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B-164031(2) 1 (1974-05-30)

handle is hein.gao/gaobaaemm0001 and id is 1 raw text is: ,RELEASED Genrlq O cng of~I~~a specifrk~ oq 4 -7hI OZw_ COMPTROLLER GENERAL-OF THE UNITED STES lEI WASHINGTON, D.C. 20548 B-.164031(.2) MIAY~~ JL The Honorable Dan Kuykendall House of Representatives' Dear Mr. Kuykendall: In response to your request of October 5, 1973, ixe revjeed the management of the North Memphis Community Health Organiza- : ; wlich has been financed primarily by Depart- ment of-i-ealth, Education, and Welfare (HEW) family health center grants under section 314(e) of the Public Health Service Act (42 U. S. C. 246(e)). NMCHO is a family health center which is to pro- vide ambulatory health care services to a specific population in an area with scarce medical services. We reviewed NMCHO's grant agreements, financial management system, records of cash receipts for 1972 and 1973, records of cash disbursements for 2 months, personnel records, and minutes of board of directors meetings. We interviewed NMCHO officials and members of the board. of directors. We also reviewed HEW grant records, pro- cedures, and regulations and interviewed officials of HEW's Atlanta regional office. On March 4, 1974, we discussed the results of our review with your office. As requested, this report briefly describes our find- ings. BACKGROUND From September 1970 through June 1972, NMCHO was staffed by volunteers, financed by donations from local individuals and or- ganizations, and operated as a night clinic. Early in 1972 the board of directors applied to HEW for a family health center grant, which was approved in June 1972. After receiving the grant, NMCHO con- tirmed night services until early in 1973 when it began day services on a limited basis. In July 1973 NMCHO stopped all services to develop firm procedures and practices for functioning as a family health center. It resumed services on September 10, 1973, but stopped again on September 30 when the project director- -who was also the only physician- -resigned. At the completion of our fieldwork on February 26, 1974, NMCHO had not resumed services but the new project director stated that he hoped to hire a physician soon and resume services by the end of March 1974. (NMCHO had an acting director from October 1, 1973, to January 31, 1974. ) HEW officials said that NMCHO hired two physi- cians and resumed medical services in April. 2A 0019

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