Notes to SEFA
Accounting Policies: The accompanying Schedule includes the Federal grant activity of SalusCare only (excluding certain operations as noted below). SalusCare's consolidated financial statements include the operations of SalusCare's controlled housing corporation, LMHC Properties, Inc., which expended $0 in federal awards including the capital advance of $998,400 recorded as debt, that are not included in the Schedule of Expenditures of Federal Awards for the year ended June 30, 2024. The Single Audit of SalusCare, Inc. did not include the operations of SalusCare's controlled housing corporations because the U.S. Department of Housing and Urban Development requires separate single audits to be preformed on these entities in accordance with the Uniform Guidance. Expenditures reported on the SEFA 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. 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: SalusCare, Inc. has not elected to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.