View From The Rock

Medical providers who received Provider Relief Fund Payments may need an audit

• August 14, 2020
• Marianne Lilly, CPA, CGMA, CFE
• • Business Practices
  • Medical Practice Management

The Department of Health and Human Services (HHS) is requiring financial statement audits from medical care providers who received more than $750,000 annual total awards in Provider Relief Fund Payments in 2020.  Qualifying Provider Relief Fund Payments could include:

1. HRSA Provider Relief Funds
2. HRSA Uninsured Testing and Treatment
3. FEMA Public Assistance Grants
4. SBA Economic Injury Disaster Loan (EIDL) – I am looking into this piece of the requirement however they are subject to this requirement for not for profit so it probable they are included for for-profits receiving CARES Act Provider Relief Fund payments
5. Other federal agency grant programs

NOTE: PPP loans are excluded from this list of qualifying payments.

For medical providers who qualify for the audit, there are two options:

1. A financial-related audit of the award or awards conducted in accordance with Government Auditing Standards; or
2. An audit in conformance with the requirements of 45 CFR 75 Subpart F.

If you believe you may require an audit following your receipt of Provider Relief Fund Payments, please contact a ShindelRock audit professional.