Notes to SEFA
The accompanying schedule of expenditures of federal awards (the Schedule) summarizes the expenditures of Southern Research Institute (the Organization) under direct contracts and subcontracts of the federal government for the year ended January 2, 2026. Because the Schedule presents only a selcted portion of the operations of the Organization, it is not intended to and does not present the financial position, results of operations, changes in net position and cash flows of the Organization.
For purposes of the Schedule, federal awards include all grants, contracts and similar agreements entered into directly between the Organization, the agencies and departments of the federal government and all subawards to the Organization by nonfederal organizations pusuant to federal grants, contracts and similar arrangements. The information in the Schedule is presented in accordance with the provisions 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 Organization has obtained Federal Assistance Listing (FAL) numbers to ensure that all programs have been appropriately identified in the Schedule. FAL numbers for applicable programs have been appropriately listed by those programs. Certain contracts and grants are not assigned FAL numbers and, therefore, FAL numbers are not listed by these programs. Pass-through identifying numbers are provided on the Schedule where they are available and prime award numbers are provided where pass-through identifying numbers were not available.
For purposes of the Schedule, expenditures for federal awards are recognized on the accrual basis of accounting.
The Organization did not elect to charge the de minimis rate for all federal awards.