Finding Text
Federal Program: COVID-19 - Provider Relief Fund and American Rescue Plan (ARP) Rural
Distribution
Assistance Listing Number: 93.498
Federal Agency: U.S. Department of Health and Human Services
Award Number: N/A
Award Year: 2021
Compliance Requirements: Reporting
Questioned Costs: Not determinable
Criteria: Non-federal entities in receipt of federal funds must comply with the requirements of
2 CFR 200.303(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. Provider Relief Funds (PRF) payments must be used for allowable expenses
and lost revenue described in the PRF terms and conditions and specified in guidance issued by the
U.S. Department of Health and Human Services. Activities allowed have been defined as expense
used to prevent, prepare for, and respond to coronavirus, domestically or internationally, for
necessary expenses to reimburse, through grants or other mechanisms, eligible health care providers
for health care related expenses or lost revenues that are attributable to coronavirus. Additionally, all
recipients of PRF payments must 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: Monongalia County General Hospital Company dba Mon Health Medical
Center did not complete the PRF reporting in accordance with the U.S. Department of Health and
Human Services guidance. We noted that the facility had multiple errors in its underlying calculation
of lost revenues which resulted in lost revenues being overstated $92,483. The entity reported total
lost revenues of $66,955,875 on total PRF distributions that amounted to $21,763,852, as such, there
were no questioned costs.
Effect: The amounts reported to HRSA were not in accordance with established U.S. Department of
Health and Human Services guidance.
Cause: Monongalia Health System, Inc. and Subsidiaries had an insufficient control in place to
identify and correct errors prior to reporting on the use of their Provider Relief Funds.
Repeat Finding: 2021-005
Recommendation: We recommend that management review policies and procedures in place and
update for most recent interpretation of the U.S. Department of Health and Human Services
guidance. Procedures should be implemented and monitored. Unallowable cost recognized should be
corrected in future reporting periods.
Management's Response: Monongalia Health System, Inc. and Subsidiaries agrees with the finding.