Audit 297820

Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Potomac Comprehensive Diagnostic and Guidance Center, Inc. under programs of the federal government for the year ended June 30, 2023. 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 Requirement, 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, functional expenses or cash flows of the Organization. For the HHS Awards related to the Provider Relief Fund, HHS has indicated the amounts on the schedule be reported corresponding to reporting requirements of the HRSA PRF Reporting Portal. Payments from HHS for PRF are assigned to “Payment Received Periods’ (each, a Period) based upon the date each payment from the PRF was received. Each Period has a specific Period of Availability and timing of reporting requirements. Entities reported into the HRSA PRF Reporting Portal after each Period’s deadline to use the funds (i.e., after the end of the Period of Availability). The schedule includes $773,859 received from HHS between July 1, 2021, to December 31, 2021. In accordance with guidance from HHS, this amount is presented as Period 4. This amount was recognized as government grants in Potomac Comprehensive Diagnostic and Guidance Center, Inc.’s financial statements. Due to the PRF Reporting requirements, this amount is not the total PRF received and/or recognized as government grant revenue in the year presented in the schedule. Expenditures reported on the Schedule are reported on the accrual basis of accounting other than the exception noted in Note 1. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Organization has elected not to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance.