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 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 auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (Schedule) includes the federal award activity of Valley Special Needs Program, Inc., d/b/a Valley Community Services (Organization). 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 Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents
only a select 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: Department of Human Services Disclosure
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following 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 auditee did not use the de minimis cost rate.
Federal expenditures for the Pennsylvania Department of Human Services (DHS) in this schedule were calculated using revenue earned from the DHS for the fiscal year and applying the appropriate federal percentages per Appendix 6 of the DHS Single Audit Supplement. We believe this calculation represents federal expenditures as the Organization's medical assistance revenue represents reimbursements for approved expenditures.
Title: Reconciliation to Federal Award Income Received
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following 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 auditee did not use the de minimis cost rate.
The following presents a reconciliation of federal grant expenditures to the sub‐receipt federal awards received per the audit confirmation reply from the Commonwealth of Pennsylvania for Medical Assistance payments, ALN 93.778: Please see table on page 24 of the single audit.