Finding 41548 (2022-003)

- Repeat Finding
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-09-28

AI Summary

  • Core Issue: The District's filing with HRSA for Reporting Period 4 had errors in reported lost revenues.
  • Impacted Requirements: Accurate reporting of COVID-19 costs and lost revenues is required under the PRF and ARP programs.
  • Recommended Follow-Up: Ensure future HRSA filings accurately reflect lost revenues, as management has agreed to improve accuracy.

Finding Text

Criteria or Specific Requirement ? The District is required to submit filings with The Health Resource and Service Administration (HRSA) under the Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution programs. Such filings include reporting COVID-19 costs and lost revenues, as defined. Condition ? The District?s filing with HRSA for Reporting Period 4 contained errors in the amounts reported for lost revenues. Context ? Revenue amounts were used that were prior to audit adjustments and certain net patient service revenues were improperly excluded. Cause ?The District inadvertently used revenue amounts prior to audit adjustments and inadvertently excluded certain net patient service revenues. Effect or Potential Effect ? The lost revenue amounts reported to HRSA for Reporting Period 4 were overstated. The misstatements had no impact on the amount of PRF and ARP funds the District was allowed to retain due to the excess of COVID-19 costs and lost revenues over the amount of PRF and ARP funds received. Questioned Costs ? There are no questioned costs. Recommendation ? We recommend that the District ensure that future filings with HRSA accurately report lost revenues. Views of Responsible Officials and Planned Corrective Actions ? Management agrees with the finding and has taken steps to ensure the accuracy of lost revenues in any future filings.

Corrective Action Plan

Condition ? The District?s Provider Relief Fund filing with HRSA for Reporting Period 4 contained errors in the amounts reported for lost revenues. Recommendation ? We recommend that the District ensure that future filings with HRSA accurately report lost revenues. Views of Responsible Officials and Planned Corrective Actions ? Management agrees with the finding and has taken steps to ensure the accuracy of lost revenues in any future filings (filings related to the Provider Relief Funds are complete). Anticipated Date of Completion ? In progress. Action Taken ? We have reviewed the recommendations and will be discussing potential improvements in the near future. Person Responsible for Corrective Action Plan ? Colette Martin, Chief Financial Officer.

Categories

Reporting

Other Findings in this Audit

  • 41546 2022-001
    Material Weakness
  • 41547 2022-002
    Significant Deficiency Repeat
  • 617988 2022-001
    Material Weakness
  • 617989 2022-002
    Significant Deficiency Repeat
  • 617990 2022-003
    - Repeat

Programs in Audit

ALN Program Name Expenditures
93.498 Provider Relief Fund $1.08M