Audit 315921

Title: Basis of Presentation Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes all federal award activity of HealthPartners, Inc. and it subsidiaries (HealthPartners, Inc.) under programs of the federal government for the year ended December 31, 2023. The Schedule is presented using the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Expenditures for federal programs are recognized using the costs accounting principles contained in the Uniform Guidance, Cost Principles for NonProfit Organizations (2 CFR part 230). Under those cost principles, certain types of expenditures are not allowed or are limited as to reimbursement. Expenditures include a portion of costs associated with HealthPartners Institute activities (facilities and administrative costs or indirect costs), which are allocated to federal awards under negotiated formulas commonly referred to as facilities and administrative cost rates. HealthPartners Institute has negotiated Facilities and Administration rates from the Division of Cost Allocation and has elected not to use the 10% de minimis indirect cost rate as described in the Uniform Guidance. Other entities within HealthPartners, Inc. do not maintain a negotiated Facilities and Administration rates from the Division of Cost Allocation and have elected not to use the 10% de minimis indirect cost rate as described in the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the Schedule) includes all federal award activity of HealthPartners, Inc. and it subsidiaries (HealthPartners, Inc.) under programs of the federal government for the year ended December 31, 2023. The Schedule is presented using the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Guidance.

Title: Indirect Cost Rates Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes all federal award activity of HealthPartners, Inc. and it subsidiaries (HealthPartners, Inc.) under programs of the federal government for the year ended December 31, 2023. The Schedule is presented using the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Expenditures for federal programs are recognized using the costs accounting principles contained in the Uniform Guidance, Cost Principles for NonProfit Organizations (2 CFR part 230). Under those cost principles, certain types of expenditures are not allowed or are limited as to reimbursement. Expenditures include a portion of costs associated with HealthPartners Institute activities (facilities and administrative costs or indirect costs), which are allocated to federal awards under negotiated formulas commonly referred to as facilities and administrative cost rates. HealthPartners Institute has negotiated Facilities and Administration rates from the Division of Cost Allocation and has elected not to use the 10% de minimis indirect cost rate as described in the Uniform Guidance. Other entities within HealthPartners, Inc. do not maintain a negotiated Facilities and Administration rates from the Division of Cost Allocation and have elected not to use the 10% de minimis indirect cost rate as described in the Uniform Guidance. Expenditures for federal programs are recognized using the costs accounting principles contained in the Uniform Guidance, Cost Principles for NonProfit Organizations (2 CFR part 230). Under those cost principles, certain types of expenditures are not allowed or are limited as to reimbursement. Expenditures include a portion of costs associated with HealthPartners Institute activities (facilities and administrative costs or indirect costs), which are allocated to federal awards under negotiated formulas commonly referred to as facilities and administrative cost rates. HealthPartners Institute has negotiated Facilities and Administration rates from the Division of Cost Allocation and has elected not to use the 10% de minimis indirect cost rate as described in the Uniform Guidance. Other entities within HealthPartners, Inc. do not maintain a negotiated Facilities and Administration rates from the Division of Cost Allocation and have elected not to use the 10% de minimis indirect cost rate as described in the Uniform Guidance.