Audit 363364

Title: Note 1 Purpose of the Schedule Accounting Policies: Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System. De Minimis Rate Used: N Rate Explanation: ·         Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. The accompanying Schedule of Expenditures of Federal Awards, State Financial Assistance Local, and Other Entities Awards, hereafter referred to as “the Schedule,” of South Broward Hospital District d/b/a Memorial Healthcare System (the System) is supplementary information and is an important part of the reporting package required by: • Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and Title 45 CFR Part 74, Appendix E, Principles for Determining Cost Applicable to Research and Development Under Grants and Contracts with Hospitals (Uniform Guidance). • Chapter 10.550, Rules of the Auditor General for Local Government Entity Audits, State of Florida and Chapter 215.97, Florida Statutes and Department of Financial Services Rules, Chapter 69I-5, Florida Administrative Code. As a result, some amounts presented in the Schedule may differ from amounts presented in, or used in the presentation of the Schedule of the System. The Schedule includes the grant activities for the System for the year ended April 30, 2025. The auditor is required to determine and provide an opinion on whether the Schedule is presented fairly, in all material respects, in relation to the Schedule as a whole. Further, the information in the Schedule serves as the primary basis for the auditor’s major programs, which is a key component of performing a single audit. The Schedule also provides assurance to those agencies that award financial assistance, that their programs or grants are included in the audit.

Title: Note 2 Summary of Significant Accounting Policies Accounting Policies: Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System. De Minimis Rate Used: N Rate Explanation: ·         Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System.

Title: Note 3 Pass-Through Federal and State Assistance Accounting Policies: Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System. De Minimis Rate Used: N Rate Explanation: ·         Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • The majority of the System’s Federal assistance is received from pass-through entities and are identified as such on the Schedule. State funds are typically directly awarded from the State but can also be awarded through a pass-through entity. • The System records expenditures of Federal programs and State awards when paid in cash to a pass-through entity (Subrecipients of the District). For the year ended April 30, 2025, the System did not pass-through any funds to sub-recipients as reflected on the Schedule.

Title: Note 4 Federal Programs and State Awards Not Subject to a Uniform Guidance Audit Accounting Policies: Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System. De Minimis Rate Used: N Rate Explanation: ·         Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. Matching resources and maintenance of effort amounts for Federal programs and State projects as well as vendor-relationship specified contracts, are listed on the Schedule, but are not included when computing the threshold for single audit requirements totals. State Contracts on the Schedule, not Subject to a Uniform Guidance Audit or Section 215.97, F.S: • BW800 – State of Florida Department of Health – Vendor relationship

Title: Note 5 Program Clusters Accounting Policies: Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System. De Minimis Rate Used: N Rate Explanation: ·         Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. The U.S. Office of Management and Budget Compliance Supplement defines a cluster of programs as a grouping of closely related programs that share common compliance requirements. There were programs that met this criterion for the current year.

Title: Note 6 Contingencies Accounting Policies: Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System. De Minimis Rate Used: N Rate Explanation: ·         Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. Grant monies received and disbursed by the System are for specific purposes subject to review by grantor agencies. Such reviews may result in requests for reimbursement due to unallowable expenditures. Based on prior experience, the System does not believe that such unallowances, if any, would have a material effect on the amounts reported in the Schedule. As of April 30, 2025, management is not aware of any material questioned or unallowable costs as a result of grant audits in process or completed.

Title: Note 7 State of Florida Department of Children and Families Accounting Policies: Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System. De Minimis Rate Used: N Rate Explanation: ·         Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. The State of Florida Department of Children and Families requires the accompanying Actual Expenses and Revenue Schedule, Schedule of Bed-Day Availability Payments, Schedule of State Earnings, and Schedule of Related Party Transaction Adjustments be presented for their contract year ending June 30, 2024.

Title: Note 8 Subsequent Event Accounting Policies: Basis of Presentation The information in the Schedule is presented in accordance with the Uniform Guidance and Chapter 10.550, Rules of the Auditor General. The Schedule, at a minimum, entails the following: 1. Listing of individual Federal, State, Local, and Other Entities programs by awarding agency for which the System expended funds for the year ended April 30, 2025 2. Total Federal, State, Local, and Other Entities awards expended for the year ended April 30, 2025 3. Assistance Listing number and Catalog of State Financial Assistance (CSFA) number for each program that had expenditures for the year ended April 30, 2025 4. The name of the pass-through entity and the identifying number assigned by the pass-through entity for awards received as a subrecipient 5. The total amount provided to subrecipients from each Federal, State, and Local program, if any 6. Notes that describe the significant accounting policies used in preparing the Schedule and notes indicating the indirect cost rate appliedReporting Entity The System’s reporting entity is described in Note 1 of the Schedule. The Schedule includes all Federal and State assistance programs administered by the System during the year ended April 30, 2025, that are subject to a Uniform Guidance and State Single audit. Basis of Accounting The expenditures presented on the Schedule are reported on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America and following the Uniform Guidance and Chapter 10.550, Rules of the Auditor General, wherein certain types of expenditures are unallowable or have conditions or limits as far as the reimbursement. • Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. • Matching Costs – All expenditures are recorded based on funded amounts, while additional costs, such as matching costs, are not included in the Schedule. • Capital Costs – The System records grant funds restricted for the acquisition of capital assets as capital contributions and grants in the accounting period in which they are earned and become measurable. These amounts are reported separately from operating and non-operating revenues. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System. De Minimis Rate Used: N Rate Explanation: ·         Indirect Costs – The Schedule includes a portion of allocated costs from a federally approved indirect cost rate plan. The System did not elect to use the 10% de minimis cost rate. Subsequent events have been evaluated through July 14, 2025, which is the date the Schedule was available to be issued.