Notes to SEFA
Accounting Policies: NOTE A SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESBasis of PresentationThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) summarizes the expenditures of The Bailey Foundations (the Organization) under programs of the Federal Government for the year ended December 31, 2022. Expenditures of direct awards to the Organization are reported in total by program. The formation in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulation Part 200, Uniform Administrative Requirements, Cost Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in preparation of, the basic financial statements. the Organization includes the amounts in the Schedule in the unrestricted net assets of the Organizations Statement of Activities for the year ended December 31, 2022.Summary of Significant Accounting PoliciesThe Schedule is prepared on the accrual basis of accounting. Expenditures are recognized following the cost accounting principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited to reimbursement. Pass-through entity identifying numbers are presented where available.Indirect CostsDirect expenses are recorded based upon actual expenses incurred that are allowable per the program requirements. Indirect expenses are allocated based upon recorded direct expenses. The Organization 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 auditee used the de minimis cost rate.