In Response to Federal Award Finding, Finding 2022-003 ? Material Weakness and Material Noncompliance ? Special Tests ? Sliding Fee. Health centers must obtain sliding fee applications so that amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient?s ability to pay. We tested 60 sliding fee encounters and noted that 1 of 60 sliding fee encounters tested received the wrong slide. We noted 6 of 60 sliding fee applications were missing an approving sign off. We noted 2 of 60 sliding fee applications were missing and not on file. We noted 1 out of 60 sliding fee applications did not properly document an extension in the slide eligibility period. We noted 1 out of 60 sliding fee encounters was not properly charged a lab visit fee in accordance with the policy. Lastly, we noted 1 out of 60 sliding fee encounters had a wrong correcting adjustment applied to the patient account. Responsible Person: Stephanie Smith, CPA, Chief Financial Officer Corrective Action Planned: Management will ensure sliding fee applications are completed and properly approved and that discounts for eligible patients are properly calculated, documented in files, processed and extended correctly when applicable, for each sliding fee patient. Management has carefully revised training materials for staff as well as new staff, and will work to ensure controls are followed to verify sliding fee discounts applied are correct based on the patient application. To help ensure compliance, the organization has already begun conducing sampling throughout the year to verify sliding fee applications are obtained, completed correctly, and applied accurately to accounts. Anticipated Completion Timeframe: To be completed by 3/31/23.