Notes to SEFA
The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the Federal award activity of Pacific Institute for Research and Evaluation and Affiliates (the Institute) under programs of the Federal Government for the year ended December 31, 2025. Information in the 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). The Schedule presents only a selected portion of the operations of the Institute; accordingly, it is not intended to and does not present the consolidated financial position, changes in net assets or cash flows of the Institute.
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. 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. The Institute has elected not to use the 15-percent de minimis indirect cost rate as allowed under Uniform Guidance. Instead, the Institute uses a negotiated indirect cost rate agreement (NICRA) which was approved by the U.S. Department of Health and Human Services on February 4, 2025. The NICRA includes final indirect rates for the year ended December 31, 2023, and provisional indirect rates for the Institute's use through the year ending December 31, 2026.
Some of the Institute's Federal awards provide for both the recovery of allowable costs plus a fee above and beyond the allowable costs. Therefore, the total of Federal expenditures reported in the Schedule does not agree to the amount of support from Federal awards reported in the Consolidated Statement of Activities. The following table reconciles the expenditures in the Schedule to total support from Federal awards for the year ended December 31, 2025: Schedule of Expenditures of Federal Awards $ 9,804,542 Additional support from Federal awards in excess of expenditures 431,745 TOTAL SUPPORT FROM FEDERAL AWARDS $ 10,236,287