Finding Text
2023-001 - Significant Deficiency
Federal agency: U.S. Department of Health and Human Services (HHS)
Federal program title: COVID-19 Provider Relief Fund (PRF) - Period 4
Assistance Listing No.: 93.498
Condition: The System over-reported expenses within the HHS Health Resources
and Services Administration (HRSA) Reporting Portal Period 4
submission due to a spreadsheet allocation calculation error.
Criteria: Provider Relief Funds were provided under the Coronavirus Aid,
Relief, and Economic Security Act and are to be used to prevent,
prepare for, and respond to coronavirus. The funds shall reimburse
the recipient only for expenses or lost revenues that are attributable
to coronavirus. The funds may not be used to reimburse expenses or
lost revenues that have been reimbursed from other sources or that
other sources are obligated to reimburse.
Cause: Although the System has a process in place to identify and report
allowable expenses, an appropriate review process was not in place
to detect and correct spreadsheet calculation errors.
Effect: The System reported expenses within the HHS HRSA Reporting
Portal Period 4 submission which were not accurately calculated.
Questioned Costs: The spreadsheet calculation error resulted in $201,976 of
questioned costs.
Context: Upon testing the compliance requirements of this program,
it was determined that a spreadsheet calculation error resulted
in overstating expenditures. However, the Period 4 reporting submission
included unused lost revenues that the System believes could offset the
the issue identified above.
Recommendation: We recommend the Authority design and implement controls,
including levels of review, to ensure qualifying expenses submitted
are in accordance with the HHS guidelines with supporting
documentation retained.
Views of Responsible
Officials and Planned
Corrective Actions: See corrective action plan.