Audit 28329

Accounting Policies: NOTE 1 BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards (the Schedule)summarizes the federal awards activity of South Central Family Health Center (SCFHC)under programs of the federal government for the year ended December 31, 2022. Theinformation in this Schedule is presented in accordance with the requirements of Title 2U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, CostPrinciples, and Audit Requirements for Federal Awards (Uniform Guidance). Because theSchedule presents only a selected portion of the operations of SCFHC, it is not intendedto, and does not present the financial position, changes in net assets, or cash flows ofSCFHC as of and for the year ended December 31, 2022.NOTE 2 BASIS OF ACCOUNTINGExpenditures on the Schedule are reported on the accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the UniformGuidance, wherein certain types of expenditures are not allowable or are limited as toreimbursement.SCFHC has elected not to use the 10-percent de minimis indirect cost rate allowed underthe Uniform Guidance.NOTE 3 RELATIONSHIP OF SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS TOTHE FINANCIAL STATEMENTSConsistent with managements policy, federal awards are recorded in the sameaccount categories as grants from other sources, which are together reported as grantsand contributions revenues in SCFHCs Financial Statements. As a result, the amountof total federal awards expended reported on the Schedule does not agree with totalgrants and contributions revenues reported on the Statement of Activities as presentedin SCFHC's Financial Statements as of and for the year ended December 31, 2022. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.