Finding 982479 (2020-004)

Significant Deficiency
Requirement
P
Questioned Costs
-
Year
2020
Accepted
2024-07-02
Audit: 311581
Organization: Hospital Damas INC (PR)
Auditor: Galindez LLC

AI Summary

  • Core Issue: The Hospital filed the required data collection form and reporting package late, violating CFR § 200.512.
  • Impacted Requirements: Compliance with federal reporting timelines under Title 2 U.S. Code of Federal Regulations (CFR) is essential for federal awards.
  • Recommended Follow-up: The Hospital should regularly review federal award guidelines to stay updated on compliance requirements and avoid future delays.

Finding Text

Finding No. 2020-004 – Reporting - Late filing of data collection form and reporting package Federal Program Federal Program Assistance Listing 21.019 – Coronavirus Relief Fund – COVID-19 Name of Federal Agency U.S. Department of Treasury Pass-through Entity Puerto Rico Treasury Department Category Significant deficiency in internal controls over compliance / Non-compliance Compliance requirements Other Criteria As required by the audit requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), § 200.512 Report submission (a) (1), “ the audit must be completed and the data collection form described in paragraph (b) of this section and reporting package described in paragraph (c) of this section must be submitted within the earlier of 30 calendar days after receipt of the auditor's report(s), or nine months after the end of the audit period. If the due date falls on a Saturday, Sunday, or Federal holiday, the reporting package is due the next business day”. Condition The Hospital did not file on time the data collection form and reporting package required by CFR § 200.512. Cause In response to the global pandemic of COVID – 19, the government of the United States enacted various laws to provide grants and support to hospitals and other healthcare entities responding to the coronavirus pandemic, among others, some of which have never been subject to a single audit process and thus, the reconciliation and reporting process was delayed. Effect As a result of this condition, the federal grantor or the passthrough entity may issue warnings and/or impose penalties to the Hospital. Also, the federal grantor was prevented from the use of accurate reporting data, which is critical for the effective administration of the federal program and for budgetary policy analysis. Questioned cost None Context This is the first data collection form that the Hospital is required to submit. Identification of a repeat finding This is not a repeat finding. Recommendation The Hospital should continue to monitor and review guidelines for federal awards under the Code of Federal Regulations to ensure it is up to date on the applicable requirements and changes therein. Views of responsible officials and planned corrective actions The Hospital’s management and responsible officers agree with this finding. Please refer to the corrective action plan section for the Hospital’s response on pages 57 to 59.

Categories

Subrecipient Monitoring Allowable Costs / Cost Principles Reporting Significant Deficiency Internal Control / Segregation of Duties

Other Findings in this Audit

  • 406034 2020-001
    Significant Deficiency
  • 406035 2020-002
    Significant Deficiency
  • 406036 2020-003
    Significant Deficiency
  • 406037 2020-004
    Significant Deficiency
  • 982476 2020-001
    Significant Deficiency
  • 982477 2020-002
    Significant Deficiency
  • 982478 2020-003
    Significant Deficiency

Programs in Audit

ALN Program Name Expenditures
21.019 Coronavirus Relief Fund $5.07M
97.036 Disaster Grants - Public Assistance (presidentially Declared Disasters) $283,017
93.889 National Bioterrorism Hospital Preparedness Program $7,196