Title: Basis of Presentation
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
The amounts reported in the accompanying Schedule were obtained from the Hospital’s general ledger. Because the Schedule presents only a selected portion of the operations, it is not intended to and does not present the financial position, changes in net position and cash flows of the Hospital.
The amounts presented on the Schedule for Assistance Listing 93.498, COVID‐19 Provider Relief Fund and American Rescue Plan (ARP) Plan Distribution (PRF), are based on the Period 4 PRF report submission to the PRF reporting portal. The Hospital did not receive any funds that required a submission for Period 5. Amounts included in Period 4 submission represent amounts received between July 1, 2021 and December 31, 2021 that were expended by December 31, 2022. Amounts included in Period 5 submission represent amounts received between January 1, 2022 and June 30, 2022 that were expended by June 30, 2023.
For purposes of the Schedule, federal awards include all grants, contracts, and similar agreements entered into directly with the federal government and other pass-through entities. Payments received for goods or services provided as a vendor do not constitute federal awards for purposes of the Schedule. The Hospital has obtained Assistance Listing Numbers (ALN) to ensure that all programs have been identified in the Schedule. ALNs have been appropriately listed by applicable programs. Federal programs with different ALNs that are closely related because they share common compliance requirements are defined as a cluster by the Uniform Guidance. No clusters were identified in the Schedule.
Title: Relationship of the Schedule to Program Reports
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
The amounts reflected in the financial reports submitted to the awarding federal and/or passthrough agency and the Schedule may differ. Some of the factors that may account for any difference include the following:
The Hospital’s fiscal year end may differ from the program’s year end.
Accruals recognized in the Schedule, because of year end procedures, may not be reported in the program financial reports until the next program reporting period.
Fixed asset purchases and the resultant depreciation charges are recognized as property and equipment, net in the Hospital’s financial statements and as expenditures in the program financial reports.
Title: Contingencies
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
Grant monies received and disbursed by the Hospital are for specific purposes and are subject to review by the grantor agencies. Such audits may result in requests for reimbursement due to disallowed expenditures. Based upon experience, the Hospital does not believe that such disallowance, if any, would have a material effect on the financial position of the Hospital. As of September 30, 2023, there were no known material questioned or disallowed costs as a result of grant audits in process or completed.
Title: Noncash Assistance
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
The Hospital did not receive any federal noncash assistance for the fiscal year ended September 30, 2023.
Title: Subrecipients
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
The Hospital did not provide federal funds to subrecipients for the fiscal year ended September 30, 2023.
Title: Loans and Loan Guarantees
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
The Hospital did not have any loans or loan guarantee programs required to be reported on the Schedule.
Title: Federally Funded Insurance
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
The Hospital did not have any federally funded insurance required to be reported on the Schedule for the fiscal year ending September 30, 2023.
Title: Provider Relief Fund
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
Under terms and conditions of the Provider Relief Funds (PRF) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, the Hospital 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 and used by the Hospital in accordance with the PRF terms and conditions.
The Hospital received PRF of approximately $10.8 million in the fiscal year ended September 30, 2020, and no significant amounts in fiscal year 2021 or 2022. The Hospital recognized approximately $2.2 million and $200 thousand, respectively, as other nonoperating revenue in its September 30, 2023 and 2022 statements of revenues, expenses and changes in net position, as the terms and conditions of the PRF grant were satisfied during these respective fiscal years. Under the HHS requirements, the 2023 Schedule includes PRF of approximately $3.7 million, which was received by the Hospital prior to June 30, 2022. As of September 30, 2023, all of the PRF funds received were expended and reported by the Hospital.
Title: Donated Personal Protective Equipment Unaudited)
Accounting Policies: Expenditures reported in the Schedule of Expenditures of Federal Awards (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 expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Hospital has elected to not use the 10% de minimis indirect cost rate.
During the emergency period of the COVID‐19 pandemic, federal agencies and recipients can donate personal protective equipment purchased with federal assistance funds to various entities for the COVID‐19 response. During the year ended September 30, 2023, the Hospital did not receive any material amounts of donated personal protective equipment.