Notes to SEFA
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Cuyuna Regional Medical Center and Subsidiaries (the Center) under programs of the federal government for the year ended March 31, 2026. The information in the 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 Center, it is not intended to, and does not, present the financial position, changes in net assets, or cash flows of the Center.
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.
The Center uses the de minimis indirect cost rate allowed under the Uniform Guidance.
In May 2025, the Center was awarded federal funds in the form of a loan guarantee not to exceed $25,000,000 by the United States Department of Agriculture, Business and Industry (USDA B&I) Loans and Grants, Assistance Listings Number 10.768. The USDA B&I loan guarantee enabled Deerwood Bank to increase its lending capacity, allowing CRMC to access financing while preserving additional borrowing availability for future financing needs. At March 31, 2026, the outstanding loan balance is approximately $24,531,542.
During the year ended March 31, 2026, the Center did not receive significant donated personal protective equipment from federal sources.