Finding Text
Compliance Requirement: Reporting Question Costs: None Criteria: All recipients of Provider Relief Fund payments must comply with the reporting requirements described in the PRF terms and conditions specified in directions issued by the U.S Department of Health and Human Services.- Condition and Context: The Organization did not complete the PRF reporting in accordance with the U.S Department of Health and Human Services guidance. For the Organization to utilized Method 1 (year over year) for Reporting Periods 3 and 4, the Organization was required to enter revenues by payor type for each of the years ended 2019, 2020, 2021, and 2022. During our audit, we noted that the total revenue reported for 2019 agreed to internal financial reports, however the amounts reported for quarter three and quarter four was not reported accurately. Cause: The Organization's grouping report did not accurately capture the correct payor type for this quarter which caused management to net a credit balance between the third and fourth quarter. Effect: The amounts reported to the Health Resources and Services Administration (HRSA) were not in accordance with established U.S. Department of Health and Human Services guidance. The Organization had sufficient lost revenues reported for quarter one and two which was reported in accordance with the specified directions to justify the funds reported in Reporting Period 3 and 4. There were no questioned costs. Recommendation: We recommend that management review its internal policies to ensure that all guidance is followed for the submission method selected. View of Responsible Officials: The Organization agrees with the finding. Corrective Action: Management has reviewed its internal policies and plans to re-calculate and submit all future filings with the correct third and fourth quarter 2019 revenue amounts.