Notes to SEFA
Title: (4) Disaster Grants – Public Assistance – Assistance listing number 97.036 (FEMA)
Accounting Policies: (1) Basis of Presentation
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Legacy Health (Legacy) under programs of the federal government for the fiscal year ended March 31, 2025. The information in the Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200 (2 CFR 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 Legacy, it is not intended to and does not present the balance sheet, operations, changes in net assets, or cash flows of Legacy. Financial assistance received directly from federal agencies as well as financial assistance passed through from other agencies are included in the accompanying schedule. Legacy’s financial reporting entity is described in note 1 to Legacy’s consolidated financial statements.
(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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: Legacy has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Nonfederal entities must record expenditures on the Schedule when FEMA has approved the nonfederal entity’s project worksheet, and the nonfederal entity has incurred the eligible expenditures. The amount shown on the Schedule for the year ended March 31, 2025 includes a net ($272,175) in expenditures that relate to either projects obligated for the year ended March 31, 2025 which were incurred in a prior year, or relate to adjustments on previously obligated and incurred expenses.