The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of Operation A.B.L.E of Greater Boston, Inc. (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 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.
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. Pass-through entity identifying numbers are presented where available.
The Organization does not have a federally approved negotiated indirect cost rate agreement and, therefore, is subject to the de minimis indirect cost rate under the Uniform Guidance. For awards received prior to October 1, 2024, the Organization applied a 10-percent de minimis indirect cost rate. For awards received on or after October 1, 2024, the Organization has elected to apply a 15-percent de minimis indirect cost rate.
During the year ended June 30, 2025, the Organization made subawards under the Senior Community Service Employment Program (ALN 17.235). In connection with the Organization’s decision to cease operations and liquidate as of June 30, 2025, management evaluated all subrecipient arrangements to ensure compliance with the Uniform Guidance during the wind-down period. Management acknowledges that certain subrecipient monitoring procedures were not fully performed in accordance with established policies during fiscal year 2025, as noted in the Schedule of Findings and Questioned Costs (Finding 2025-02). As part of the liquidation process: - Management has reviewed all outstanding subaward transactions during the grant closeout process. - Any amounts identified as overpayments or unallowable costs have been resolved or are included in liabilities at estimated settlement amounts in the accompanying financial statements. - No additional subawards will be issued, and all remaining obligations are being closed out in accordance with federal agency requirements. The Organization continues to work with the pass-through entity and federal awarding agency to ensure proper completion of all closeout procedures related to subrecipient activity.
On June 30, 2025, the Organization’s Board of Directors approved a plan to cease operations and liquidate the Organization. Although the Organization’s basic financial statements have been prepared using the liquidation basis of accounting as a result of this decision, the Schedule continues to be presented in accordance with the requirements of the Uniform Guidance. Accordingly: - The Schedule reflects actual federal expenditures incurred in accordance with allowable cost principles of the Uniform Guidance, rather than liquidation-basis measurement. - Any expected refunds, disallowed costs, or closeout adjustments related to federal awards resulting from the wind-down process are recognized in the basic financial statements in accordance with the liquidation basis of accounting, but are not reflected in the expenditures reported on this Schedule until such amounts become actual expenditures or refunds under the Uniform Guidance. - Management has begun the required closeout procedures for all federal programs, including submitting final financial and performance reports and identifying any unspent or unallowable amounts that may be subject to refund. Management believes that all expenditures reported on the Schedule represent allowable costs incurred during the year ended June 30, 2025, and that any outstanding obligations related to federal awards will be resolved through the federal grant closeout process. Management has evaluated all grants and contracts for closeout requirements and believes no material refunds are payable as of June 30, 2025.