Finding Text
Criteria: Rannie Webster Foundation's Regulatory Agreement with HUD requires the Foundation to maintain a debt service coverage ratio of 1.0. This is a repeat finding and was reported as finding 2021-002 in the prior year. Condition: Rannie Webster Foundation's debt service coverage ratio was calculated as below 1.0. Questioned Costs: None Cause: Rannie Webster Foundation experienced higher costs as a result of overall economic conditions and a higher costly dependency on contracted nursing services in the wake of healthcare hiring challenges. Effects or Potential Effects: Rannie Webster Foundation has been impacted by the COVID pandemic and the overall hiring crisis for healthcare workers. Auditor's Recommendation: Management should evaluate and consider cost-cutting measures or strategies to improve the financial results. View of responsible officials: Rannie Webster Foundation continues to feel the impact of the COVID pandemic but continues to seek cost-cutting measures to maintain the debt service coverage ratio.