Audit 332208

Title: NOTE 1 - SCOPE OF AUDIT PURSUANT TO THE OMB COMPLIANCE SUPPLEMENT Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance includes all federal and state grants to the Organization that had activity during the year ended June 30, 2024. The basis of accounting is described in Note 2 to the Organization's financial statements. De Minimis Rate Used: N Rate Explanation: The Organization did not elect to use the 10% de minimis indirect cost rate. Federal Awards Programs All Federal grant operations of Pasco-Hernando Workforce Board, Inc. (the “Organization”) are included in the scope of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) audit (the “Single Audit”). The Single Audit was performed in accordance with the provisions of the OMB Compliance Supplement in Appendix XI of the Uniform Guidance (revised May 2024, the "Compliance Supplement"). Compliance testing of all requirements, as described in the Compliance Supplement, was performed for the grant programs noted in the Schedule of Findings and Questioned Costs – Federal Programs. These programs represent Federal award Type A and Type B programs for 2024 with cash and noncash expenditures that ensure coverage of at least 20 percent of federally granted funds.

Title: NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance includes all federal and state grants to the Organization that had activity during the year ended June 30, 2024. The basis of accounting is described in Note 2 to the Organization's financial statements. De Minimis Rate Used: N Rate Explanation: The Organization did not elect to use the 10% de minimis indirect cost rate. The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance includes all federal and state grants to the Organization that had activity during the year ended June 30, 2024. The basis of accounting is described in Note 2 to the Organization's financial statements.

Title: NOTE 3 - SUBRECIPIENTS Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance includes all federal and state grants to the Organization that had activity during the year ended June 30, 2024. The basis of accounting is described in Note 2 to the Organization's financial statements. De Minimis Rate Used: N Rate Explanation: The Organization did not elect to use the 10% de minimis indirect cost rate. The Organization provided federal awards and state financial assistance to subrecipients as follows during the year ended June 30, 2024: ALN / CSFA Program Title Number Amount Welfare Transition Program 93.558 $ 1,348,387 WIOA - Youth 17.259 707,217 2023 Supplemental Non-Custodial Parent 40.037 497,937 WIOA - Adult 17.258 9,900 WIOA - Dislocated Worker 17.278 2,700 Total $ 2,566,141

Title: NOTE 4 - INDIRECT COST RATE Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance includes all federal and state grants to the Organization that had activity during the year ended June 30, 2024. The basis of accounting is described in Note 2 to the Organization's financial statements. De Minimis Rate Used: N Rate Explanation: The Organization did not elect to use the 10% de minimis indirect cost rate. The Organization did not elect to use the 10% de minimis indirect cost rate.