Finding 961212 (2023-002)

Significant Deficiency
Requirement
N
Questioned Costs
-
Year
2023
Accepted
2024-03-26
Audit: 297887
Organization: Legacy Medical Care Inc. (IL)

AI Summary

  • Core Issue: There is a significant deficiency in internal controls over compliance related to the sliding fee discount schedule for patient services.
  • Impacted Requirements: Health centers must adjust service fees based on patients' ability to pay, as outlined in federal regulations.
  • Recommended Follow-Up: Management should increase self-review frequency and sample sizes, and provide additional training for front desk staff on patient information collection.

Finding Text

Federal Agency: U.S. Department of Health and Human Services Federal Program Name: Grants for New and Expanded Services Under the Health Center Program Assistance Listing Number: 93.224/93.527 Federal Award Identification Number: L2C42352-01-00 Award Periods: July 1, 2021 – June 30, 2023; Type of Finding: Significant deficiency in internal control over compliance Criteria: Health centers must prepare and apply a sliding fee discount schedule so that the amounts owed for health center services by eligible patients are adjusted (discounted) based on the patient’s ability to pay. (42 USC 254(k)(3)(E), (F), and (G); 42 CFR sections 51c.303(e), (f), and (g); and 42 CFR sections 56.303(e), (f), and (g)). Condition: Legacy incorrectly assessed and/or applied the sliding fee discount to patient encounters during the year. Questioned Costs: None. Context: Three (3) of forty (40) encounters selected for testing. Cause: Unknown. Effect: Patients are not charged according to Legacy's sliding fee scale and their ability to pay. Repeat Finding: No. Recommendation: Management should consider increasing the frequency of its self-reviews of patient encounters or expanding its sample sizes in addition to providing additional training for front desk staff regarding the collection and verification of patient information for each patient. Views of Responsible Officials: There is no disagreement with the audit finding.

Categories

Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 384770 2023-002
    Significant Deficiency
  • 384771 2023-005
    Material Weakness Repeat
  • 384772 2023-006
    Significant Deficiency Repeat
  • 384773 2023-003
    Significant Deficiency
  • 384774 2023-004
    Significant Deficiency Repeat
  • 961213 2023-005
    Material Weakness Repeat
  • 961214 2023-006
    Significant Deficiency Repeat
  • 961215 2023-003
    Significant Deficiency
  • 961216 2023-004
    Significant Deficiency Repeat

Programs in Audit

ALN Program Name Expenditures
93.268 Immunization Cooperative Agreements $210,112
93.323 Epidemiology and Laboratory Capacity for Infectious Diseases (elc) $82,636
93.527 Affordable Care Act (aca) Grants for New and Expanded Services Under the Health Center Program $64,146
93.332 Cooperative Agreement to Support Navigators in Federally-Facilitated and State Partnership Marketplaces $34,711