Audit 289839

Title: FISCAL YEAR JUNE 30, 2022 AND 2021 ADJUSTMENTS Accounting Policies: The accompanying schedule of expenditures of federal and city awards (the "schedule") includes all federal and city grant activity of The Enterprise Center, The Enterprise Center Community Development Corporation, and The Enterprise Center Capital Corporation (collectively, the "Organization"), and is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations ("CFR") Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirement for Federal Awards (the "Uniform Guidance") and the City of Philadelphia Subrecipient Audit Guide. Because the schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not present the consolidated financial position, changes in net assets, or cash flows of the Organization. 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: N Rate Explanation: The Organization either did not have indirect costs rates noted in their agreements or used specified indirect cost rates as specified in their agreements. As a result of a desk review performed by the City of Philadelphia Division of Housing and Community Development (“DHCD”), variances were noted related to certain funding amounts recorded at DHCD and at the Organization. These variances are not considered to be material and certain adjustments were made to the schedule for the year ended June 30, 2023 to account for these variances.