Notes to SEFA
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the accrual basis of accounting,
which is the method of accounting used for the financial statements. Such expenditures are recognized
following, as applicable, either the cost principles of Office of Management and Budget Circular A-122,
Cost Principles for Non-Profit REOs, or the cost principles contained in Title 2 U.S. Code of Federal
Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements
for Federal awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are
limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits
made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: REO has elected not to use the 10-percent de minimis indirect cost rate allowed under Uniform Guidance.
Instead REO has received an approved indirect cost rate of 12.81% for the year ended June 30, 2024.