Finding Text
Federal Agency: U.S. Department of Health and Human Services; Award Name: Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution; Program Year: Period 3 and Period 4 Reporting; CFDA #: 93.498; Criteria: Management was responsible for reporting COVID-related expenditures based on the terms of the grant agreement. Condition: During compliance testing, it was identified that certain expenditures included in the final report were not accurate based on the amounts recorded within the Organization's general ledger. Context: The COVID-related expenditures reported for the period were not accurate. Cause: Certain COVID-related expenditures had inaccuracies in the expenditures reported for Period 3 and Period 4. Effect: As a result of the condition, the Organization's required reporting for this grant was misstated, however the Organization was able to recalculate the appropriate COVID-related expenditures and, in conclusion, report that there were enough expenditures to charge to this federal award to support the propriety of all funds received. Further, the expenditures reported on the Period filings were limited to the amount of funding received. Recommendation: In the future, the Organization should ensure it implements appropriate processes and controls to ensure a review is performed prior to submission to the awarding agency. Views of Responsible Officials: Management acknowledges the finding and will review the current processes and control in place.