Notes to SEFA
Title: Note B - Relationship to the Financial Statements
Accounting Policies: The accompanying Schedule of Expenditures of Federal, State and City Awards includes the federal and state grant activity of St. Francis-St. Joseph Homes for Children (the Organization) and is presented on an accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Guidance and the City of Philadelphia Subrecipient Audit Guide. The expenditures in this schedule may differ from certain financial reports submitted to funding agencies due to those reports being submitted on a cash or modified basis of accounting.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Federal, State and City awards expenditures are reported on the statement of activities and changes in net assets. In certain programs, the expenditures reported in the financial statements may differ from the expenditures reported in the Schedule of Expenditures of Federal, State and City Awards due to program expenditures exceeding grant or contract budget limitations, which are not included as federal and state awards. Because the schedule presents only a selected portion of the activities of the Organization, it is not intended to, and does not, present either the financial position, changes in net assets or cash flows of the Organization.