Title: NOTE 1 – BASIS OF PRESENTATION
Accounting Policies: (1) 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 and the State of Texas Uniform Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented on the schedule may differ from amounts presented in or used in the preparation of the financial statements.
(2) Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization is not eligible to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance because the Organization has previously received a negotiated indirect cost rate for its federal awards.
The accompanying schedule of expenditures of federal and state awards (the “Schedule”) includes the federal and state award activity of Youth 180, Inc. under programs of the federal government for the year ended August 31, 2024. The information in this Schedule is presented in accordance with the requirements of the audit 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) and the State of Texas Single Audit Circular. Because the Schedule presents only a selected portion of the operations of Youth 180, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Youth 180, Inc.
Title: NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: (1) 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 and the State of Texas Uniform Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented on the schedule may differ from amounts presented in or used in the preparation of the financial statements.
(2) Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization is not eligible to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance because the Organization has previously received a negotiated indirect cost rate for its federal awards.
(1) 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 and the State of Texas Uniform Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented on the schedule may differ from amounts presented in or used in the preparation of the financial statements.
(2) Pass-through entity identifying numbers are presented where available.
Title: NOTE 3 – RECONCILIATION OF REVENUES AND EXPENSES
Accounting Policies: (1) 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 and the State of Texas Uniform Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented on the schedule may differ from amounts presented in or used in the preparation of the financial statements.
(2) Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization is not eligible to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance because the Organization has previously received a negotiated indirect cost rate for its federal awards.
Federal and state financial assistance revenues are reported in the Organization’s financial statements as follows:
Federal and State Government Grants and Contracts $2,069,846
Timing Differences on Advances and Expenses $0
Federal and State Financial Assistance per Accompanying Schedule of Expenditures of Federal and State Awards 2,069,846
Title: NOTE 4 – INDIRECT COST RATE
Accounting Policies: (1) 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 and the State of Texas Uniform Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented on the schedule may differ from amounts presented in or used in the preparation of the financial statements.
(2) Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization is not eligible to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance because the Organization has previously received a negotiated indirect cost rate for its federal awards.
The Organization is not eligible to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance because the Organization has previously received a negotiated indirect cost rate for its federal awards.
Title: NOTE 5 – INSURANCE COVERAGE
Accounting Policies: (1) 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 and the State of Texas Uniform Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented on the schedule may differ from amounts presented in or used in the preparation of the financial statements.
(2) Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization is not eligible to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance because the Organization has previously received a negotiated indirect cost rate for its federal awards.
The Organization maintained insurance in the amount of $2,000,000 in general liability, $1,000,000 in D&O Insurance and $2,000,000 in professional liability coverage during the year ended August 31, 2024.
Title: NOTE 6 – NONFEDERAL MATCHING REQUIREMENT
Accounting Policies: (1) 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 and the State of Texas Uniform Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented on the schedule may differ from amounts presented in or used in the preparation of the financial statements.
(2) Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization is not eligible to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance because the Organization has previously received a negotiated indirect cost rate for its federal awards.
The Organization funded by Texas Health and Human Services Commission requires that the program receive a nonfederal share equal to 5 percent of total Youth 180 expenses. The Organization used in kind rent of $77,253 to fulfill its matching requirements.