Title: Disaster Grants Public Assistance (Presidentially Declared Disasters)
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal grant activity of Garnet Health (the System) for the year ended December 31, 2022 and is presented on the accrual basis of accounting. The information on the Schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). In accordance with applicable requirements, certain programs may be presented in a fiscal period based on the program-specific guidance (see Notes 2 and 3). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the consolidated financial statements of the System. For purposes of the Schedule, federal awards include any assistance provided by a federal agency directly or indirectly in the form of grants, contracts, cooperative agreements, loan and loan guarantees, or other non-cash assistance. Direct and indirect costs are charged to awards in accordance with cost principles contained in the United States Department of Health and Human Services Cost Principles for Hospitals at 45 CFR Part 75 Appendix IX for Uniform Guidance awards. Under these cost principles, certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: The Uniform Guidance provides for a 10% de minimis indirect cost rate election; the System made this election.
The System has applied for reimbursement for qualifying expenses under the Federal Emergency Management Agency (FEMA) COVID-19 Disaster Relief Fund Public Assistance (Presidentially Declared Disasters) program (Federal Assistance Listing No. 97.036). In 2022, the System received approval for reimbursement of qualifying expenses totaling approximately $17.8 million from FEMA. Certain costs were incurred in prior periods and approved by FEMA in 2022. This amount has been included in the accompanying Schedule for the year ended December 31, 2022, in accordance with the guidance specific to Federal Assistance Listing No. 97.036.The System will continue to finalize the applications previously submitted to FEMA and intends to submit additional applications for funding for costs incurred; however, the ultimate amount that the System may be reimbursed is uncertain.
Title: COVID-19 Provider Relief Fund and American Rescue Plan Distribution
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal grant activity of Garnet Health (the System) for the year ended December 31, 2022 and is presented on the accrual basis of accounting. The information on the Schedule is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). In accordance with applicable requirements, certain programs may be presented in a fiscal period based on the program-specific guidance (see Notes 2 and 3). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the consolidated financial statements of the System. For purposes of the Schedule, federal awards include any assistance provided by a federal agency directly or indirectly in the form of grants, contracts, cooperative agreements, loan and loan guarantees, or other non-cash assistance. Direct and indirect costs are charged to awards in accordance with cost principles contained in the United States Department of Health and Human Services Cost Principles for Hospitals at 45 CFR Part 75 Appendix IX for Uniform Guidance awards. Under these cost principles, certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: The Uniform Guidance provides for a 10% de minimis indirect cost rate election; the System made this election.
In accordance with the U.S. Department of Health and Human Services requirements specific to Federal Assistance Listing No. 93.498, COVID-19 Provider Relief Fund and American Rescue Plan Distribution, the amount presented on the accompanying Schedule for the year ended December 31, 2022 for Federal Assistance Listing No. 93.498 relates to Provider Relief Fund (PRF) and American Rescue Plan (ARP) payments received from January 1, 2021 through December 31, 2021, used for PRF-eligible activity from the period January 1, 2020 through December 31, 2022. The amount presented on the accompanying Schedule for the year ended December 31, 2022 reconciles to the PRF information previously reported to the Health Resources and Services Administration (HRSA) for PRF Reporting Periods 3 and 4 as follows:(see footnote for table). The unreimbursed expenses attributable to COVID-19 and lost revenues incurred by the System during the periods of availability through PRF Reporting Period 4 (January 1, 2020 through December 31, 2022) are in excess of the distributions received in PRF Reporting Periods 1 and 2 (which addressed payments received during April 10, 2020 to December 31, 2020, and previously reported on the Schedule for the year ended December 31, 2021) and distributions received in PRF Reporting Periods 3 and 4 (January 1, 2021 through December 31, 2021) and, therefore, the amounts presented in the table above and on the accompanying Schedule are limited to distributions received in PRF Reporting Periods 3 and 4.