Notes to SEFA
Accounting Policies: Organization Phoenix Childrens Hospital and Affiliates (the Company) is Arizonas only licensed, freestanding, nonprofit childrens hospital providing care in more than 75 pediatric subspecialties to the states pediatric patients. Seven Centers of Excellence at the Company offer interdisciplinary care, including the Center for Cancer and Blood Disorders and Infusion Center, the Phoenix Childrens Heart Center, the Barrow Neurological Institute at Phoenix Childrens Hospital, the Center for Pediatric Orthopedics, Level I Pediatric Trauma Center, Level IV Newborn Intensive Care Unit, and Phoenix Childrens Hospital Surgical Programs. The Company is one of the countrys largest and busiest childrens hospitals, with 457 licensed beds and a medical staff of over 1,100 practitioners. Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal financial assistance received by the Company in the form of grants, cooperative agreements, and direct appropriations, and is presented using the accrual basis of accounting. The Company receives awards both directly from federal agencies and as pass-throughs from other state and local organizations. The information on this 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 (the Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the consolidated financial statements of the Company. Provider Relief Fund The Schedule includes grant activity related to the Department of Health and Human Services Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution Assistance Listing Number 93.498. As required based on guidance in the 2022 OMB Compliance Supplement, the Schedule includes all Period 3 and Period 4 funds received between January 1, 2021 and December 31, 2021, and expended by December 31, 2022, as reported to the Health Resources and Services Administration via the Provider Relief Fund Reporting Portal.
De Minimis Rate Used: N
Rate Explanation: Indirect Costs The Uniform Guidance provides for a 10% de minimis indirect cost rate election; however, the Company uses a negotiated indirect cost rate.