Audit 336323

Title: SUBRECIPIENTS Accounting Policies: Basis of Presentation The accompanying schedule of expenditures of federal awards include the federal grant activity of Literacy New Jersey, Inc. (Organization) and is presented on the accrual basis of accounting. The information in the schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements. De Minimis Rate Used: N Rate Explanation: The Organization did not elect to use the de minimis cost rate when allocating indirect costs to programs. During the year ended June 30, 2024, the Organization did not pass through any funds from its federal programs to subrecipients.

Title: LOAN AND LOAN GUARANTEE PROGRAMS Accounting Policies: Basis of Presentation The accompanying schedule of expenditures of federal awards include the federal grant activity of Literacy New Jersey, Inc. (Organization) and is presented on the accrual basis of accounting. The information in the schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the financial statements. De Minimis Rate Used: N Rate Explanation: The Organization did not elect to use the de minimis cost rate when allocating indirect costs to programs. At June 30, 2024, the organization had a loan balance of $470,325 for the Economic Injury Disaster Loan.