Finding 401719 (2023-001)

Significant Deficiency Repeat Finding
Requirement
L
Questioned Costs
-
Year
2023
Accepted
2024-06-24
Audit: 309652
Organization: Northern Regional Hospital (NC)
Auditor: Cla

AI Summary

  • Core Issue: Lack of documented review for COVID-19 Provider Relief Funds submissions, leading to potential inaccuracies.
  • Impacted Requirements: Compliance with reporting criteria for Nursing Home Infection Control Expenses and other key line items.
  • Recommended Follow-Up: Implement formal review procedures for future submissions, ensuring oversight by someone other than the preparer.

Finding Text

2023-001 Federal Agency: U.S. Department of Health and Human Services Federal Program Title: COVID-19 Provider Relief Funds Assistance Listing Number: 93.498 Award Period: October 1, 2022 through September 30, 2023 Type of Finding: • Significant Deficiency in Internal Control over Compliance • Other Matters Criteria or specific requirement: The Provider Relief Funds are required to be reported through the Provider Relief Fund Reporting Portal and include key line items for Nursing Home Infection Control Expenses, Other Provider Relief Fund Expenses, and Calculation of Lost Revenues Attributable to Coronavirus. Condition: There is no documented review of the detail of expenditures accumulated or review that the submission for these federal funds was reviewed by anyone other than the preparer prior to submission. Questioned costs: None Context: During our testing, it was noted that the Organization was unable to provide documentation for review of the information contained within the report, as well as the report prior to submission. Cause: Controls were not in place to review the detail listing of expenditures or reporting submission. Effect: Information included in the submission could be incorrect with no review process in place. Recommendation: We recommend that the Organization ensure there are proper procedures in place for future submissions and that a formal review occur by someone other than the preparer. Views of responsible officials: There is no disagreement with the audit finding.

Corrective Action Plan

2023-001 Provider Relief Funding – Assistance Listing No. 93.498 Recommendation: We recommend that the Organization ensure there are proper procedures in place for future submissions and that a formal review occur by someone other than the preparer. Explanation of disagreement with audit finding: There is no disagreement with the audit finding. Action taken in response to finding: Northern Regional Hospital will adopt a policy to review all expenditures recorded and all submissions of reporting prior to the submission being made. This review will be done by someone independent of completing the preparation and will be documented as such. Name(s) of the contact person(s) responsible for corrective action: Derek White, Director of Operational Finance Planned completion date for corrective action plan: 6/30/24 If the Department of Health and Human Services has questions regarding this plan, please call Derek White, Director of Operational Finance at 336-719-7283.

Categories

Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 401720 2023-001
    Significant Deficiency Repeat
  • 978161 2023-001
    Significant Deficiency Repeat
  • 978162 2023-001
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
93.498 Provider Relief Fund $630,844