Audit 390473

The accompanying Schedule of Expenditures of Federal Awards, (the “Schedule”), includes the federal award activity of Area Cooperative Educational Services under programs of the federal government for the year ended June 30, 2025. 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 operations of Area Cooperative Educational Services, it is not intended to and does not present the financial position, changes in net position or cash flows of Area Cooperative Educational Services.

Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance and/or OMB Circular A-87, Cost Principles for State, Local, and Indian Tribal Governments wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available. ACES has an indirect cost rate approved by the State of Connecticut Department of Education as follows:  Restricted rate 16.03%  Unrestricted rate 13.04% The State of Connecticut Department of Education determines the rate to be applied to each program.