Audit 17526

Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of the EastAlabama Mental Health/Mental Retardation Board, Inc., under programs of the federal government for yearended September 30, 2022. The information in this schedule is presented in accordance with the requirementsof Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, CostPrinciples, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedulepresents only a selected portion of the operations of East Alabama Mental Health/Mental Retardation Board,Inc., it is not intended to and does not present the financial position, changes in net assets or cash flows ofEast Alabama Mental Health/Mental Retardation Board, Inc.Federal RevenueThe federal revenue included in the schedule of expenditures of federal awards does not reconcile to thestatement of revenues, expenses, and changes in net position since the Board receives Medicaid revenuesfrom the federal government on a fee for service basis.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the schedule were reported on the accrual basis of accounting. Such expendituresare recognized following the cost principles contained in the Uniform Guidance, wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the schedulerepresent adjustment or credits made in the normal course of business to amounts reported as expenditures inprior years.NOTE 3 De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.