Notes to SEFA
Title: 1. Basis of Presentation
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.
De Minimis Rate Used: Both
Rate Explanation: Rising Ground has a provisional approval to use an indirect cost rate of 22.50% for Head Start, 23.00% for the Continuum of Care Program, Youth Homelessness Demonstration Program and the Unaccompanied Children Program, and 14.25% for all other programs for the year ended June 30, 2024.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Rising Ground, Inc. and Affiliates (Rising Ground) under programs of the federal government for the year ended June 30, 2023. 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 Rising Ground, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Rising Ground.
Title: 3. Indirect Cost Rate
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.
De Minimis Rate Used: Both
Rate Explanation: Rising Ground has a provisional approval to use an indirect cost rate of 22.50% for Head Start, 23.00% for the Continuum of Care Program, Youth Homelessness Demonstration Program and the Unaccompanied Children Program, and 14.25% for all other programs for the year ended June 30, 2024.
Rising Ground use the following indirect cost rates for its programs for the year ended June 30, 2024 of:
• A provisional approval rate of 22.50% for Head Start.
• A provisional approval rate of 23.0% for the Continuum of Care Program, Youth Homelessness Demonstration Program, and the Unaccompanied Children Program.
• Applies the 10% de minimis indirect cost rate allowed under the Uniform Guidance for Temporary Assistance for Needy Families Program and Social Services Block Grant.
• A approval rate of 14.25% for all other programs.
Title: 4. Subsequent Events
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.
De Minimis Rate Used: Both
Rate Explanation: Rising Ground has a provisional approval to use an indirect cost rate of 22.50% for Head Start, 23.00% for the Continuum of Care Program, Youth Homelessness Demonstration Program and the Unaccompanied Children Program, and 14.25% for all other programs for the year ended June 30, 2024.
Rising Ground has evaluated subsequent events occurring after the consolidated financial statements date of June 30, 2024 through November 27, 2024, except for the report on the Schedule, for which the subsequent events date is March 27, 2025, which is the date these consolidated financial statements were available to be issued. No events arose during the period that would require adjustments or additional disclosures.