WINN COMMUNITY HEALTH CENTER, INC.Non-Profit

2024-001 Federal Clearinghouse Late Filing ALN: 93.224 Program: Community Health Center Cluster, Section 330 Agency: US Department of Health and Human Services Compliance Requirement: L Reporting Criteria: Recipients of federal funds at the major program level are required to submit audited consolidated financial statements to the federal clearinghouse either nine months after year end or thirty days after the audit report is accepted by those charged with governance. Finding/ Condition: The Center failed to comply with the time requirement for federal clearinghouse submissions. Questioned Cost: None. Effect: The Center is in violation of Federal Clearinghouse regulations. Cause: Personnel availability delayed the completion of the audit. Repeat Finding: No. Recommendation: We recommend that the Center begin the audit process earlier in the year to allow for unforeseen delays. Views of Responsible Officials and Corrective Action Plan: The Center agrees with the finding and will implement additional controls to ensure that this does not recur. Please refer to the corrective action plan on page 37.

2024-002 Cash Management Compliance ALN: 93.224 Program: Community Health Center Cluster, Section 330 Agency: US Department of Health and Human Services Compliance Requirement: C Cash Management Criteria: The compliance supplement requires organizations receiving federal funds to establish controls and procedures that would minimize the amount of time between drawdowns and the disbursements of grant funds. Finding/ Condition: Federal drawdowns were made prior to disbursement of funds in anticipation of a government shutdown. Questioned Cost: None. Effect: Drawdowns occurred before needed for disbursement purposes. Cause: Uncertainty with the federal funding sources caused normal internal controls and processes to not be followed. Repeat Finding: No. Recommendation: We recommend training for staff to ensure cash management requirements are followed. Management should track the status of the federally funded cash disbursements against the need to draw down funds on related grants. Views of Responsible Officials and Corrective Action Plan: The Center agrees with the finding. Please refer to the corrective action plan on page 37.

2022-001 Sliding Fee Discount Determination ALN: 93.224 Program: Health Center Program Cluster Agency: US Department of Health and Human Services Compliance Requirement: N- Special Tests and Provisions Repeat Finding: Yes Criteria: Federal grant compliance provisions require that Winn Community Health Center, Inc. correctly identify a patient's ability to pay and that the rates for services be adjusted accordingly based on the sliding fee schedule. Winn Community Health Center, Inc. is required to follow its sliding fee policy when providing discounts to eligible patients. Finding/ Condition: In our sample of 40 tested items, patient information was inadequate to determine the proper sliding fee discount or the patient was given incorrect discounts based on information provided. Questioned Cost: None. Effect: Lack of strict enforcement of the policy of sliding fee eligibility determination and compliance may have resulted in Winn Community Health Center, Inc. providing discounted services greater to or less than the appropriate amounts to beneficiaries. Cause: Inadequate understanding of the sliding fee program requirements and Winn Community Health Center, Inc. policies by employees involved in sliding fee determination. Recommendation: Training should be provided to employees on the sliding fee program requirements. Winn Community Health Center, Inc. should perform regular audits of sliding fee transactions to identify weaknesses in compliance. Views of Responsible Officials and Corrective Action Plan: Winn Community Health Center, Inc. agrees with the finding and will implement additional controls to ensure that this does not recur. Please refer to the corrective action plan on page 28.

2021-001 Sliding Fee Discount Determination ALN: 93.224 Program: Health Center Program Cluster Agency: US Department of Health and Human Services Compliance Requirement: N- Special Tests and Provisions Repeat Finding: No Criteria: Federal grant compliance provisions require that Winn Community Health Center, Inc. correctly identify a patient's ability to pay and that the rates for services be adjusted accordingly based on the sliding fee schedule. Winn Community Health Center, Inc. is required to follow its sliding fee policy when providing discounts to eligible patients. Finding/ Condition: In our sample of 40 tested items, patient information was inadequate to determine the proper sliding fee discount or the patient was given incorrect discounts based on information provided. Questioned Cost: None. Effect: Lack of strict enforcement of the policy of sliding fee eligibility determination and compliance may have resulted in Winn Community Health Center, Inc. providing discounted services greater to or less than the appropriate amounts to beneficiaries. Cause: Inadequate understanding of the sliding fee program requirements and Winn Community Health Center, Inc. policies by employees involved in sliding fee determination. Recommendation: Training should be provided to employees on the sliding fee program requirements. Winn Community Health Center, Inc. should perform regular audits of sliding fee transactions to identify weaknesses in compliance. Views of Responsible Officials and Corrective Action Plan: Winn Community Health Center, Inc. agrees with the finding and will implement additional controls to ensure that this does not recur. Please refer to the corrective action plan on page 28.

2021-002 Compliance Over Reporting ALN: 93.224 Program: Health Center Program Cluster Agency: US Department of Health and Human Services Compliance Requirement: L - Reporting Repeat Finding: Yes Criteria: Pursuant to the reporting requirement set forth by the Department of Health and Human Services, the Center is required to file the quarterly Federal Financial Report (FFR) within 30 days of the end of the quarter and submit the single audit to the federal audit clearinghouse within the sooner of 30 days of the issuance of the audit report or nine months after the end of the Center?s fiscal year-end. Finding/ Condition: During our reporting period, we noted that the Center submitted the quarterly FFR late for the second and fourth quarters and the audit was not completed and filed timely. Questioned Cost: None. Effect: The delay in submitting the required report may lead to the granting agency to impose temporary restrictions on the drawdown process. Cause: Staff shortages and delays due to COVID-19 protocol caused delay in the preparation and reporting of the required forms. Recommendation: We recommend the Winn Community Health Center, Inc. file the required quarterly FFRs and the year-end audit in a timely manner. Views of Responsible Officials and Corrective Action Plan: Winn Community Health Center, Inc. agrees with the finding and will implement additional controls to ensure that this does not recur. Please refer to the corrective action plan on page 29.

2020-001 Compliance Over Reporting CFDA Number: 93.224 Program: Community Health Center Cluster Compliance Requirement: (L) Reporting Criteria: Pursuant to the reporting requirement set forth by the Department of Health and Human Services, the Center is required to file the quarterly Federal Financial Report (FFR) within 30 days of the end of the quarter. Finding/ Condition: During our reporting period, we noted that the Center submitted the quarterly FFRs late. Questioned Cost: None. Effect: The delay in submitting the required report may lead to the granting agency to impose temporary restrictions on the drawdown process. Cause: Staff shortages and delays due to COVID-19 protocol caused delay in the preparation and reporting of the required forms. Repeat Finding: This is a repeat finding. Please see finding 2019-001. Recommendation: We recommend the Center file the required quarterly FFRs in a timely manner. Views of Responsible Officials and Corrective Action Plan: The Center agrees with the finding and will implement additional controls to ensure that this does not recur. Please refer to the corrective action plan on page 28.

II. Financial Statement Findings: None Reported . Federal Awards Findings and Questioned Costs: 2019-001 Compliance Over Reporting CFDA Number: 93.224 Program: Community Health Center Cluster Compliance Requirement: (L) Reporting Criteria: Pursuant to the reporting requirement set forth by the Department of Health and Human Services, the Center is required to file the quarterly Federal Financial Report (FFR) within 30 days of the end of the quarter and submit the single audit to the federal audit clearinghouse within the sooner of 30 days of the issuance of the audit report or nine months after the end of the Center?s fiscal year-end. Finding/ Condition: During our reporting period, we noted that the Center submitted the quarterly FFR late for the third and fourth quarters and the audit was not completed and filed timely. Questioned Cost: None. Effect: The delay in submitting the required report may lead to the granting agency to impose temporary restrictions on the drawdown process. Cause: Staff shortages and delays due to COVID-19 protocol caused delay in the preparation and reporting of the required forms. Recommendation: We recommend the Center file the required quarterly FFRs and year-end audit in a timely manner. Views of Responsible Officials and Corrective Action Plan: The Center agrees with the finding and will implement additional controls to ensure that this does not recur. Please refer to the corrective action plan on page 25.