Title: Basis of Presentation
Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards 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. Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: Major Health Partners 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 Major Health Partners (MHP) under programs of the federal government for the year ended
December 31, 2021 and is presented on the accrual basis of accounting. The information in the 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 (the Uniform
Guidance). Because the Schedule presents only a selected portion of the operations of MHP, it is not intended
to and does not present the financial position, changes in net assets, or cash flows of MHP.
Title: Pass-Through Funds to Sub-Recipients
Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards 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. Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
During 2021, MHP did not pass-through funds to sub-recipients.
Title: Provider Relief Funds
Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards 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. Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
Under terms and conditions of the Provider Relief Funds (PRF) under the Coronavirus Aids, Relief, and
Economic Security (CARES) Act, MHP 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. HHS requires PRF amounts received prior to December 31, 2020, and expended through
December 31, 2021, to be reported on the 2021 Schedule rather than the 2020 Schedule. As such, MHP
received approximately $50,671,000 in PRF prior to December 31, 2020. During 2021 and 2020, MHP
recognized approximately $31,277,000 and $30,201,000 as revenue in its 2021 and 2020 statements of
revenues, expenses and changes in net position, respectively, as the terms and conditions of the PRF grant
were satisfied. PRF grants of approximately $10,806,000 received and also recognized as revenue in 2021 will
be reported on the 2022 Schedule as required by HHS. The following represents PRF expenditures by the
Hospital and Major Multispecialty Associates, LLC (MMSA) under each Employer Identification Number (EIN).
Title: Fair Market Value of Donated Personal Protective Equipment (Unaudited)
Accounting Policies: Expenditures reported on the schedule of expenditures of federal awards 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. Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: Major Health Partners has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
During 2021, MHP did not receive donated personal protective equipment from federal sources.