Title: BASIS OF ACCOUNTING
Accounting Policies: The accompanying Consolidated Supplemental Schedule of Expenditures of Federal Awards (the “Schedule” or “SEFA”) includes the federal grant activity of Trinity Health under programs of the federal government for the year ended June 30, 2023. The information in the Schedule is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”). The Schedule is presented using the accrual basis of accounting. Under this method, certain revenues are recognized when earned rather than when received and certain obligations are recognized when incurred rather than when they are paid. The accompanying SEFA includes the transactions of all federal awards of Trinity Health, except as described in Note 2. Federal awards received directly from federal agencies, as well as federal awards passed through other agencies, are included in the Schedule. Indirect Costs – The Corporation does not elect to use the de minimis indirect cost rate allowed under the Uniform Guidance. All rates used by the Corporation were approved by the awarding grant agencies.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying Consolidated Supplemental Schedule of Expenditures of Federal Awards (the “Schedule” or “SEFA”) includes the federal grant activity of Trinity Health under programs of the federal government for the year ended June 30, 2023. The information in the Schedule is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”). The Schedule is presented using the accrual basis of accounting. Under this method, certain revenues are recognized when earned rather than when received and certain obligations are recognized when incurred rather than when they are paid. The accompanying SEFA includes the transactions of all federal awards of Trinity Health, except as described in Note 2. Federal awards received directly from federal agencies, as well as federal awards passed through other agencies, are included in the Schedule. Indirect Costs – The Corporation does not elect to use the de minimis indirect cost rate allowed under the Uniform Guidance. All rates used by the Corporation were approved by the awarding grant agencies.
Title: EXPENDITURES AND OTHER REPORTING
Accounting Policies: The accompanying Consolidated Supplemental Schedule of Expenditures of Federal Awards (the “Schedule” or “SEFA”) includes the federal grant activity of Trinity Health under programs of the federal government for the year ended June 30, 2023. The information in the Schedule is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”). The Schedule is presented using the accrual basis of accounting. Under this method, certain revenues are recognized when earned rather than when received and certain obligations are recognized when incurred rather than when they are paid. The accompanying SEFA includes the transactions of all federal awards of Trinity Health, except as described in Note 2. Federal awards received directly from federal agencies, as well as federal awards passed through other agencies, are included in the Schedule. Indirect Costs – The Corporation does not elect to use the de minimis indirect cost rate allowed under the Uniform Guidance. All rates used by the Corporation were approved by the awarding grant agencies.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Corporation’s consolidated financial statements include, for the year ended June 30, 2023, the operations of Saint Joseph’s Tower, Inc. (“Tower”), a subsidiary of Trinity Continuing Care Services. Tower reported total expenditures of federal awards of $3,402,821 for the year ended June 30, 2023. Included in these total expenditures is $2,786,851, which represents the outstanding mortgage balances insured under the Federal Housing Administration’s (“FHA”) Section 202 Supportive Housing for the Elderly. In addition, Tower earned $615,970 of its revenues in the year ended June 30, 2023, from the U.S. Department of Housing and Urban Development under the terms of the Housing Assistance Payment contracts. The accompanying consolidated SEFA does not include the federal awards activity of Tower because the federal expenditures were included in a separate audit report in accordance with the Uniform Guidance. The Corporation’s consolidated financial statements include the operations of Saint Joseph’s Mercy Care Services, Inc.
(“SJMCS”) for the year ended June 30, 2023. SJMCS reported total expenditures of federal awards of $13,655,143 for the year ended June 30, 2023. The accompanying SEFA does not include the federal award activity of SJMCS because
the federal expenditures were included in a separate audit report in accordance with the Uniform Guidance. The Corporation’s consolidated financial statements include the operations of Trinity Health Of New England, Inc.
(“THOfNE”) for the year ended June 30, 2023. THOfNE recorded total expenditures of federal awards of $16,218,331 for the year ended June 30, 2023. Included in these total expenditures is $3,739,666, which represents expenditures of
Mercy Hospital, Inc. & Subsidiaries. THOfNE’s fiscal year end is September 30 and THOfNE’s consolidated financial statements and schedule of Federal Expenditures will be audited separately for the year ended September 30, 2023.
Accordingly, the federal expenditures were included in a separate audit report in accordance with the Uniform Guidance. As discussed in Note 3 of the consolidated financial statements, the Corporation underwent several acquisitions during
the fiscal year ended June 30, 2023. As a result of these acquisitions, the Corporation obtained approvals from funding agencies to include all federal expenditures prior to the date of the acquisitions in the accompanying SEFA. The amounts
of the pre-acquisition expenditures from July 1, 2022 to the acquisition date included in the SEFA are shown below.
Title: LOAN PROGRAMS
Accounting Policies: The accompanying Consolidated Supplemental Schedule of Expenditures of Federal Awards (the “Schedule” or “SEFA”) includes the federal grant activity of Trinity Health under programs of the federal government for the year ended June 30, 2023. The information in the Schedule is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”). The Schedule is presented using the accrual basis of accounting. Under this method, certain revenues are recognized when earned rather than when received and certain obligations are recognized when incurred rather than when they are paid. The accompanying SEFA includes the transactions of all federal awards of Trinity Health, except as described in Note 2. Federal awards received directly from federal agencies, as well as federal awards passed through other agencies, are included in the Schedule. Indirect Costs – The Corporation does not elect to use the de minimis indirect cost rate allowed under the Uniform Guidance. All rates used by the Corporation were approved by the awarding grant agencies.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The loan program listed below is administered directly by the Corporation. The balance relating to this program is
included in the Corporation’s consolidated financial statements.
Title: PROVIDER RELIEF FUNDS
Accounting Policies: The accompanying Consolidated Supplemental Schedule of Expenditures of Federal Awards (the “Schedule” or “SEFA”) includes the federal grant activity of Trinity Health under programs of the federal government for the year ended June 30, 2023. The information in the Schedule is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”). The Schedule is presented using the accrual basis of accounting. Under this method, certain revenues are recognized when earned rather than when received and certain obligations are recognized when incurred rather than when they are paid. The accompanying SEFA includes the transactions of all federal awards of Trinity Health, except as described in Note 2. Federal awards received directly from federal agencies, as well as federal awards passed through other agencies, are included in the Schedule. Indirect Costs – The Corporation does not elect to use the de minimis indirect cost rate allowed under the Uniform Guidance. All rates used by the Corporation were approved by the awarding grant agencies.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Provider Relief Funds included in the Schedule were received by the following entities (legal name and tax
identification number):
Title: COMMITMENTS AND CONTINGENCIES
Accounting Policies: The accompanying Consolidated Supplemental Schedule of Expenditures of Federal Awards (the “Schedule” or “SEFA”) includes the federal grant activity of Trinity Health under programs of the federal government for the year ended June 30, 2023. The information in the Schedule is presented in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”). The Schedule is presented using the accrual basis of accounting. Under this method, certain revenues are recognized when earned rather than when received and certain obligations are recognized when incurred rather than when they are paid. The accompanying SEFA includes the transactions of all federal awards of Trinity Health, except as described in Note 2. Federal awards received directly from federal agencies, as well as federal awards passed through other agencies, are included in the Schedule. Indirect Costs – The Corporation does not elect to use the de minimis indirect cost rate allowed under the Uniform Guidance. All rates used by the Corporation were approved by the awarding grant agencies.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Corporation participates in numerous state and federal grant programs, which are governed by various rules and
regulations of the grantor agencies. Costs charged to the respective grant programs are subject to audit and adjustments
by the grantor agencies. While the Corporation believes it has complied with all of the rules and regulations, to the
extent that the Corporation has not complied with rules and regulations governing the grants, refund of any money
received may be required and the collectability of any related receivable at June 30, 2023, may be impaired.