Audit 365006

Title: Notes to the Schedule of Expenditures of Federal Awards Accounting Policies: NOTE 1 - BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Sunny Glen Children's Home, Inc. (the Home), under programs of the federal government for the year ended December 31, 2024. The information in this Schedule is presented in accordance with the requirement of Title 2 U.S. Code of Federal Regulations Part 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 the Home, it is not intended to and does not present the financial position, changes in net assets, or cashflows of the Home. NOTE 2 – 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. NOTE 3 – PROGRAM REPORTING Indirect costs of $5,223,291 are included in the revenue from the Federal Residential Shelter Program in the revenue of the Home. Grant expenditures are not specifically attributable to these revenues and are shown in this schedule in an amount equal to revenue for balancing purposes only. Direct Costs - $ 58,488,604 Indirect Costs - 5,223,291 Total Expenditures of Federal Awards per SEFA - $ 63,711,895 NOTE 4 – INDIRECT COST RATE The Home has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. De Minimis Rate Used: Y Rate Explanation: The Home has elected to use the 10% de minimis indirect cost rate NOTE 1 - BASIS OF PRESENTATION The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Sunny Glen Children's Home, Inc. (the Home), under programs of the federal government for the year ended December 31, 2024. The information in this Schedule is presented in accordance with the requirement of Title 2 U.S. Code of Federal Regulations Part 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 the Home, it is not intended to and does not present the financial position, changes in net assets, or cashflows of the Home. NOTE 2 – 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. NOTE 3 – PROGRAM REPORTING Indirect costs of $5,223,291 are included in the revenue from the Federal Residential Shelter Program in the revenue of the Home. Grant expenditures are not specifically attributable to these revenues and are shown in this schedule in an amount equal to revenue for balancing purposes only. Direct Costs - $ 58,488,604 Indirect Costs - 5,223,291 Total Expenditures of Federal Awards per SEFA - $ 63,711,895 NOTE 4 – INDIRECT COST RATE The Home has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.