Notes to SEFA
Title: Note A - Basis of presentation:
Accounting Policies: The center used basis of presentation, administrative costs and capital expenditures as significant accounting policies to prepare the Schedule of Expenditures of Federal Awards.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Amarillo Multiservice Center for the Aging, Inc. dba Jan Werner Adult Day Care Center dba The basics at Jan Werner and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Title: Note B - Administrative costs:
Accounting Policies: The center used basis of presentation, administrative costs and capital expenditures as significant accounting policies to prepare the Schedule of Expenditures of Federal Awards.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The total expenditures for the Medical Assistance Program on the accompanying Schedule of Expenditures of Federal Awards includes $871,606 of administrative expenses. This amount differs from total administrative expenses before depreciation shown on the Statement of Functional Expenses by $31,317. This amount reflects deferred compensation expenses for former employees that are now retired and not actively providing services in the PACE program. The $871,606 of expenses mentioned previously in this paragraph are presented separately, as administrative expenses on the Statement of Functional Expenses, but were included as expenditures of federal awards, because they are directly related to PACE program administration.
Title: Note C - Capital expenditures:
Accounting Policies: The center used basis of presentation, administrative costs and capital expenditures as significant accounting policies to prepare the Schedule of Expenditures of Federal Awards.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The total expenditures for the Medical Assistance Program on the accompanying Schedule of Expenditures of Federal Awards does not include depreciation on equipment in the amount of $299,334. Instead, fixed asset purchases are recorded as expenditures in the year of acquisition. During the year ended August 31, 2024, there were $179,076 of fixed asset additions for the Medical Assistance Program.