BLUE MOUNTAIN HOSPITAL

EIN: 200743054

UEI: GSA_MIGRATION

Data as of August 22, 2026

BLUE MOUNTAIN HOSPITAL1 audit years1 findings
1
Audit Years
1
Total Findings
0
Repeat Findings

FY 2021-09-30

Management decision deadline — for entities that funded this organization

The FAC accepted this audit on October 11, 2022. Under 2 CFR 200.521(d), a pass-through entity that provided federal funds to this organization for this audit period must issue a management decision on these findings by April 11, 2023 (1229 days ago).

What is a management decision? →
2021-003
Activities Allowed or Unallowed / Cost Allowability / Reporting

The patient care lost revenue calculation included an error by including amounts related to nonpatient dining services. The nonpatient dining services should have been removed from both actual patient revenue and the budget used as the comparison in the Hospital?s ?Alternate Reasonable Methodology.? Cause: The Hospital?s internal controls did not detect the error and the Hospital did not prepare and retain documentation of the basis and conclusion for all assumptions made in calculating lost revenues. Effect: The lost revenues included in the HRSA report contained an error related to nonpatient dining services. If internal controls fail to detect errors and/or to analyze all applicable guidance and assumptions, errors could occur in amounts reported to federal agencies. Questioned Costs: None. The total error in lost revenue reported was $27,942, however, the Hospital?s adjusted lost revenue of $1,713,995 is in excess of the amount claimed of $1,701,129. Context/Sampling: Sampling was not used. All key line items for the Period 1 report were tested. Quarters 1, 3, and 4 of 2020 and Quarter 1 of 2021 was overstated by $735, $8,668, $12,896, and $8,441, respectively. Quarter 2 of 2020 was understated by $2,798. Repeat Finding from Prior Year(s): No. Recommendation: We recommend the Hospital implement additional controls to ensure adequate scrutiny and documentation of all significant assumptions made while calculating amounts to be reported. Views of Responsible Officials: Management agrees with this finding. It is noted that the Hospital claimed $1,741,487 in lost revenues, but only utilized $1,701,129.48 during this reporting period. The adjusted lost revenues of $1,713,995 is still in excess of the amount applied to payments received during this reporting period.

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Full finding narrative

2021-003 Department of Health and Human Services Federal Assistance Listing/CFDA #93.498 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Applicable Federal Award Number and Year ? Period 1 TIN #200743054 Activities Allowed or Unallowed, Allowable Costs/Cost Principles, and Reporting Significant Deficiency in Internal Control over Compliance and Noncompliance Not Considered Material Criteria: 2 CFR 200.303(a) establishes that the auditee must establish and maintain effective internal control over the federal award that provides assurance that the entity is managing the federal award in compliance with federal statutes, regulations, and conditions of the federal award. Condition: The patient care lost revenue calculation included an error by including amounts related to nonpatient dining services. The nonpatient dining services should have been removed from both actual patient revenue and the budget used as the comparison in the Hospital?s ?Alternate Reasonable Methodology.? Cause: The Hospital?s internal controls did not detect the error and the Hospital did not prepare and retain documentation of the basis and conclusion for all assumptions made in calculating lost revenues. Effect: The lost revenues included in the HRSA report contained an error related to nonpatient dining services. If internal controls fail to detect errors and/or to analyze all applicable guidance and assumptions, errors could occur in amounts reported to federal agencies. Questioned Costs: None. The total error in lost revenue reported was $27,942, however, the Hospital?s adjusted lost revenue of $1,713,995 is in excess of the amount claimed of $1,701,129. Context/Sampling: Sampling was not used. All key line items for the Period 1 report were tested. Quarters 1, 3, and 4 of 2020 and Quarter 1 of 2021 was overstated by $735, $8,668, $12,896, and $8,441, respectively. Quarter 2 of 2020 was understated by $2,798. Repeat Finding from Prior Year(s): No. Recommendation: We recommend the Hospital implement additional controls to ensure adequate scrutiny and documentation of all significant assumptions made while calculating amounts to be reported. Views of Responsible Officials: Management agrees with this finding. It is noted that the Hospital claimed $1,741,487 in lost revenues, but only utilized $1,701,129.48 during this reporting period. The adjusted lost revenues of $1,713,995 is still in excess of the amount applied to payments received during this reporting period.

Corrective Action Plan

Summary Schedule of Single Audit Finding Finding 2021-003 Department of Health and Human Services Federal Assistance Listing/CFDA #93.498 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Applicable Federal Award Number and Year ? Period 1 TIN # Initial Fiscal Year Finding Occurred: 2021 Finding Summary: The patient care lost revenue calculation included an error by including amounts related to nonpatient dining services. The nonpatient dining services should have been removed from both actual patient revenue and the budget used as the comparison in the Hospital?s ?Alternate Reasonable Methodology.? The Hospital?s internal controls did not detect the error and the Hospital did not prepare and retain documentation of the basis and conclusion for all assumptions made in calculating lost revenues. Responsible Individuals: Kent Turek, Chief Financial Officer Corrective Action Management agrees with this finding and accepts the recommendation to implement additional controls to ensure adequate scrutiny and documentation of all significant assumptions made while calculating amounts to be reported. Additional controls will be implemented for fiscal year 2023.

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