Notes to SEFA
Title: BASIS OF PRESENTATION
Accounting Policies: 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: To Organization has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of LifeSkills, Inc. and Affiliates (the “Organization”) under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with 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 Organization it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
Title: SECTION 202 DIRECT LOAN AND NONCASH ASSISTANCE
Accounting Policies: 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: To Organization has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
To finance the construction of a group home in Russellville, Kentucky, the Organization obtained a direct loan from the U.S. Department of Housing and Urban Development (“HUD”) under Section 202. The principal outstanding at June 30, 2023 consisted of $135,256, under the Assistance Listing Number (ALN) 14.157, Supportive Housing for the Elderly. The total federal expenditures amount relating to ALN 14.157 includes the principal amount outstanding under this loan as of June 30, 2023.
Title: HOME INVESTMENT PARTNERSHIPS PROGRAM LOANS
Accounting Policies: 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: To Organization has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
To finance the construction of various facilities, the Organization obtained three direct loans from the Kentucky Housing Corporation, which were funded through HUD. Two of the three loans are reported as long-term debt in the amounts of $17,493 and $29,209 on the June 30, 2023 consolidated balance sheet while the other is reported as net assets with donor restriction in the amount of $202,900 on the June 30, 2023 consolidated balance sheet. The total federal expenditures amount relating to ALN 14.239, HOME Investment Partnerships Program, includes principal amounts outstanding under these loans as of June 30, 2022.
Title: PROVIDER RELIEF FUNDS
Accounting Policies: 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: To Organization has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Expenditures reported on the Schedule for the Provider Relief Fund (PRF) under ALN 93.498 are based on the Organization’s June 30, 2023 report to the PRF Reporting Portal.