Notes to SEFA
Title: BASIS OF PRESENTATION
Accounting Policies: Basis of Accounting – 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.
The Organization has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Pass-through entity identifying numbers are presented where available.
Revenue Reconciliation – Federal awards programs reported in the Organization’s financial statements are $8,696,364 for the year ended November 30, 2024.
Description Amount
Head Start/Early Head Start $ 7,962,657
Child and Adult Care Food Program 733,707
Total Expenditures of Federal Awards $ 8,696,364 Match – The Organization identified non-federal matches for the Head Start Program, AL #93.600, totaling $2,255,225 for the year ended November 30, 2024. Pertaining to this amount, only $60,618 in donated services, donated supplies, materials, equipment, and the usage of facilities from these in-kind contributions are reported on the Statement of Activities. The $60,618 reported consists of allowable donated facilities and supplies. The remaining $2,194,607 is not reported
in the Statement of Activities because it does not meet the definition of professional services as defined with accounting principles generally accepted in the United States of America (U.S. GAAP), which only permits the recording of donated time and services for licensed professionals.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (the “Schedule’) includes the federal grant activity of the Organization under programs of the federal government for the year ended November 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 (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.