Finding Text
Criteria or Specific Requirement ? The District is required to submit filings with The Health Resource and Service Administration (HRSA) under the Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution programs. Such filings include reporting COVID-19 costs and lost revenues, as defined. Condition ? The District?s filing with HRSA for Reporting Period 4 contained errors in the amounts reported for lost revenues. Context ? Revenue amounts were used that were prior to audit adjustments and certain net patient service revenues were improperly excluded. Cause ?The District inadvertently used revenue amounts prior to audit adjustments and inadvertently excluded certain net patient service revenues. Effect or Potential Effect ? The lost revenue amounts reported to HRSA for Reporting Period 4 were overstated. The misstatements had no impact on the amount of PRF and ARP funds the District was allowed to retain due to the excess of COVID-19 costs and lost revenues over the amount of PRF and ARP funds received. Questioned Costs ? There are no questioned costs. Recommendation ? We recommend that the District ensure that future filings with HRSA accurately report lost revenues. Views of Responsible Officials and Planned Corrective Actions ? Management agrees with the finding and has taken steps to ensure the accuracy of lost revenues in any future filings.