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12VAC5-381-190 — Financial controls

VirginiaregulationVirginia Department of Health, Office of Licensure and Certification· effective 2006-01-01

What this rule requires your agency to do

  • 1Document financial resources to operate based on a working budget showing projected revenue and expenses (subsection B).(12VAC5-381-190 — Financial controls)
  • 2Have all financial records audited at least triennially by an independent CPA, or as otherwise provided by law (subsection D).(12VAC5-381-190 — Financial controls)
  • 3Keep all financial records according to generally accepted accounting principles (GAAP) (subsection C).(12VAC5-381-190 — Financial controls)
  • 4Maintain documented financial controls to minimize the risk of theft or embezzlement (subsection E).(12VAC5-381-190 — Financial controls)
  • 5An initial-license applicant shall include proof of initial reserve operating funds sufficient to operate for the three-month period after licensure (cash, cash equivalents, borrowed funds, or an immediately available line of credit), supported by a balance sheet, bank officer letter, or letter of credit (subsection A).(12VAC5-381-190 — Financial controls)
  • 6An initial-license applicant shall include a detailed operating budget showing projected operating expenses for the three-month period after licensure (subsection A).(12VAC5-381-190 — Financial controls)

Applies to: personal care

Requires initial-license applicants to demonstrate a three-month operating budget and reserve operating funds, and requires operating organizations to keep GAAP-compliant financial records, obtain a triennial independent CPA audit, and maintain financial controls against theft or embezzlement. Framework topic: Governance / Financial Controls & Fiscal Solvency.

Regulatory information, not legal advice — always confirm against the cited official source. Verification reduces error; it does not certify compliance.