Finding 398167 (2023-001)

Provider Relief Funds CFDA No. 93.498 U.S. Department of Health and Human Services (DHHS) Criteria or Specific Requirement – Activities Allowed/Unallowed and Allowable Costs/Cost Principles (Pub. L No 116-136, 134 Stat. 563 and Pub L. No 116-139, 134 Stat. 622 and 623) and Reporting (45 CFR 75.342) Condition – The Health System is required to prepare and submit period 4 provider relief fund reporting. These reports are to be prepared using accurate financial information and submitted by the deadline established. Questioned Costs – $326,960 Context – The Health System was required to submit 5 period 4 provider relief fund reports. We selected all reports to be tested. The Health System selected option iii to report lost revenues based on DHHS' alternative method. Amounts reported for 9 our of 70 attributes tested in the 5 period 4 provider relief fund reports were not calculated accurately. Effect – The Health System's reporting of lost revenues to DHHS for Period 4 was not prepared in accordance with the requirements determined by DHHS. When these errors are considered, the Health System's total provider relief fund payments applied to lost revenues did not change from what was originally reported in period 4 for four out of five reports filed. Cause – The Health System included certain general ledger accounts in their calculation of lost revenues that did not meet DHHS' definition of patient service revenue. Identification as a repeat finding – Not a repeat finding. Recommendation – Policies and procedures over federal grant reporting should be modified to ensure reports are prepared using complete and accurate information.