Finding Text
2022-001 Federal Agency: U.S. Department of Health and Human Services Federal Program Name: COVID-19 Provider Relief Fund Assistance Listing Number: 93.498 Award Period: January 1, 2021 ? June 30, 2022 Type of Finding: ? Material Weakness in Internal Control Over Compliance ? Compliance Criteria or specific requirement: Internal controls should be in place to provide reasonable assurance that federal relief grant revenue is spent and reported on in accordance with the terms of the grant. Condition: A portion of costs claimed during Reporting Period 3 had previously been claimed in Reporting Period 2, and thus had already been reimbursed. Questioned costs: Questioned costs of $17,597 were identified based on costs claimed during Reporting Period 3 that were previously claimed in Reporting Period 2. Context: In a statistically valid sample of 5 reports tested, the auditor identified 1 instance of noncompliance where the same costs were tested in 2 different reports. Cause: Condition was caused due to management of business component tested believing that that the "Other Provider Relief Fund Expenses for Payments Received During Payment Period: January 1, 2021 to June 30, 2021" table required total cumulative cost incurred to-date to be reported. Effect: The effect of the condition was $17,597 of cost claimed against the grant in excess of actual cost incurred. Repeat finding: Yes Recommendation: Recommend that the Organization should review the PRF Reporting Portal instructions detailing how to complete individual schedules in the Reporting Portal and ensure that all costs claimed are fully supported. The Organization should also ensure that an individual with sufficient training and experience is assigned to review and approve all grant reports submitted through the Reporting Portal. Views of responsible officials: There is no disagreement with the audit finding.