Notes to SEFA
The accompanying Schedule of Expenditures of Federal Awards and Schedule of State Financial Assistance Projects (the Schedules) include the federal and state grant activity of Shands Teaching Hospital and Clinics, Inc. and Subsidiaries (Shands) and are presented on the accrual basis of accounting. The information in these Schedules is presented in accordance with the requirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance); and the Rules of the State of Florida Auditor General, Chapter 10.550 Local Governmental Entity Audits and the Florida Single Audit Act. Because the Schedules present only a selected portion of the operations of Shands, they are not intended to and do not present the financial position, changes in net position, or cash flows of Shands. The purpose of the Schedules is to present a summary of those activities of Shands for the year ended June 30, 2025, which have been financed by the federal and state governments. For purposes of the Schedules, federal awards and state financial assistance include any assistance provided by a federal or state agency, directly or indirectly, in the form of grants and contracts. Direct and indirect costs are charged to awards in accordance with cost principles contained in the Department of Health and Human Services, Office of the Assistant Secretary Comptroller (OASC), OASC-3 Hospital Cost Principles (or CFR Part 45, Part 74, Appendix E) and Uniform Guidance, 2 CFR Part 200, Subpart E Cost Principles. Under these cost principles, certain types of expenditures are not allowable or are limited as to reimbursement. Shands has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.