Audit 18255

Title: 3. CATALOG OF FEDERAL DOMESTIC ASSISTANCE (CFDA) NUMBERS Accounting Policies: 1: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of Minnesota (the University) and is prepared on the cash basis of accounting. The information presented in the Schedule is presented in accordance with the requirements of the U.S. Office of Management and Budget Circular Part 200Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of the Universitys consolidated financial statements. The University passes through certain funds to subgrantee organizations. Expenditures incurred by the subgrantees and reimbursed by the University are presented in the Schedule but not in the consolidated financial statements of the University. The University is also the subrecipient of federal funds, which have been subject to testing and are reported as pass-through expenditures in the Schedule. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. 2: The University utilized facilities and administrative rates that have been negotiated with and approved by its cognizant agency, the U.S. Department of Health and Human Services, and are effective for the period July 1, 2021 through June 30, 2023. The rates agreement effective May 13, 2022 stipulates that the F&A rates remain unchanged from FY2021 to FY2023. Therefore, as of FY2021, the Organized Research rate is 55.0% and the Hormel Institute rate is 59.0%. Some of the programs, grants and/or other awards included in the Schedule are contracts, which do not report CFDA numbers. The expenditure amounts related to these programs, grants, and/or other awards have been reported, generally, at an agency level.

Title: 4. FEDERAL PERKINS LOAN PROGRAM Accounting Policies: 1: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of Minnesota (the University) and is prepared on the cash basis of accounting. The information presented in the Schedule is presented in accordance with the requirements of the U.S. Office of Management and Budget Circular Part 200Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of the Universitys consolidated financial statements. The University passes through certain funds to subgrantee organizations. Expenditures incurred by the subgrantees and reimbursed by the University are presented in the Schedule but not in the consolidated financial statements of the University. The University is also the subrecipient of federal funds, which have been subject to testing and are reported as pass-through expenditures in the Schedule. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. 2: The University utilized facilities and administrative rates that have been negotiated with and approved by its cognizant agency, the U.S. Department of Health and Human Services, and are effective for the period July 1, 2021 through June 30, 2023. The rates agreement effective May 13, 2022 stipulates that the F&A rates remain unchanged from FY2021 to FY2023. Therefore, as of FY2021, the Organized Research rate is 55.0% and the Hormel Institute rate is 59.0%. Amounts reported in the Schedule for the Federal Perkins Loan Program represent administrative and collection costs. No new loans have been disbursed after June 30, 2018 under the Federal Perkins Loan Program. As of June 30, 2022, outstanding loans under the Federal Perkins Loan Program are $19,875,612.

Title: 5. NEGATIVE EXPENDITURES Accounting Policies: 1: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of Minnesota (the University) and is prepared on the cash basis of accounting. The information presented in the Schedule is presented in accordance with the requirements of the U.S. Office of Management and Budget Circular Part 200Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of the Universitys consolidated financial statements. The University passes through certain funds to subgrantee organizations. Expenditures incurred by the subgrantees and reimbursed by the University are presented in the Schedule but not in the consolidated financial statements of the University. The University is also the subrecipient of federal funds, which have been subject to testing and are reported as pass-through expenditures in the Schedule. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. 2: The University utilized facilities and administrative rates that have been negotiated with and approved by its cognizant agency, the U.S. Department of Health and Human Services, and are effective for the period July 1, 2021 through June 30, 2023. The rates agreement effective May 13, 2022 stipulates that the F&A rates remain unchanged from FY2021 to FY2023. Therefore, as of FY2021, the Organized Research rate is 55.0% and the Hormel Institute rate is 59.0%. Within the Schedule there are negative amounts which represent a credit or adjustment, net of the expenditures incurred.

Title: 6. PROVIDER RELIEF FUND Accounting Policies: 1: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of Minnesota (the University) and is prepared on the cash basis of accounting. The information presented in the Schedule is presented in accordance with the requirements of the U.S. Office of Management and Budget Circular Part 200Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of the Universitys consolidated financial statements. The University passes through certain funds to subgrantee organizations. Expenditures incurred by the subgrantees and reimbursed by the University are presented in the Schedule but not in the consolidated financial statements of the University. The University is also the subrecipient of federal funds, which have been subject to testing and are reported as pass-through expenditures in the Schedule. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. 2: The University utilized facilities and administrative rates that have been negotiated with and approved by its cognizant agency, the U.S. Department of Health and Human Services, and are effective for the period July 1, 2021 through June 30, 2023. The rates agreement effective May 13, 2022 stipulates that the F&A rates remain unchanged from FY2021 to FY2023. Therefore, as of FY2021, the Organized Research rate is 55.0% and the Hormel Institute rate is 59.0%. The Schedule includes payments from the Department of Health and Human Services for the Provider Relief Fund of the following entity:Legal Entity Name: Regents of the University of Minnesota Tax Identification Number: 41-6007513

Title: 7. RECONCILIATION OF FEDERAL AWARDS TO THE CONSOLIDATED FINANCIAL STATEMENT Accounting Policies: 1: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of Minnesota (the University) and is prepared on the cash basis of accounting. The information presented in the Schedule is presented in accordance with the requirements of the U.S. Office of Management and Budget Circular Part 200Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of the Universitys consolidated financial statements. The University passes through certain funds to subgrantee organizations. Expenditures incurred by the subgrantees and reimbursed by the University are presented in the Schedule but not in the consolidated financial statements of the University. The University is also the subrecipient of federal funds, which have been subject to testing and are reported as pass-through expenditures in the Schedule. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. 2: The University utilized facilities and administrative rates that have been negotiated with and approved by its cognizant agency, the U.S. Department of Health and Human Services, and are effective for the period July 1, 2021 through June 30, 2023. The rates agreement effective May 13, 2022 stipulates that the F&A rates remain unchanged from FY2021 to FY2023. Therefore, as of FY2021, the Organized Research rate is 55.0% and the Hormel Institute rate is 59.0%. See the SEFA Notes for chart/table

Title: Loan/loan guarantee outstanding balances Accounting Policies: 1: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the University of Minnesota (the University) and is prepared on the cash basis of accounting. The information presented in the Schedule is presented in accordance with the requirements of the U.S. Office of Management and Budget Circular Part 200Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of the Universitys consolidated financial statements. The University passes through certain funds to subgrantee organizations. Expenditures incurred by the subgrantees and reimbursed by the University are presented in the Schedule but not in the consolidated financial statements of the University. The University is also the subrecipient of federal funds, which have been subject to testing and are reported as pass-through expenditures in the Schedule. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. 2: The University utilized facilities and administrative rates that have been negotiated with and approved by its cognizant agency, the U.S. Department of Health and Human Services, and are effective for the period July 1, 2021 through June 30, 2023. The rates agreement effective May 13, 2022 stipulates that the F&A rates remain unchanged from FY2021 to FY2023. Therefore, as of FY2021, the Organized Research rate is 55.0% and the Hormel Institute rate is 59.0%. HEALTH PROFESSIONS STUDENT LOANS, INCLUDING PRIMARY CARE LOANS/LOANS FOR DISADVANTAGED STUDENTS (93.342) - Balances outstanding at the end of the audit period were $22,249,049.