Finding 400165 (2023-003)

COVID-19 Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498 U.S. Department of Health and Human Services Payments Received July 1, 2021 to December 31, 2023 or Reporting Period 4 Criteria or specific requirement – Reporting (45 CFR 75.342) Condition – The District is required to prepare and submit accurate provider relief fund reporting. These reports are to be prepared using accurate financial information and submitted by the deadline established. Questioned costs – None Context – The period four Provider Relief Fund report was tested. When testing the underlying financial information, errors in the information were identified, thus resulting in errors in the reported total revenue/net charges from patient care due to using cash receipts rather than accrual based revenue. Effect – Errors were made in reporting quarterly Total Revenue/Net Charges from Patient Care. Lost revenues were not accurately reported. Cause – The District did not correctly summarize patient service revenue in their calculation. Identification as a repeat finding, if applicable – 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. Views of responsible officials and planned corrective actions: Policies and procedures over federal grant reporting will be modified to ensure reports are prepared using complete and accurate information. Management will increase compensation controls by introducing additional oversight and review for future COVID-19 PRF reporting.