La Clinica Del Valle Family Health Care Center, Inc.

2021-001 Coronavirus Relief Fund, Federal Assistance Listing Number 21.019, U.S. Department of Treasury, Oregon Health Authority Pass-Through Identifying Number: OHA 16539-0, OHA 166528-0, OHA 167627-1, OHA 166528-1&2 ? Detailed Receipts (Significant Deficiency in Internal Controls over Compliance for Allowable Cost Principles for Disbursements) Criteria ? Detailed receipts should be maintained for all Federal Programs in accordance with Treasury?s guidance and FAQs published in the Federal Register when testing the allowability of costs under the fund. Condition ? Itemized receipts for individuals under the Coronavirus Relief Fund were not organized and maintained. Although records indicated that disbursements to participants in the program were approved La Clinica's department managers and that such disbursements were for reimbursement of groceries, a detailed listing of participants and corresponding receipts itemizing what was purchased was not retained. Items purchased from a grocery store could be considered unallowable for the program if used to purchase alcohol, gift cards, or items used for gaming. Without itemized receipts we were unable to determine if the purchases were allowable. Context ? While total samples tested related to groceries was approximately $2,811, total charges to the program for groceries totaled approximately $18,000 of total expenditures. Questioned costs ? $2,811 Cause ? Due to the pandemic, La Clinica had work from home orders which impacted organization and filing of detailed receipts was not maintained. Effect ? Following the constraints of staffing and emergent nature of variant of the pandemic, management was able to return to the detailed controls it has in place. Repeat finding ? No Recommendation ? We recommend that detailed receipts and intake forms are saved and maintained for Federal programs and for future review. Views of responsible officials and planned corrective actions - The state asked community-based organizations such as La Clinica, who may not normally take on this task, to assist COVID-impacted patients with their grocery purchases and delivery while isolating due to possible COVID exposure. We put together a small ad hoc team to respond quickly and developed a workflow for this program where orders were taken and purchased by La Clinica?s staff, not the participants in the program. They were instructed to purchase only food products once the participants were deemed eligible for the program. We agree that not all the receipts could be accounted for mostly due to staff turnover as well as sudden work-from-home conditions during COVID. We have been implementing an automated AP paperless system over the past year and are hoping to finalize it sometime this year. This will address future control issues around the submission of itemized receipts.