Audit 27957

Title: Basis of Presentation Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures arerecognized following the cost principles contained in the Uniform Guidance, wherein certain types of expendituresare not allowable or are limited as to reimbursement. Negative amounts shown on the schedule represent adjustmentsor credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the schedule) includes the federal award activity ofDistinctive Health Solutions, Inc. and Subsidiary under programs of the federal government for the year ended June30, 2022. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code ofFederal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements forFederal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the operations ofDistinctive Health Solutions, Inc. and Subsidiary, it is not intended to and does not present the financial position,changes in net assets, or cash flows of Distinctive Health Solutions, Inc. and Subsidiary.