Notes to SEFA
Title: Note 1 ‐ Basis of Presentation
Accounting Policies: Expenditures on 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 allowed or are limited as to reimbursement. Pass‐through entity identifying
numbers are presented where available.
De Minimis Rate Used: Y
Rate Explanation: The Health System has elected not to use the 10 percent de minimis indirect cost rate allowed under the
Uniform Guidance. The Health System's federal expenditures do not include indirect administrative
expenses.
The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal grant award activity of Mitchell County Hospital Health Systems (the Health System) under programs of the federal government, for the year ended March 31, 2023. The information in this 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 the Health System, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Health System.