Notes to SEFA
Accounting Policies: NOTE 1 BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the PrimroseCenter, Inc. (the Center) under programs of the federal government for the year ended June 30, 2022. The information in thisSchedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, UniformAdministrative Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of theoperations of the Center, it is not intended to and does not present the financial position, changes in net position or cash flows of theCenter.NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the accrual basis of accounting. Therefore, amounts reported on theSchedule are based on expenditures incurred as of June 30, 2022, even if the grant or loan was received subsequent to that date.Federal expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented whereavailable.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.