Audit 34043

Title: Basis of Presentation Accounting Policies: Expenditures reported in the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles in Office of Management and Budget (OMB) Circular A-122, Cost Principles for Non-Profit Organizations, or 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 in 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: The auditee did not use the de minimis cost rate. The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federalaward activity of The Urban Institute (the Institute) under programs of the federal government forthe year ended December 31, 2022. The information in the Schedule is presented in accordancewith the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards(Uniform Guidance). Because the Schedule presents only a selected portion of the operations of theInstitute, it is not intended to and does not present the financial position, changes in net assets, orcash flows of the Institute. The Schedule does not include federal assistance listing numbers forcertain financial programs as some of the Institutes federal programs are performed under cost reimbursablecontract agreements.

Title: Reconciliation of SEFA to the Stmnt of Activities and Change in Net Assets Accounting Policies: Expenditures reported in the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following, as applicable, either the cost principles in Office of Management and Budget (OMB) Circular A-122, Cost Principles for Non-Profit Organizations, or 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 in 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: The auditee did not use the de minimis cost rate. The following is a reconciliation of total expenditures as shown in the Schedule to the expenses shown on the 2022 statement of activities and change in net assets. Program costs as shown in the statement of activities and change in net assets $114,927,365 Less: non-federal grants (2,235,041 ) Less: non-federal contracts (7,627,426 ) Less: fixed price federal contracts (4,064,082 ) Less: other research (66,033,457 ) Less: unbillable costs (2,070,167 ) Total per the Schedule $ 32,897,192