Corporate Compliance

Ohio QIO costs mostly reasonable

Healthcare Auditing Weekly, March 18, 2008

Of the $7.7 in costs submitted by the Ohio Quality Improvement Organization (QIO) between August 1, 2002 and July 31, 2005, $7.6 million appeared to be reasonable, according to an OIG audit.

The audit looked at six specified fiscal integrity areas. Of the $100,000 in costs that were not reasonable, $11,874 was for unallowable costs and $78,267 was for costs that might not comply with federal regulations.

The OIG recommended the QIO:

  • Refund $1,622 identified as unallowable direct conference-related costs
  • Reduce the indirect cost pool by $10,252 identified as unallowable indirect costs
  • Work with the CMS contracting officer to determine what portion of the $78,267 incurred for unsupported subcontractor labor and conference costs should be excluded from federal reimbursement
  • Maintain all government-owned equipment in accordance with Federal Acquisition Regulation requirements

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