Audit 355942

Title: NOTE A – BASIS OF PRESENTATION Accounting Policies: Accrual basis of acounting De Minimis Rate Used: N Rate Explanation: The Organization did not use an indirect cost rate. The accompanying schedule of expenditures of federal awards includes the federal grant activity of Hispanic Human Resources Council, Inc. (the “Council”) under the program of the federal government listed below for the fiscal year ended September 30, 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. Because the schedule presents only a selected portion of the operations of the Council, it is not intended to and does not present the financial position, changes in net assets, cash flows or functional expenses of the Council. The major program tested ensured coverage of at least 40 percent of federally granted funds. Actual coverage is approximately 78 percent of total cash and noncash Federal award program expenditures.

Title: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: Accrual basis of acounting De Minimis Rate Used: N Rate Explanation: The Organization did not use an indirect cost rate. Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirement for Federal Awards wherein certain types of expenditures are not allowable or are limited as to reimbursement. Additionally, the Council did not elect to use the 10 percent de minimis indirect cost rate. Pass-through entity identifying numbers are presented where available.

Title: NOTE C – FINDINGS OF NONCOMPLIANCE Accounting Policies: Accrual basis of acounting De Minimis Rate Used: N Rate Explanation: The Organization did not use an indirect cost rate. There were no findings of noncompliance identified in connection with the 2024 Federal Single Audit.