Audit 323225

Title: Immunization Grants Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal grant activity of Union Community Health Center, Inc. (UCHC) and is presented on the accrual basis of accounting. The information on the 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 (the Uniform Guidance). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the financial statements of UCHC. For purposes of the Schedule, federal awards include any assistance provided by a federal agency directly or indirectly in the form of grants, contracts, cooperative agreements, loan and loan guarantees, or other non-cash assistance. In accordance with applicable requirements, certain programs may be presented in a fiscal period based on the program-specific guidance (see Note 3). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the financial statements of UCHC. Direct and indirect costs are charged to awards in accordance with cost principles contained in the U.S. Department of Health and Human Services Cost Principles for Hospitals at 45 CFR Part 75 Appendix IX for awards subject to the Uniform Guidance. Under these cost principles, certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Uniform Guidance provides for a 10% de minimis indirect cost rate election; however, UCHC did not make this election as UCHC uses a negotiated indirect cost rate. During the year ended December 31, 2023, UCHC participated in the New York City Department of Health and Mental Hygiene Immunization Cooperative Agreements through the evaluation of need and distribution of vaccines. The U.S. Department of Health and Human Services (HHS) has determined that such vaccines are considered property in lieu of money and, accordingly, should be considered part of the sub-grant award received by UCHC. The value of the vaccines redeemed under the Immunization Cooperative Agreements program is classified as non-cash assistance in the Schedule.