Gov't audit insider: Review of costs for mental health services
Healthcare Auditing Weekly, June 15, 2004
The OIG recently stepped in to investigate whether incurred costs at James Bell Associates, Inc. (JBA), which provides substance abuse and mental health services in Virginia, were viable for reimbursement, an audit report the agency released June 9 says.
To determine whether costs were allowable, the OIG auditors performed the following tasks:
- Interviewed JBA officials
- Reviewed applicable records
- Carefully examined costs claimed from September 2000 through August 2001
The auditors referenced the following documents to assess the validity of costs:
- CFR, Title 48 , Part 31 Contract Cost Principles and Procedures
- The Public Health Service Grants Policy Statement Section 8- Postaward Administration, "Appendix 6 - Grants To For-Profit Organizations
- SAMHSA' s Notice of Grant Award for the budget period September 1, 2000 to August 31 2001
The audit also looked at methods used to compute fringe costs and JBA's internal controls related to their own auditing activities. For this activity, the auditors examined an audit report JBA used. The report came from an external firm JBA paid to collect and organize the data.
Click here to read the audit report of JBA's incurred costs.
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