Title: NOTE A – BASIS OF PRESENTATION
Accounting Policies: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES; Expenditures reported in the Schedule 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 expenses are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: No indirect cost rate was applied to the federal grant, and therefore, CLF did not seek reimbursement for any indirect costs from the federal government agency.
The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal grant activity of Chesapeake Lighthouse Foundation, Inc. under programs of the federal government for the year ended June 30, 2023. 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 (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Chesapeake Lighthouse Foundation, Inc., it is not intended and does not present the financial position, changes in net assets, or cash flows of Chesapeake Lighthouse Foundation, Inc.
Title: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES; Expenditures reported in the Schedule 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 expenses are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: No indirect cost rate was applied to the federal grant, and therefore, CLF did not seek reimbursement for any indirect costs from the federal government agency.
Expenditures reported in the Schedule 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 expenses are not allowable or are limited as to reimbursement.
Title: NOTE C – INDIRECT COST RATE
Accounting Policies: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES; Expenditures reported in the Schedule 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 expenses are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: No indirect cost rate was applied to the federal grant, and therefore, CLF did not seek reimbursement for any indirect costs from the federal government agency.
Chesapeake Lighthouse Foundation, Inc. elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: NOTE D – RECONCILIATION TO THE FINANCIAL STATEMENTS
Accounting Policies: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES; Expenditures reported in the Schedule 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 expenses are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: No indirect cost rate was applied to the federal grant, and therefore, CLF did not seek reimbursement for any indirect costs from the federal government agency.
During the year, CMIT North and CMIT South received ESSER III government grants, which are reimbursed based on the quarterly grant reimbursement request. CMIT North and CMIT South are required to submit quarterly reimbursement requests within 15 days of each quarter end. Federal expenditures are recognized when expended, whereas federal entitlements and grants are recognized when the grants are approved by and received from the grantor agency. Therefore, total expenditures incurred may not equal to the actual funds received. For the year ended June 30, 2023, CMIT North and CMIT South, expended a total of $4,946,746 in federal grant awards; however, a total of $4,941,179 was recognized as revenue. The variance amount of $5,567 is due to timing of the approved expenditures by the grantor. For the year ended June 30, 2023, a total of $5,290,898 was recognized as federal entitlements and grants revenue on the statements of activities, which includes $349,719 that was not subject to the Uniform Guidance audit requirements. These funds were awarded to and utilized by CSP, LLC as part of its educational program services.