will create written AEFLA participant eligibility procedures for AEFLA-funded adult schools based on USC ?3272 and ?3102....

2022-003 Student Eligibility View of Responsible Officials Management agrees with the finding and recommendation. Corrective Action Plan The Community Education Specialist will create written AEFLA participant eligibility procedures for AEFLA-funded adult schools based on USC ?3272 and ?3102. The procedures will inform the adult school staff of the following: ? The Workforce Innovation and Opportunity Act ? The Adult Education and Family Literacy Act ? The relevant US Code and Code of Federal Regulations ? A definition of AEFLA-eligible individuals ? Categories of funding and their purpose ? The role of the US DOE Office of Career Technical and Adult Education ? The role of Hawaii state director (Community Education Specialist) for adult education ? The role of the AEFLA-funded local service providers The procedures will be disseminated to all AEFLA-funded adult school staff, and training will be provided. Contact Person: Dan Miyamoto, TA Community Education Specialist Curriculum Innovation Branch Office of Curriculum and Instructional Design Anticipated Completion Date: August 31, 2023

View Audit 44330

Finding 46000 (2022-005)

Significant Deficiency 2022

County of Nevada

CA

Period of Performance Reporting Internal Control / Segregation of Duties § 200.302 § 200.303

DEPARTMENT OF TREASURY 2022-005 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) ? Assistance Listing No. 21.027 Recommendation: We recommend the County design controls to ensure review and approval of reports are maintained in the County's grant files. Also, we recommend the County design...

DEPARTMENT OF TREASURY 2022-005 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) ? Assistance Listing No. 21.027 Recommendation: We recommend the County design controls to ensure review and approval of reports are maintained in the County's grant files. Also, we recommend the County design controls to ensure reports agree to the documentation used to prepare them. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: The County has revised internal controls to ensure reports are prepared accurately and consistently with the back-up used to prepare them. Within these internal control procedures, an appropriate review and approval process will be utilized and documented to ensure report is accurate with underlying support documentation and clearly documents this review and approval control. As a primary function of this review and approval control process, the reviewer/approver will provide assurance that the federal award is reasonably being managed and complies with all applicable statues, regulations, and terms and conditions. Evidence of review and approval will be maintained within the grant file support documentation for future reference and to be provided in a timely manner. Name(s) of the contact person(s) responsible for corrective action: Barry Anderson Planned completion date for corrective action plan: June 30, 2023

View Audit 41070

Finding 45998 (2022-003)

Significant Deficiency 2022

County of Nevada

CA

Allowable Costs / Cost Principles Internal Control / Segregation of Duties § 200.302 § 200.303 § 200.403 § 200.404 § 200.430

DEPARTMENT OF TREASURY, CENTERS FOR DISEASE CONTROL AND PREVENTION, AND DEPARTMENT OF HEALTH AND HUMAN SERVICES 2022-003 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) ? Assistance Listing No. 21.027 Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) ? Assistance Listing ...

DEPARTMENT OF TREASURY, CENTERS FOR DISEASE CONTROL AND PREVENTION, AND DEPARTMENT OF HEALTH AND HUMAN SERVICES 2022-003 Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) ? Assistance Listing No. 21.027 Epidemiology and Laboratory Capacity for Infectious Diseases (ELC) ? Assistance Listing No. 93.323 Child Support Enforcement ? Assistance Listing No. 93.563 Recommendation: We recommend the County establish written procedures for determining the allowability of costs to include a written policy regarding the charging of personnel costs to grants. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: The County is currently in the process of drafting and establishing written procedures for county-wide and department specific use when determining the allowability of costs when charging personnel costs to federal awards. A primary function of this policy will be to provide guidance to county staff to ensure personnel costs are recognized in accordance with cost principles, statues, regulations, and terms and conditions of federal awards. Name(s) of the contact person(s) responsible for corrective action: Andrew Copeland Planned completion date for corrective action plan: June 30, 2024

View Audit 41070

Finding 45996 (2022-002)

Material Weakness 2022

Missouri Valley Community School District

IA

Internal Control / Segregation of Duties Reporting

Personnel will review policies and update duties to increase segregation of duties.

View Audit 41069

Finding 45989 (2022-012)

Material Weakness 2022

Mater Academy of Northern Nevada

NV

Matching / Level of Effort / Earmarking Internal Control / Segregation of Duties Allowable Costs / Cost Principles § 200.303

Finding Number: 2022-012 ? Level of Effort ? Maintenance of Effort Corrective Action Plan: A process has been put in place for the school principal to review all Maintenance of Efforts (MOE) prior to submission to the grantor. Approval is evidenced by email sent by principal to the NSLP Grant Manage...

Finding Number: 2022-012 ? Level of Effort ? Maintenance of Effort Corrective Action Plan: A process has been put in place for the school principal to review all Maintenance of Efforts (MOE) prior to submission to the grantor. Approval is evidenced by email sent by principal to the NSLP Grant Manager, which is saved with the MOE as support. Responsible Individuals: Nachum Golodner, Director of Accounting Anticipated Completion Date: June 30, 2023

View Audit 41067

Finding 45988 (2022-011)

Material Weakness 2022

Mater Academy of Northern Nevada

NV

Allowable Costs / Cost Principles Internal Control / Segregation of Duties § 200.303

Finding Number: 2022-011 ? Activities Allowed or Unallowed and Allowable Costs/Cost Principles Corrective Action Plan: A process has been put in place for the school principal to review all RFRs prior to submission to the grantor. Approval is evidenced by email sent by principal to the Director of G...

Finding Number: 2022-011 ? Activities Allowed or Unallowed and Allowable Costs/Cost Principles Corrective Action Plan: A process has been put in place for the school principal to review all RFRs prior to submission to the grantor. Approval is evidenced by email sent by principal to the Director of Grant Management, which is saved with the RFR as support. Responsible Individuals: Nachum Golodner, Director of Accounting Anticipated Completion Date: June 30, 2023

View Audit 41067

Finding 45984 (2022-004)

Material Weakness 2022

Independent School District No. 381

MN

Cash Management Material Weakness Reporting

REPORTING Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster CFDA Number: 10.553, 10.555, and 10.559 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: June 30, 2022 Type of Finding: ? Material Weakness...

REPORTING Federal agency: U.S. Department of Agriculture Federal program title: Child Nutrition Cluster CFDA Number: 10.553, 10.555, and 10.559 Pass-Through Agency: Minnesota Department of Education Pass-Through Number(s): 1-0381-000 Award Period: June 30, 2022 Type of Finding: ? Material Weakness in Internal Control over Compliance CORRECTIVE ACTION PLAN (CAP): Recommendation: We recommend the District review and approve the CLiCS meal counts timely before they are submitted. Explanation of Disagreement with Audit Findings: There is no disagreement with the audit finding. Actions Planned in Response to the Finding: The District will continue to work on establishing a process to ensure all CLiCS meal counts are reviewed and approved timely. Official Responsible for Ensuring CAP: Tanner Spawn, Business Manager. Planned Completion Date for CAP: June 30, 2023.

View Audit 41994

Finding 45983 (2022-002)

Significant Deficiency 2022

Orange City Area Health System

IA

Reporting Significant Deficiency Internal Control / Segregation of Duties § 200.303

U.S. Department of Health and Human services Orange City Area Health System respectfully submits the following corrective action plan for the year ended June 30, 2022. Audit period: July 1, 2021 ? June 30, 2022 The findings from the schedule of findings, responses, and questioned costs are discussed...

U.S. Department of Health and Human services Orange City Area Health System respectfully submits the following corrective action plan for the year ended June 30, 2022. Audit period: July 1, 2021 ? June 30, 2022 The findings from the schedule of findings, responses, and questioned costs are discussed below. The findings are numbered consistently with the numbers assigned in the schedule. FINDINGS?FINANCIAL STATEMENT AUDIT SIGNIFICANT DEFICIENCY 2022-001 Proposed Audit Adjustments Recommendation: We recommend that the Health System accounting personnel continue to review final account balances and changes in accounting standards and consult with auditors throughout the year regarding accounts and adjustments, as needed, to prevent and detect misstatements going forward. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action planned in response to finding: Management will review and reconcile accounts and consult with the audit firm as needed during the year to prevent and detect financial statement misstatements. Name(s) of the contact person(s) responsible for corrective action: Dina Baas, CFO Planned completion date for corrective action plan: January 1, 2023 FINDINGS?FEDERAL AWARD PROGRAMS AUDITS U.S. Department of Health and Human Services 2022-002 Provider Relief Fund ? Assistance Listing No. 93.498 Recommendation: We recommend that management implement more formal control process surrounding the use of federal awards where there is segregation between individuals identifying or proposing expenditures/uses of funds and an individual reviewing and approving that expenditure/use. Documentation of review and approval should be retained in all cases. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: We will implement a more formal review process for the expenditure of federal funds. A detailed list of expenditures to be charged against the federal grant program will be provided to administration for review and approval. Name(s) of the contact person(s) responsible for corrective action: Dina Baas, CFO Planned completion date for corrective action plan: January 1, 2024 If the U.S Department of Health and Human Services has questions regarding this plan, please call Dina Baas at (712) 737-5325.

View Audit 40984

Finding 45982 (2022-002)

Significant Deficiency 2022

Mercy Health

MO

Allowable Costs / Cost Principles Reporting Matching / Level of Effort / Earmarking

Finding 2022-002 Reporting Information on the federal program: Federal Grantor: United States Department of Health and Human Services (HHS), Health Resources and Services Administration (HRSA) Assistance Listing No.: 93.498, COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribu...

Finding 2022-002 Reporting Information on the federal program: Federal Grantor: United States Department of Health and Human Services (HHS), Health Resources and Services Administration (HRSA) Assistance Listing No.: 93.498, COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Provider Relief Fund Reporting Entity: Mercy Hospital Fort Smith, Mercy Hospital Springfield, Mercy Hospital Oklahoma City, Mercy Hospital Joplin Tax Identification Numbers: 710240352, 440552485, 730579285, 270814858 Period of Availability: 01/01/2020?12/31/2021 (Period 2) and 01/01/2020?06/30/2022 (Period 3) Condition: The amounts reported for net patient service revenue (NPSR) by payer for calendar year 2021 Quarter 4 (CY2021 Q4) were incorrect. However, total NPSR was correct. We tested 5 of 14 Period 2 and 3 PRF Reports submitted to HRSA. For 4 of the 5 Period 2 and 3 PRF reports tested, the NPSR amounts reported by payer were incorrect for CY2021 Q4 as follows (increase/(decrease)): See chart/table in the Corrective Action Plan Cause: Management?s review of the allocation of total NPSR to the payer classification required in the PRF report was not sufficiently precise to detect that the incorrect quarter?s payer percentages were used to allocate gross revenue for CY2021 Q4. Views of Responsible Officials and Planned Corrective Actions: While there was no impact on total NPSR reported for Q4 2021, we agree that the percentages used to allocate gross revenue by payer were incorrect. Going forward, we will provide additional review of payer allocation percentages to ensure accuracy. Responsible Parties: Katie Stecich, Executive Director ? Revenue & AR Valuation Date of Completion: The review process was updated immediately after communication with leadership on March 27, 2023.

View Audit 41573

Corrective Action Plans

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