Finding Text
2022-002 ? Lost Revenue Reporting ? Compliance Finding U.S. Department of Health and Human Services: Provider Relief Fund and American Rescue Plan (ARP) Rural Distributions (Federal Assistance Listing Number 93.498) Criteria: Under the terms and conditions of the awards, accurate amounts that agree with the entity's financial records are required to be reported in the Provider Relief Fund report. Condition: The Period 4 Provider Relief Fund report was submitted on March 31, 2023 during the financial statement audit for the year ending December 31, 2022. The Hospital reported actual revenues for 2022 in the Provider Relief Fund report that were not accurate and do not agree to audited financial statements. Context: This finding appears to be an isolated instance. Effect: The actual revenue for 2022 was understated by $2,433,204 within the Provider Relief Fund report, which resulted in an overstatement of lost revenue to be claimed in future periods by the same amount. The reporting did not impact the PRF funding received and retained by the Hospital due to the error. Cause: Adjustments were made during the audit in conjunction with management that impacted the actual 2022 net patient service revenue, after the reporting to HRSA for period 4. Recommendation: We recommend the Hospital update the revenue data for 2022 actual revenue in future HRSA PRF reporting periods.