Audit 349303

Title: Note 1: Basis of Presentation Accounting Policies: Note 2: Summary of Significant Accounting Policies Expenditures reported on the Schedule 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. Pass-through entity identifying numbers are presented where available. Amounts included in the Schedule for Assistance Listing 97.036 – Disaster Grant – Public Assistance (Presidentially Declared Disasters) includes amounts expended during the years ended June 30, 2020, through June 30, 2022, and approved by the grantor during the year ended June 30, 2024. De Minimis Rate Used: N Rate Explanation: Medical Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (“Schedule”) includes the federal award activity of El Centro Regional Medical Center, an Enterprise Fund of the City of El Centro (the “Medical Center”). 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 (the “Uniform Guidance”). Because the Schedule presents only a selected portion of the operations of Medical Center, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Medical Center.

Title: Note 3: Indirect Cost Accounting Policies: Note 2: Summary of Significant Accounting Policies Expenditures reported on the Schedule 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. Pass-through entity identifying numbers are presented where available. Amounts included in the Schedule for Assistance Listing 97.036 – Disaster Grant – Public Assistance (Presidentially Declared Disasters) includes amounts expended during the years ended June 30, 2020, through June 30, 2022, and approved by the grantor during the year ended June 30, 2024. De Minimis Rate Used: N Rate Explanation: Medical Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Medical Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.

Title: Note 4: Subrecipients Accounting Policies: Note 2: Summary of Significant Accounting Policies Expenditures reported on the Schedule 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. Pass-through entity identifying numbers are presented where available. Amounts included in the Schedule for Assistance Listing 97.036 – Disaster Grant – Public Assistance (Presidentially Declared Disasters) includes amounts expended during the years ended June 30, 2020, through June 30, 2022, and approved by the grantor during the year ended June 30, 2024. De Minimis Rate Used: N Rate Explanation: Medical Center has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Medical Center passed no federal awards through to subrecipients.