Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: The Corporation has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Southern Illinois Healthcare Enterprises, Inc. and its subsidiaries (Corporation) under programs of the federal government for the year ended March 31, 2022. The information in the 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 (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Corporation.
Title: Non-Cash Assistance, Insurance, Loans and Loan Guarantees Outstanding
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: The Corporation has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The Corporation did not receive any non-cash assistance during the year ended March 31, 2022. The Corporation did not have any federal insurance in effect during the year ended March 31, 2022, nor were there any loans or loan guarantees outstanding at year-end.
Title: Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: The Corporation has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
For the federal awards related to the Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) (ALN 93.498) program, the U.S. Department of Health and Human Services (HHS) has indicated the amounts on the Schedule be reported corresponding to reporting requirements of the HRSA PRF Reporting Portal. Payments from HHS for PRF are assigned to "Payment Received Periods" (each, a Period) based upon the date each payment from the PFR was received. Each Period has a specified Period of Availability and timing of reporting requirements. Entities report into HRSA PRF Reporting Portal after each Period's deadline to use the funds (i.e., after the end of the Period of Availability). The accompanying Schedule includes $24,855,488 of Period 1 distributions received between April 10, 2020 through June 30, 2020 and $14.663,919 of Period 2 distributions received between July 1, 2020 through December 31, 2020. The Period 1 and Period 2 distributions have been reported by the Corporation in the HRSA PFR Reporting Portal as used during the corresponding Period of Availability in accordance with guidance from HHS. These amounts were recognized are other operating revenue in the Corporation's financial statements for the year ended March 31, 2021. Due to the PRF reporting requirements, these amounts are not the total PRF received and recognized as other operating revenue in the Corporation's financial statements were approximately $10,495,000 and $44,658,000 during the years ended March 31, 2022 and 2021, respectively.