Finding Text
Criteria: Provider Relief Funds (PRF) were provided under the Coronavirus Aid, Relief, and Economic Security Act and are to be used to prevent, prepare for, and respond to coronavirus. The terms and conditions of the award state that "the recipient certifies that it will not use the payment to reimburse expenses or losses that have been reimbursed from other sources or that other sources are obligated to reimburse. Condition: The System reported PRF expenses within the HHS Health Resources and Services Administration (HRSA) Reporting Portal for Period 3 that included expenditures that were also submitted in an application for reimbursement under the Federal Emergency management Agency (FEMA) Assistance Program. Cause: Although the System has a process in place to identify and report allowable expenses, the System?s internal control system did not include an appropriate review process to detect and correct duplicate reporting. Effect and Questioned Costs: The System reported PRF expenses that were submitted to FEMA of approximately $6,283,908; however, FEMA did not reimburse any of those expenditures to the System. Context: Upon identification of the error, the System withdrew the FEMA application to remove the request for reimbursement of PRF reimbursed expenditures. Recommendation: We recommend the System design and implement controls, including levels of review, to ensure that expenditures are in accordance with the terms and conditions of the award. Views of Responsible Officials of the Auditee: The System agrees with this finding. See management?s corrective action plan.