ST. JOHN OF GOD RETIREMENT AND CARE CENTER

Section III ? Federal Award Findings Finding 2021-002 Type of Finding: Significant deficiency, Compliance Description: Reporting Condition: The Center?s internal controls over compliance related to reporting were not effective. Criteria: The Provider Relief Funds (PRF) were provided under the Coronavirus Aid, Relief, and Economic Security Act (Pub. L. No. 116-136, 134 Stat. 563). Recipients agreed to terms and conditions, which require compliance with reporting requirements as specified by the Secretary of the U.S. Department of Health and Human Services (HHS). Context: The audit was not completed and submitted to the Health Resources and Services Administration?s Division of Financial Integrity by the September 30, 2022 deadline. Cause: Internal controls over audit report submission were not operating effectively. Effect: The Center did not submit the audit report to the Health Resources and Services Administration?s Division of Financial Integrity by the due date of September 30, 2022. Recommendation: We recommend the Center put processes in place over reporting to ensure timely submission of the audit report. Response of Responsible Officials: The Center concurs with this recommendation. Management will put processes into place to ensure timely submission of the audit report prior to the reporting deadline.

Finding 2021-003 Type of Finding: Significant deficiency, Compliance Description: Reporting Condition: The Center?s internal controls over compliance related to reporting were not effective. Criteria: The Provider Relief Funds (PRF) were provided under the Coronavirus Aid, Relief, and Economic Security Act (Pub. L. No. 116-136, 134 Stat. 563). Recipients agreed to terms and conditions, which require compliance with reporting requirements as specified by the Secretary of the U.S. Department of Health and Human Services (HHS). Context: During the audit, it was determined that the allocation of previously reported amounts of other PRF expenses and lost revenues within the Period 1 portal submission would need to be revised. However, it was noted that the revisions would not impact the total amount claimed for reimbursement, and therefore there was no impact on the amount recognized in the Schedule of Expenditures of Federal Awards in total. Cause: Internal controls over grant reporting were not operating effectively. Effect: The Center?s internal controls over grant reporting were not adequate to ensure accurate Period 1 portal reporting under the grant. Recommendation: We recommend the Center put processes in place to ensure accurate portal reporting under the grant. We also recommend monitoring future reporting within the portal to ensure the allocation of expenses attributable to coronavirus and lost revenues are accurately updated. Response of Responsible Officials: The Center concurs with this recommendation. Management will implement a control over the preparation and review over the completion and submission of the special reports to the government website. The submission will be prepared and documented and will be reviewed by another experienced individual. Any comments will be documented and followed up by staff documenting and evidencing the review.