Finding 1094424 (2023-001)

Material Weakness Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2025-01-07
Audit: 336237
Organization: Arkansas Hospice, Inc. (AR)

AI Summary

  • Core Issue: The Organization's reporting submission contained errors, leading to discrepancies in reported lost revenue.
  • Impacted Requirements: Reporting must adhere to 45 CFR 75.342; errors indicate inadequate internal controls.
  • Recommended Follow-Up: Implement stronger controls to ensure all reported amounts are accurate, complete, and reviewed.

Finding Text

U.S. Department of Health and Human Services Assistance Living No. 93.498 Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution Criteria: Reporting (45 CFR 75.342) Condition: The Organization's portal reporting submission included errors. Questioned Costs: None Context: The Organization chose to report under the alternative reporting methodology (option iii). Under this option, the Organization submitted a memo describing its reasonable method of estimated revenues. The methodology described in the memo does not agree with the amounts the Organization reported in the portal. The Organization's calculated lost revenue under its alternative reporting methodology was approximately $2,742,000 more than the amount the Organization reported in the PRF portal. Effect: The report submitted in the PRF portal does not agree to the Organization's alternative reporting methodology and the quarterly lost revenues were reported in the incorrect quarter. Cause: The Organization's internal controls were not adequate to detect these reporting errors. Identification as a Repeat Finding: Yes Recommendation: We recommend implementing controls to ensure amounts reported are accurate, complete and reviewed. Views of Responsible Officials and Planned Corrective Actions: Management concurs with the finding and recommendation and will implement controls to ensure all reports are accurate, complete and reviewed.

Categories

Reporting Internal Control / Segregation of Duties

Other Findings in this Audit

  • 517982 2023-001
    Material Weakness Repeat

Programs in Audit

ALN Program Name Expenditures
93.498 Provider Relief Fund and American Rescue Plan (arp) Rural Distribution $1.23M