Notes to SEFA
Title: Provider Relief Fund
Accounting Policies: Expenditures reported on the Schedule are recognized under 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: Y
Rate Explanation: The auditee used the de minimis cost rate
Under terms and conditions of the Provider Relief Fund (PRF) and American Rescue Plan (ARP) rurual Distribution under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, ECU Health is required to report COVID-19 related expenses and lost revenue to the U.S. Department of Health and Human Services (HHS). Guidance from HHS has required the reporting of the COVID-19 related expenses and lost revenue in certain reporting periods based on when the funds were received and used by ECU Health in accordance with the PRF terms and conditions. ECU Health received PRF of approximately $0.4 million in the year ended September 30, 2023, and recognized $0.4 million as other nonoperating revenue in its September 30, 2023 statement of revenues, expenses and changes in net position, as the terms and conditions of the PRF grant were satisfied during that year. Under the HHS requirements, the 2023 Schedule includes PRF of approximately $28.8 million, of which $28.4 million was recognized as revenue in a prior period.