Audit 327441

Title: Basis of Presentation and Significant Accounting Policies Accounting Policies: The schedule of expenditures of federal awards is presented on the accural basis of accounting. Such expenditures are recognized following the cost principles contained in the Unifor Guidance, where certain types of expenditures may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Region IV Family Outreach, Inc. has elected not to use the 10 percent de minimis cost rate. The accompanying schedule is presented on the accrual basis of accounting, which is the same basis of accounting used for financial reporting purposes, and is in accordance with requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements of Federal Awards (Uniform Guidance). Expenditures reported on the accompanying schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, where certain types of expenditures may not be allowable or may be limited as to reimbursement. Because the accompanying schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.

Title: Program Descriptions Accounting Policies: The schedule of expenditures of federal awards is presented on the accural basis of accounting. Such expenditures are recognized following the cost principles contained in the Unifor Guidance, where certain types of expenditures may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Region IV Family Outreach, Inc. has elected not to use the 10 percent de minimis cost rate. The Organization is a nonprofit corporation providing services helping families enhance their child’s development and maintain them in the least restrictive living situation. The Organization provides services to individuals with disabilities and their families through support for integration into the community. The Organization provides services in southwestern Montana. Natural and foster families with a member who is either “at risk” of becoming developmentally disabled or has a developmental disability are eligible for these services. The majority of funding comes from contracts with the Montana Department of Public Health and Human Services. Certain contracts are federally funded by the U.S. Department of Health and Human Services under the Medical Assistance Program (Medicaid; Title XIX) Waiver Program (Assistance Listing No. 93.778), the Social Services Block Grant Program (Assistance Listing No. 93.667), and the U.S. Department of Education Individuals with Disabilities Education Act (IDEA) Part C (Assistance Listing No. 84.181). Eligibility for services is determined by the Montana Department of Public Health and Human Services.

Title: Indirect Cost Rate Accounting Policies: The schedule of expenditures of federal awards is presented on the accural basis of accounting. Such expenditures are recognized following the cost principles contained in the Unifor Guidance, where certain types of expenditures may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Region IV Family Outreach, Inc. has elected not to use the 10 percent de minimis cost rate. The Organization has elected not to use the 10 percent de minimis indirect cost rate allowedunder the Uniform Guidance.

Title: Subrecipients Accounting Policies: The schedule of expenditures of federal awards is presented on the accural basis of accounting. Such expenditures are recognized following the cost principles contained in the Unifor Guidance, where certain types of expenditures may not be allowable or may be limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Region IV Family Outreach, Inc. has elected not to use the 10 percent de minimis cost rate. The Orgnaization had no subrecipients.