Wilbarger General Hospital DistrictState Government

2023-002 COVID-19 Provider Relief Fund (PRF) and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498 U.S. Department of Health and Human Services Criteria or specific requirement: Reporting (45 CFR 75.342) Condition: The District is required to prepare and submit period four provider relief fund reporting. These reports are to be prepared using accurate financial information and submitted by the deadline established. Questioned costs: None Context: The period four three provider relief fund reports were tested. The District selected option 1 to report lost revenues based on quarterly actuals. When testing the underlying financial information, errors in the information were identified whereby certain months of the quarterly actuals were incorrectly calculated, thus resulting in errors in the reported total revenue/net charges from patient care. Effect: Errors were made in reporting quarterly Total Revenue/Net Charges from Patient Care. Lost revenues were not accurately reported However, the District utilized allowable costs for Period 4 funding received, so that no lost revenues were utilized as a basis for the funds received, and as such, there were no questioned costs. Cause: The District did not correctly summarize patient service revenue in their calculation. Identification as a repeat finding, if applicable: This is not a repeat finding. Recommendation: Policies and procedures over federal grant reporting should be modified to ensure reports are prepared using complete and accurate information. Views of responsible officials and planned corrective actions: Management agrees with this finding and will review procedures regarding lost revenue calculations to ensure amounts reported are accurate for future reporting periods. See attached corrective action plan for the District’s response to finding.

Review and reconciliation of period one provider relief fund report Criteria: Reporting (45 CFR 75.342) Condition: The Organization is required to prepare and submit period one provider relief fund reporting to the U.S. Department of Health and Human Services. This report is to be prepared using accurate financial information, reviewed, and submitted by the deadline established. Context: The period one provider relief fund report was tested. However, the District had no key control in place to review PRF period 1 report before it was submitted to HRSA. Effect: The potential for errors in reporting that are not detected in a timely manner. Cause: The District is a small entity with a limited number of personnel, which limits opportunities for review and oversight. Recommendation: We recommend management update policies and procedures to include a secondary review of federal awards reporting prior to submission. Views of responsible officials and planned corrective actions: See attached corrective action plan for the District?s response to finding.