Finding Text
Provider Relief Fund and American Rescue Plan Act (ARP) Rural Distribution Federal Assistance Listing No. 93.498 U.S. Department of Health and Human Services Criteria or Specific Requirement ? Reporting (45 CFR 75.342) and 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) Condition ? The Organization is required to prepare and submit phase one Provider Relief Funding Reporting. This report is to be prepared using accurate financial information and submitted by the deadline established. Questioned Costs ? Unknown Context ? The period one Provider Relief Fund report was tested. The Organization selected option three to report lost revenues based on 2020 and 2021 quarterly budget versus actual results. The Organization used a calculation that excluded health center owned pharmacy revenues but did not disclose this election in the required narrative to the Health Resources Services Administration (HRSA). Effect ? The report provided to HRSA included adjustments that were not adequately described and disclosed through the PRF phase one report. Cause ? The narrative did not fully and accurately describe the other reasonable method for calculating lost revenue, as required by the PRF terms and conditions. Identification as a Repeat Finding ? Not a repeat finding. Recommendation ? Policies and procedures over federal grant reporting should be modified to ensure reports and supporting documentation provided to regulatory agencies is clear, accurate, and easily understood. Views of Responsible Officials and Planned Corrective Actions ? We concur with this finding. Management recognizes the importance of complying with federal grant reporting guidelines. Going forward, the federal grant reporting policy and procedures will be reviewed and amended to ensure that reports and documentation for regulatory agencies are provided in a clear, accurate, and easily understood manner. Additionally, all related NHS personnel will be educated on the policy and procedures.