Audit 23167

Title: Pass-Through to Subrecipients Accounting Policies: 1. BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards (the schedule) includes the federal grant activity of National Association of State Alcohol and Drug Abuse Directors, Inc. (the Association), under programs of the federal government for the year ended June 30, 2022. The information in 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 (Uniform Guidance). Because the schedule presents only a selected portion of the operations of the Association, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Association.2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in OMB Uniform Guidance, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: 3. INDIRECT COST RATEThe Association has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance. 4. PASS-THROUGH TO SUBRECIPIENTSThere were no awards passed through to subrecipients.