Compliance Clips
Welcome to Compliance Clips!
A service which will provide useful tips and information in compliance that you need to know!
The Consolidated Fiscal Report could be more efficient and compliant
Important Note: Calendar Year 2022 CFR Reports are Due May 1, 2023 for OMH and SED providers. An extension is necessary to submit to file by June 1, 2023. All other providers, the CFR is Due June 1, 2023 with no extensions.
There are important revisions with the Health Care and Mental Hygiene Worker Bonus Program, Child Stabilization Initiatives and other funding reporting requirements.
Did you know that your preparation of the Consolidated Fiscal Report (“CFR”) could be more efficient and compliant if you prepare and plan the steps with a CFR Action List? This list can outline responsibilities and adherence to CFR manual appendices and help to manage deadlines.
Do You Know the CFR Requirements for Allocations Appendix J?
These guidelines are for allocating program costs, exclusive of agency administration, when a program serves more than one State Agency or when more than one program shares the same item of expense. Examples are given utilizing shared staff, capital and general operating costs as the major categories of expense. Exceptions are for certain OPWDD Programs (Appendix FF) and Covid Special Considerations.
How to Implement Effective Time Studies
Are you familiar with Appendix L of the CFR Manual? This appendix provides instructions on completion of time studies if an employee works in more than one program.
The key to effective time studies is to have a clear job description that summarizes the duties into PTC codes and programs. Then determine who must complete a study by preparing a grid by employee, PTC and program. Determine the time study weeks in accordance with Appendix L.
Establish an instruction sheet for employees to follow. Training of employees on the proper completion and the importance of the study is critical.
End of Year- Compliance Tune Up for 2023
Happy New Year! Time for a comprehensive review of your agency’s compliance status. Our Compliance Accountability Program can identify critical improvements on Day 1! A budget for every agency. Let us review for internal controls, fraud prevention and adherence to government regulations to protect your agency in an audit!
Key Points: Internal Controls, Compensation, Government Audit Readiness
Importance of Documentation
Did you know that documentation will be the key to a successful audit? Do you have a plan? Time record keeping and proper allocations are the most reviewed area in an audit and the most costly. You must have knowledge and a proper internal control system to ensure the following guidelines are implemented:
- CFR Manual Appendix R list the position title codes and qualifications.
- CFR Appendix J includes the allocations both allowable and recommended.
- CFR Appendix L Reviews the time study guidelines.
An audit will also focus on time sheets, time studies, job descriptions and authorization for pay rates. An agency must implement a continual compliance plan to ensure audit compliance.
Importance of Internal Control Manuals
Do you know when you are audited by a government agency they will ask to review your Internal Control Manual? Having an effective internal control manual will not only mitigate Fraud but will help efficiency in operations, reliability of financial reporting and compliance with applicable laws and regulations.
If you are an SED provider, it is stated in the RCM that you must have an adequate internal control system and perform risk assessments. Review your system today. To be effective your internal control system must be reviewed for updates, monitored and employees must be trained.
Executive Compensation Reviews
Compensation reviews and approvals from Board of Directors are required for governance requirements on the Form 990 for non-profit organizations. In addition, to prevail on audits, this information must be approved and documented in minutes. Let us assist you in preparing an Executive Compensation Study that fits your budget!
How to Create an Effective Job Description
Do you know you must have a job description to support the CFR PTC codes? The description must identify and spell out the responsibilities of a specific job and the programs they work. Job descriptions also include information about knowledge and skills needed, and relationships with other positions. The description must align and “fit” within the CFR Appendix R information: education & licenses.