Audit 19564

Accounting Policies: (1)GeneralThe accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs of Lucha Contra el Sida, Inc. (LCS). All federal awards received directly from federal agencies, as well as federal awards passed through other governmental agencies to LCS are included in the accompanying schedule.(2)Basis of AccountingThe accompanying schedule of expenditures of federal awards includes the federal grant activity of LCS and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the audit requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Requirements for Federal Awards (Uniform Guidance), Audits of States, Local Governments, and Non-Profit Organizations.(3)Relationship to Federal Financial ReportsAmounts reported in the accompanying Schedule of Expenditures of Federal Awards agree with the amounts reported in the related federal financial reports. However, certain federal financial reports are filed based on cash expenditures. As such, certain timing differences may exist in the recognition of revenue and expenditures between the schedule of Expenditures of Federal Awards and the federal financial reports.(4)Federal CFDA NumberThe Catalog of Federal Domestic Assistance (CFDA) number is a program identification number. The first two digits identify the federal department or agency that administers the program and the last three numbers are assigned by numerical sequence accordingly with the program name within the corresponding agency.The CFDA numbers included in this report were determined based on the program name, review of grant contract information, and the Office of Management and Budgets Catalog of Federal Domestic Assistance. 24 LUCHA CONTRA EL SIDA, INC.NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDSDECEMBER 31, 2022(5)Pass-Through Grantors NumberState or local government and private entities includes within their federal proposal award the related amount of federal awards granted to the Organization, also known as pass-through awards. The Organization should consider these federal funds as though they were received directly from the federal government. Uniform Guidance requires that the schedule should include the name and the identifying number assigned for federal awards received as a sub recipient. Numbers identified as NA are not applicable or not available.(6)Relationship to the Statement of Activities and Change in Net AssetsThe reconciliation of expenses in the Statement of Activities and Changes in Net Assets to the total expenditures of Federal Awards in the Schedule of Expenditures of Federal Awards is as follows:Expenses per Statement of Activities and Changes in Net Assets$ 4,886,425Less: Non-Federal Expenditures and Depreciation in Federal Programs1,021,931Plus: Federal Expended Capitalized6,982,478 Total Expenditures of Federal Awards in the Schedule ofExpenditures of Federal Awards$ 10,846,972(7)Matching CostsMatching costs, such as the nonfederal share of certain program costs, are not included in the accompanying Schedule.(8)Indirect CostsThe federal expenditures reported in the accompanying schedule did not include any indirect costs as defined by the Uniform Guidance.(9)Pass-Trough De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.