Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance where applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass‐through entity identifying numbers are presented where available.
For the purposes of the Schedule, federal awards include the following:
• Direct federal awards
• Pass-through funds received from nonfederal organizations under federally sponsored programs conducted by those organizations
• The amounts reported for the COVID-19 Disaster Grants- Public Assistance (ALN 97.036) are based on expenditures incurred in a prior year.
• The amounts reported for the COVID-19 Provider Relief Fund (ALN 93.498) are based on expenditures incurred in a prior year.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal award activity of Vandalia Health, Inc. and Subsidiaries (the “System”) 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 (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”). This schedule includes Provider Relief Funds (PRF) related to Monongalia Health System, Inc. (MHS), which was acquired by the System on September 1, 2022. Within the schedule, the PRF relating to MHS is marked “unaudited,” on which no opinion was expressed by the auditors on such funds.
Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance where applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass‐through entity identifying numbers are presented where available.
For the purposes of the Schedule, federal awards include the following:
• Direct federal awards
• Pass-through funds received from nonfederal organizations under federally sponsored programs conducted by those organizations
• The amounts reported for the COVID-19 Disaster Grants- Public Assistance (ALN 97.036) are based on expenditures incurred in a prior year.
• The amounts reported for the COVID-19 Provider Relief Fund (ALN 93.498) are based on expenditures incurred in a prior year.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance where applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass‐through entity identifying numbers are presented where available.
For the purposes of the Schedule, federal awards include the following:
• Direct federal awards
• Pass-through funds received from nonfederal organizations under federally sponsored programs conducted by those organizations
• The amounts reported for the COVID-19 Disaster Grants- Public Assistance (ALN 97.036) are based on expenditures incurred in a prior year.
• The amounts reported for the COVID-19 Provider Relief Fund (ALN 93.498) are based on expenditures incurred in a prior year.
Title: INDIRECT COST RATE
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance where applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass‐through entity identifying numbers are presented where available.
For the purposes of the Schedule, federal awards include the following:
• Direct federal awards
• Pass-through funds received from nonfederal organizations under federally sponsored programs conducted by those organizations
• The amounts reported for the COVID-19 Disaster Grants- Public Assistance (ALN 97.036) are based on expenditures incurred in a prior year.
• The amounts reported for the COVID-19 Provider Relief Fund (ALN 93.498) are based on expenditures incurred in a prior year.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The System has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: SUBRECIPIENT DISBURSEMENTS
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance where applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass‐through entity identifying numbers are presented where available.
For the purposes of the Schedule, federal awards include the following:
• Direct federal awards
• Pass-through funds received from nonfederal organizations under federally sponsored programs conducted by those organizations
• The amounts reported for the COVID-19 Disaster Grants- Public Assistance (ALN 97.036) are based on expenditures incurred in a prior year.
• The amounts reported for the COVID-19 Provider Relief Fund (ALN 93.498) are based on expenditures incurred in a prior year.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The System made $34,241 subrecipient disbursements to its subrecipient, Thomas Health Physician Partners, Inc., during the year ended December 31, 2023.
Title: LOAN/LOAN GUARANTEE OUTSTANDING BALANCES
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance where applicable, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass‐through entity identifying numbers are presented where available.
For the purposes of the Schedule, federal awards include the following:
• Direct federal awards
• Pass-through funds received from nonfederal organizations under federally sponsored programs conducted by those organizations
• The amounts reported for the COVID-19 Disaster Grants- Public Assistance (ALN 97.036) are based on expenditures incurred in a prior year.
• The amounts reported for the COVID-19 Provider Relief Fund (ALN 93.498) are based on expenditures incurred in a prior year.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
COMMUNITY FACILITIES LOANS AND GRANTS (10.766)—loan balances outstanding at the end of the audit period were $22,273,666.