Audit 12137

Title: DONATED PERSONAL PROTECTIVE EQUIPMENT Accounting Policies: Basis of Presentation The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Klingberg Family Centers, Inc., and Affiliates, under programs of the federal government for the year ended June 30, 2023. The information in the Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Klingberg Family Centers, Inc., and Affiliates, it is not intended to and does not present the financial position, changes in net assets or cash flows of Klingberg Family Centers, Inc., and Affiliates. Basis of Accounting Expenditures reported on the Schedule are reported on the accrual basis of accounting. For cost-reimbursement awards, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. For performance-based awards, expenditures reported represent amounts earned. De Minimis Rate Used: N Rate Explanation: Klingberg Family Centers, Inc., and Affiliates, has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance. Klingberg Family Centers, Inc., and Affiliates has not received any donated federally funded personal protective equipment during the year ended June 30, 2023. This is unaudited.