Finding 576516 (2022-001)

-
Requirement
L
Questioned Costs
$1
Year
2022
Accepted
2023-10-18
Audit: 82
Organization: Health Services Management, INC (TN)
Auditor: Kraftcpas PLLC

AI Summary

  • Core Issue: Management failed to report $25,992 in Provider Relief Funds for one facility, risking potential repayment to HHS.
  • Impacted Requirements: Compliance with federal reporting obligations for COVID-related expenses and lost revenues was not met.
  • Recommended Follow-Up: Management should request to re-open the reporting portal to submit the necessary information and ensure compliance.

Finding Text

FINDING 2022-001 PROVIDER RELIEF FUND REPORTING Criteria: Management is responsible for compliance with the requirements of laws, regulations, contracts, and grants applicable to its federal programs. This requires management to complete the reporting portion associated with the HHS Provider Relief Funds (“PRFs”) to report the Organization’s usage of funds for COVID-related expenses and lost revenues in the applicable period on the Provider Relief Fund Reporting Portal. Condition: During the audit, we noted that management did not complete the reporting portion on the Provider Relief Fund Reporting Portal for one of the facilities that received PRF money during 2021. Cause of Condition: The Provider Relief Fund Reporting Portal for this facility did not list an amount to report on, therefore management missed reporting the expenses or lost revenues for this facility. Potential Effects of Condition: The facility received $25,992 of PRF money that was not reported therefore the effect of this error would be that HHS could request this money back if it is not properly reported. Recommendation: We recommend that management submit a request to the Provider Relief Fund Reporting Portal requesting to re-open the Period 3 portal submission to allow management to report the expenses or lost revenues to HHS, so that this facility will be in compliance with the terms and conditions of the PRF program. Management’s Response: Management agrees with the auditor’s recommendation and will implement a plan do to so. Additionally, management notes there were enough lost revenues over the years to cover the amount of money received for this facility. Views of Responsible Officials: Management’s response is reported in the “Corrective Action Plan” at the end of the report.

Categories

Questioned Costs Reporting

Other Findings in this Audit

  • 74 2022-001
    -

Programs in Audit

ALN Program Name Expenditures
93.498 Provider Relief Fund $1.71M