Notes to SEFA
Title: 1. General
Accounting Policies: The accompanying schedule of expenditures of federal awards is presented on the accrual basis of accounting, which is described in Note 1 to the financial statements.
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 presents the activity of all federal award programs of JusticeWorks YouthCare, Inc. for the year ended June 30, 2024. The information in this 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 (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of JusticeWorks YouthCare, Inc., it is not intended to and does not present the balance sheet, results of operations, or cash flows of the Company.
Title: 2. Basis of accounting
Accounting Policies: The accompanying schedule of expenditures of federal awards is presented on the accrual basis of accounting, which is described in Note 1 to the financial statements.
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 is presented using the accrual basis of accounting, which is described in Note 1 to the financial statements.
Title: 3. Administrative Expenses and Cost Allocation Plan
Accounting Policies: The accompanying schedule of expenditures of federal awards is presented on the accrual basis of accounting, which is described in Note 1 to the financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
JusticeWorks YouthCare, Inc. has not elected to use the 10 percent de minimis indirect cost rate. Instead, the Company's Administrative Cost Allocation Plan is being followed and administrative expenses are being distributed in a fair and equitable manner.
Title: 4. Relationship to Financial Statements
Accounting Policies: The accompanying schedule of expenditures of federal awards is presented on the accrual basis of accounting, which is described in Note 1 to the financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Federal financial award revenues are included in the financial statements as net sales. Expenditures of federal awards are reported as incurred and are included in the financial statements as operating expenses.