Notes to SEFA
Title: OUTSTANDING LOANS WITH CONTINUING COMPLIANCE REQUIREMENTS
Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule’) includes the federal grant activity of Cactus Health Services, Inc. under programs of the federal governments for the year ended September 30, 2023, for Cactus Health Services, Inc. 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). Because the Schedule presents only a selected portion of the operations of Cactus Health Services, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Cactus Health Services, Inc.
Basis of Accounting – 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, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Indirect Costs – Expenditures of federal awards may include a portion of costs associated with general and administrative activities, which are allocated to federal assistance programs under negotiated formulas, commonly referred to as indirect
cost rates and federally approved cost allocation plans. The Organization’s only indirect cost expenses charged to federal awards consist of administrative salaries and payments to administrative consultants, which are allocated to various programs based on time and effort records. The allocation methods have been approved by each awarding agency. The Organization has not negotiated an indirect
rate with its federal cognizant agency and has not elected to use the de minimis rate of 10% of modified total direct cost as an indirect cost allocation factor, as allowed under 2 CFR §200.414.
Sub-Recipients – There were no sub-recipients of the federal awards received by Cactus Health Services, Inc. for the year ended September 30, 2023. Revenue Reconciliation: Federal awards programs are reported in Cactus Health Services, Inc.’s financial statements as follows:
Federal Grants $ 3,451,053, Total Non - Loan Federal Expenditures Amount $ 3,451,053.
De Minimis Rate Used: N
Rate Explanation: The Organization has not negotiated an indirect rate with its federal cognizant agency and has not elected to use the de minimis rate of 10% of modified total direct cost as an indirect cost allocation factor, as allowed under 2 CFR §200.414.
The Organization had the following loan balance outstanding at September 30, 2023: Federal AL No. Amount Outstanding
Program Title 10.766 $ 1,071,131 USDA Community Facilities Direct Loan Programs