Notes to SEFA
Title: 1. BASIS OF ACCOUNTING
Accounting Policies: See note 1
De Minimis Rate Used: Both
Rate Explanation: See note 2
The schedule of expenditures of federal awards is presented on the same basis of accounting used for presentation of Henry Ford Health System and its subsidiaries and affiliates’ (collectively, “Henry Ford Health”) basic consolidated financial statements, which is in accordance with accounting principles generally accepted in the United States of America. The schedule of expenditures of federal awards 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), and includes all Henry Ford Health’s expenditures charged to federal programs. The schedule summarizes expenditures by: • Primary federal funding agency • Programs as defined by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) • Direct award agreements with federal granting agencies The schedule of expenditures of federal awards includes negative amounts, which represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
Title: 2. PROGRAMS
Accounting Policies: See note 1
De Minimis Rate Used: Both
Rate Explanation: See note 2
Henry Ford Health’s programs are primarily research and development, Coronavirus State and Local Fiscal Recovery Funds, and Provider relief funds. Research and development programs – Research and development programs include those awards that are for basic and applied research and development activities. Title 2 U.S. Code of Federal Regulations Part 200 defines research and development as follows: research is a systematic study directed toward fuller scientific knowledge or understanding of the subject studied; and development is the systematic use of knowledge and understanding gained from research directed toward the production of useful materials, devices, systems, or methods, including design and development of prototypes and processes. Indirect costs—Henry Ford Health uses indirect cost rates when determining federal awards expended for research, as approved by the United States Department of Health and Human Services. For other federal awards, to the extent indirect costs are allowable, Henry Ford Health elects to use the de minimis indirect cost rate allowed under the Uniform Guidance.
Title: 3. DONATED PERSONAL PROTECTIVE EQUIPMENT (UNAUDITED)
Accounting Policies: See note 1
De Minimis Rate Used: Both
Rate Explanation: See note 2
For the year ended December 31, 2023, the fair value of donated personal protective equipment received by Henry Ford Health was $0 and was not included in the consolidated schedule of expenditures of federal awards.
Title: 4. PROVIDER RELIEF FUNDS
Accounting Policies: See note 1
De Minimis Rate Used: Both
Rate Explanation: See note 2
The Provider Relief Funds included in the consolidated schedule of expenditures of federal awards were received by the following entities (legal name and tax identification number):