Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized, as applicable, by 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: Operation HOPE, Inc. used a negotiated indirect cost rate for awards prior to October 1, 2024. On October 1, 2024, the auditee elected to use the 15% de minimis indirect cost rate in accordance with 2 CFR 200.414.
The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal
grant activity of Operation HOPE, Inc. under programs of the federal government for the year ended
December 31, 2024. The information in this schedule is presented in accordance with the requirements
of Title 2 U.S. Code of Federal Regulations (CFR) 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 basic financial
statements.