Notes to SEFA
The information in this schedule is presented in accordance with the requirements 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 Signal Centers, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Signal Centers, Inc..
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.
Signal Centers, Inc. has elected to use the indirect cost allocation method approved by the Tennessee Department of Human Services, its cognizant agency, based on modified direct program expenses. This modification excludes any subrecipients of grant funding as a direct expense since those agencies are allowed an indirect cost in their award. This method is applied to all programs unless indirect costs are prohibited.This rate was used on the Child Care Development Block Grant