Common use of Financial Audit Reports Clause in Contracts

Financial Audit Reports. Contractor shall ensure that an annual audit is performed according to Welfare and Institutions Code, Section 14459. Certified Public Accountant’s audited Financial Statements shall be submitted to DHCS no later than 120 calendar days after the close of Contractor’s fiscal year. Combined Financial Statements shall be prepared to show the financial position of the overall related health care delivery system when delivery of care or other services is dependent upon Affiliates. Financial Statements shall be presented in a form that clearly shows the financial position of Contractor separately from the combined totals. Inter- entity transactions and profits shall be eliminated if combined statements are prepared. If an independent accountant decides that preparation of combined statements is inappropriate, Contractor shall have separate certified Financial Statements prepared for each entity.

Financial Audit Reports. Contractor shall ensure that an annual audit is performed according to Welfare and Institutions Code, Code Section 14459. Certified Public Accountant’s audited Financial Statements shall be submitted to DHCS no later than 120 calendar days after the close of Contractor’s fiscal year. Combined Financial Statements shall be prepared to show the financial position of the overall related health care delivery system when delivery of care or other services is dependent upon Affiliates. Financial Statements shall be presented in a form that clearly shows the financial position of Contractor separately from the combined totals. Inter- entity transactions and profits shall be eliminated if combined statements are prepared. If an independent accountant decides that preparation of combined statements is inappropriate, Contractor shall have separate certified Financial Statements prepared for each entity.