Audit 2829

Title: Basis of Presentation Accounting Policies: 1) 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. 2) Hindman Settlement School did not elect to use the 10% de minimus indirect cost rate. De Minimis Rate Used: N Rate Explanation: Hindman Settlement School did not elect to use the 10% de minimus indirect cost rate. The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Hindman Settlement School under the programs of the federal government for the year ended August 31, 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 operations of the Hindman Settlement School, it is not intended to and does not present the financial position, changes in net position or cash flows of the School.

Title: Subrecipients Accounting Policies: 1) 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. 2) Hindman Settlement School did not elect to use the 10% de minimus indirect cost rate. De Minimis Rate Used: N Rate Explanation: Hindman Settlement School did not elect to use the 10% de minimus indirect cost rate. The School did not pass through any federal awards to a subrecipient in the current fiscal year.