Title: Note 1.Basis of Presentation
Accounting Policies: Note 2.Summary of Significant Accounting PoliciesExpenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: Note 3.Indirect Cost RateThe Clinic has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards includes the federal grant activity of Douglas A. Thom Clinic, Inc. (the Clinic) under programs of the federal government for the year ended June 30, 2022. The information on this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the schedule presents a selected portion of the operations of the Clinic, it is not intended to and does not present the financial position, changes in net assets or cash flows of the Clinic.
Title: Note 4.Reconciliation to U.S. GAAP Financial Statements
Accounting Policies: Note 2.Summary of Significant Accounting PoliciesExpenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: Note 3.Indirect Cost RateThe Clinic has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Amounts reported in the accompanying schedules differ from revenue recognized within the financial statements prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP) due to a timing difference between reporting requirements for federal awards issued by the United States Department of Health and Human Services (HHS) and revenue recognition requirements under U.S. GAAP. The following is a reconciliation of expenditures related to Assistance Listing Number 93.498, COVID-19 Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) reported in the accompanying schedules to the revenue recognized per the U.S. GAAP financial statements for the year ended June 30, 2022. Expenditures reported in the Schedule of Expenditures of Federal Awards (SEFA) for Provider Relief Funds $2,171,012 Reconciling items:Provider Relief Funds reported in fiscal year 2021 U.S. GAAP financial statements per revenue recognition criteria met (1,917,550) Provider Relief Funds excluded from the SEFA per HHS guidance 213,272 Federal assistance recognized per U.S. GAAP financial statements $466,734
Title: Note 5.Provider Relief Fund
Accounting Policies: Note 2.Summary of Significant Accounting PoliciesExpenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursements. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: Note 3.Indirect Cost RateThe Clinic has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The amount presented on the SEFA for the PRF is for the year ended June 30, 2022. The amount presented reconciles to the PRF information reported to the Health Resources and Services Administration (HRSA) as follows: Type of DistributionTotal Other Provider Relief Fund Expenses ReportedTotal Lost Revenues ReportedTotalGeneral and targeted $1,917,550 $253,462 $2,171,012 Health and Human Services (HHS) has indicated the PRF on the SEFA be reported corresponding to reporting requirements of the HRSA PRF Reporting Portal (the Portal). Payments from HHS for PRF are assigned to Payment Received Periods (each, a Period) based upon the date each payment from the PRF was received. During the year ended June 30, 2021, $1,917,550 was recognized as revenue in the Clinics financial statements that did not meet the requirements to be included in the SEFA. Each Period has a specified Period of Availability and timing of reporting requirements. Entities report into the Portal after each Periods deadline to use the funds (i.e., after the end of the Period of Availability). The Schedule includes $1,150,326 of PRF received from HHS between July 1, 2020 through December 31, 2020. In accordance with guidance from HHS, these amounts are presented as Period 2. The schedule also includes $1,020,686 of PRF received from HHS between January 1, 2021 through June 30, 2021. In accordance with the guidance from HHS, these amounts are presented as Period 3. See Note 4 for the reconciliation of funds received to revenue recognized in the Clinics financial statements.