Notes to SEFA
Title: Basis of Presentation
Accounting Policies: The Schedule includes the federal activity of THI and is presented on the accrual basis of
accounting. Such expenditures are recognized following the cost principles contained in the
Uniform Guidance, where certain types of expenditures are not allowed or are limited as to
reimbursement. Therefore, some amounts presented in this Schedule may differ from amounts
presented in or used in the preparation of the financial statements.
THI has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform
Guidance. THI elected to use the indirect cost rate approved by the U.S. Department of Health and
Human Services because it is significantly higher than the de minimis rate, and more closely aligns
with THI’s overhead costs.
De Minimis Rate Used: N
Rate Explanation: THI has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform
Guidance. THI elected to use the indirect cost rate approved by the U.S. Department of Health and
Human Services because it is significantly higher than the de minimis rate, and more closely aligns
with THI’s overhead costs.
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal
award activity of Texas Health Institute (“THI”) under programs of the federal government for the
year ended December 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 THI, it is not intended to
and does not present the financial position, changes in net assets, or cash flows of THI.
Title: Summary of Significant Accounting Policies
Accounting Policies: The Schedule includes the federal activity of THI and is presented on the accrual basis of
accounting. Such expenditures are recognized following the cost principles contained in the
Uniform Guidance, where certain types of expenditures are not allowed or are limited as to
reimbursement. Therefore, some amounts presented in this Schedule may differ from amounts
presented in or used in the preparation of the financial statements.
THI has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform
Guidance. THI elected to use the indirect cost rate approved by the U.S. Department of Health and
Human Services because it is significantly higher than the de minimis rate, and more closely aligns
with THI’s overhead costs.
De Minimis Rate Used: N
Rate Explanation: THI has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform
Guidance. THI elected to use the indirect cost rate approved by the U.S. Department of Health and
Human Services because it is significantly higher than the de minimis rate, and more closely aligns
with THI’s overhead costs.
The Schedule includes the federal activity of THI and is presented on the accrual basis of
accounting. Such expenditures are recognized following the cost principles contained in the
Uniform Guidance, where certain types of expenditures are not allowed or are limited as to
reimbursement. Therefore, some amounts presented in this Schedule may differ from amounts
presented in or used in the preparation of the financial statements.
THI has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform
Guidance. THI elected to use the indirect cost rate approved by the U.S. Department of Health and
Human Services because it is significantly higher than the de minimis rate, and more closely aligns
with THI’s overhead costs.