Audit 12210

Title: Summary of Significant Accounting Policies Accounting Policies: The Schedule of Expenditures of Federal Awards (the Schedule) includes the activity of all federal programs administered by Nexus Recovery Center, Inc. (Nexus). Nexus’ organization is defined in Note 1 of Nexus’ combined financial statements.The Schedule presents total federal awards expended for each individual program in accordance with the Uniform Guidance.The expenditures for each of the federal financial assistance programs are presented on the accrual basis of accounting, which is defined in Note 2 of Nexus’ combined financial statements. De Minimis Rate Used: Y Rate Explanation: Nexus is subject to use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance. The Schedule of Expenditures of Federal Awards (the Schedule) includes the activity of all federal programs administered by Nexus Recovery Center, Inc. (Nexus). Nexus’ organization is defined in Note 1 of Nexus’ combined financial statements.The Schedule presents total federal awards expended for each individual program in accordance with the Uniform Guidance.The expenditures for each of the federal financial assistance programs are presented on the accrual basis of accounting, which is defined in Note 2 of Nexus’ combined financial statements.

Title: Relationship to Financial Reports Accounting Policies: The Schedule of Expenditures of Federal Awards (the Schedule) includes the activity of all federal programs administered by Nexus Recovery Center, Inc. (Nexus). Nexus’ organization is defined in Note 1 of Nexus’ combined financial statements.The Schedule presents total federal awards expended for each individual program in accordance with the Uniform Guidance.The expenditures for each of the federal financial assistance programs are presented on the accrual basis of accounting, which is defined in Note 2 of Nexus’ combined financial statements. De Minimis Rate Used: Y Rate Explanation: Nexus is subject to use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance. The amounts reported in the financial reports agree with the amounts reported in the accompanying Schedule which is prepared on the basis explained in Note 2 of Nexus’ combined financial statements.

Title: Insurance Coverage Accounting Policies: The Schedule of Expenditures of Federal Awards (the Schedule) includes the activity of all federal programs administered by Nexus Recovery Center, Inc. (Nexus). Nexus’ organization is defined in Note 1 of Nexus’ combined financial statements.The Schedule presents total federal awards expended for each individual program in accordance with the Uniform Guidance.The expenditures for each of the federal financial assistance programs are presented on the accrual basis of accounting, which is defined in Note 2 of Nexus’ combined financial statements. De Minimis Rate Used: Y Rate Explanation: Nexus is subject to use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance. Nexus carried insurance coverage during the grant period as explained in Note 13 of Nexus’ combined financial statements.

Title: Subrecipients Accounting Policies: The Schedule of Expenditures of Federal Awards (the Schedule) includes the activity of all federal programs administered by Nexus Recovery Center, Inc. (Nexus). Nexus’ organization is defined in Note 1 of Nexus’ combined financial statements.The Schedule presents total federal awards expended for each individual program in accordance with the Uniform Guidance.The expenditures for each of the federal financial assistance programs are presented on the accrual basis of accounting, which is defined in Note 2 of Nexus’ combined financial statements. De Minimis Rate Used: Y Rate Explanation: Nexus is subject to use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance. Nexus made no payments to subrecipients during the year.

Title: Indirect Cost Rate Accounting Policies: The Schedule of Expenditures of Federal Awards (the Schedule) includes the activity of all federal programs administered by Nexus Recovery Center, Inc. (Nexus). Nexus’ organization is defined in Note 1 of Nexus’ combined financial statements.The Schedule presents total federal awards expended for each individual program in accordance with the Uniform Guidance.The expenditures for each of the federal financial assistance programs are presented on the accrual basis of accounting, which is defined in Note 2 of Nexus’ combined financial statements. De Minimis Rate Used: Y Rate Explanation: Nexus is subject to use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance. Nexus is subject to use the 10% de minimus indirect cost rate as allowed under the Uniform Guidance.