Notes to SEFA
The accompanying schedule of expenditures of federal awards (SEFA) for the year ended December 31, 2025 includes the federal grant activity that Fairfield Medical Center & Subsidiaries, (collectively the “Organization”) received and is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with 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”). Therefore, some of the amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the consolidated financial statements.
Expenditures reported on the SEFA 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. The Organization has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The Organization did not pass through any federal awards to subrecipients.
The 2025 SEFA includes $8,979,953 of expenditures recognized in prior fiscal years related to the Organization’s disaster response to the COVID-19 pandemic. Federal Emergency Management Agency (FEMA) funds are reported on the SEFA in the year they are obligated by FEMA. Obligation for the $8,979,953 occurred in 2025.