Notes to SEFA
The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal grant activity of Rainbow Services, Ltd. (the “Organization”) 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 (CFR) 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 the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
Consistent with management’s policy, federal awards are recorded in government service contracts along with other government service contracts from non-federal sources. As a result, the amount of total federal awards expended on the Schedule does not agree to total government service contracts on the Statement of Activities as presented in the Organization’s audited financial statements as of and for the year ended June 30, 2025.
The Organization passes through certain federal awards to subrecipients to carry out program activities. Amounts provided to subrecipients are identified in the accompanying Schedule of Expenditures of Federal Awards, where applicable, and are reported on the same basis of accounting as the Schedule. Subrecipient expenditures represent amounts disbursed to subrecipients during the fiscal year under the respective federal programs. During the year ended June 30, 2025, $63,723 of federal awards expenditures were provided to subrecipients.