Finding 52011 (2022-001)

Significant Deficiency
Requirement
L
Questioned Costs
-
Year
2022
Accepted
2023-02-21
Audit: 45382
Organization: Ephraim McDowell Health, Inc. (KY)
Auditor: Forvis LLP

AI Summary

  • Core Issue: The Corporation failed to submit audited financial statements to the U.S. Department of Agriculture on time.
  • Impacted Requirement: Annual audited financial statements were due 150 days after year-end but were submitted 9 months late.
  • Recommended Follow-Up: Management should establish a procedure with calendar reminders to ensure timely submission of future financial statements.

Finding Text

Community Facilities Loans and Grants Cluster; Federal Assistance Listing No. 10.766; U.S. Department of Agriculture Criteria or specific requirement ? Reporting Condition: The Corporation is required to submit annual audited financial statements to the U.S. Department of Agriculture 150 days subsequent to year-end. The audited financial statements as of and for the year ended September 30, 2021, were due to the U.S. Department of Agriculture by February 27, 2022, and were not submitted until November 2022. Questioned costs: None Context: In testing the timely submission of the audited financial statements, the Corporation was unable to locate or provide support showing that the audited financial statements were submitted to the U.S. Department of Agriculture. Effect: Audited financial statements were not timely submitted. Cause: The Corporation was unable to produce support for timely submitted audited financial statements. Identification as a repeat finding, if applicable: Not applicable Recommendation: We recommend management develop a procedure to ensure that the audited financial statements are timely submitted to the U.S. Department of Agriculture. Views of responsible officials and planned corrective actions: Management agrees with the recommendation. The Corporation will create calendar appointments prior to required deadline for submission of the audited financial statements for the responsible personnel including the chief financial officer.

Corrective Action Plan

Schedule of Findings and Questioned Costs Corrective Action Plan Year Ended September 30, 2022 Government Auditing Standards No matters are reportable. Uniform Guidance Finding 2022-001 ? The Corporation was unable to produce support for timely submitted audited financial statements. Corrective Action Plan: The Corporation will create calendar appointments prior to required deadline for submission of the audited financial statements for the responsible personnel including the chief financial officer. Contact Person: Amanda Kinman Expected Implementation: January 2023 Amanda Kinman Chief Financial Officer 859-239-2424

Categories

Reporting Matching / Level of Effort / Earmarking

Other Findings in this Audit

  • 628453 2022-001
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
93.498 Provider Relief Fund $10.27M
10.766 Community Facilities Loans and Grants $3.38M
93.461 Covid-19 Testing for the Uninsured $49,179
93.301 Small Rural Hospital Improvement Grant Program $20,142