The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the total consolidated expenditures of Care New England Health System and its affiliates (“Care New England”) under programs of the federal government for the year ended September 30, 2025. The information presented in the Schedule is presented on the accrual basis of accounting, which is in accordance with the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Such expenditures are recognized following the cost principles contained in OASC-3, Department of Health and Human Services Principles for Determining Costs Applicable to Research and Development under Grants and Contracts with Hospitals, wherein certain types of expenditures are not allowable or are limited to reimbursement. For purposes of the Schedule, federal awards include all grants, contracts and similar agreements entered directly by Care New England with agencies and departments of the federal government and all subawards to Care New England by nonfederal organizations pursuant to federal grants, contracts and similar agreements. Because the Schedule presents only the federal award activity of Care New England, it is not intended to and does not present the financial position, changes in net assets and cash flows of Care New England. Assistance listing numbers and pass through numbers are provided when available.
Indirect costs are charged to certain federal grants and contracts at federally approved predetermined indirect rates, or if a Negotiated Indirect Cost Rate Agreement ("NICRA") does not exist, Care New England elects to use the 10% or 15% de minimis indirect cost rate, as applicable allowed under the Uniform Guidance.
The Providence Center, Inc., whose sole corporate member is Care New England received funding from the U.S. Department of Housing and Urban Development (“HUD”) in both the current and prior years. The funding has been included in the accompanying schedule of expenditures of federal awards in consideration of the fact that the federal programs from which the funding originates imposes continuing compliance requirements on the use of the properties acquired and rehabilitated for specified periods ranging from 10 to 40 years. Those programs, include the following: Entity Assistance Listing # Capital Advances Grandview Second Corporation 14.181 $1,173,200 Wilson Street Apartments, Inc. 14.181 1,152,335 Wilson Street Apartments, Inc. 14.181 18,465 Nashua Street Corporation 14.181 834,200
Care New England determines participant eligibility for receipt of food vouchers as part of the Special Supplemental Nutrition Program for the Women, Infants and Children program (Assistance Listing # 10.557). Of the $2,294,108 in expenditure presented in the Schedule, $454,256 represents direct costs incurred by Care New England for this program. The food vouchers for which Care New England determined eligibility for amounted to $2,469,852 for the year ended September 30, 2025.
Care New England applied for reimbursement of certain expenses related to the COVID-19 pandemic under Assistance Listing #97.036, FEMA Public Assistance through the State of Rhode Island. Expenditures are reflected in the Schedule of Expenditures of Federal Awards (SEFA) in the year in which a project application is obligated. The SEFA thus includes $135,837 of expenditures incurred in fiscal years 2020 through 2023, which were obligated in 2025. Included in this amount is managerial costs for prior fiscal years of the pandemic 2020 through 2024 in the amount of $9,882 for the Providence Center.