Notes to SEFA
Title: BASIS OF PRESENTATION
Accounting Policies: 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 Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (SEFA) includes the federal award activity of Carey Services, Inc. (the Corporation) under programs of the federal government for the year ended June 30, 2022. The information in the SEFA is presented in accordance with 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). Because the SEFA presents only a selected portion of the operations of the Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Corporation.
Title: other
Accounting Policies: 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 Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
During 2022, the Corporation did not provide any federal awards to subrecipients. In addition, there were no federal awards expended in the form of non-cash assistance and there were no loan guarantees outstanding or extended during 2022.
Title: PROVIDER RELIEF FUNDS
Accounting Policies: 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 Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Under terms and conditions of the Provider Relief Funds (PRF) under the Coronavirus Aids, Relief, andEconomic Security (CARES) Act, the Corporation is required to report COVID-19 related expenses and lostrevenue to the U.S. Department of Health and Human Services (HHS). Guidance from HHS has requiredthe reporting of the COVID-19 related expenses and lost revenue in certain reporting periods based onwhen the funds were received.During 2021, the Corporation received PRF of approximately $316,000 and recognized this amount asrevenue in its 2021 statement of activities and changes in net assets as the terms and conditions of thePRF grant were satisfied by the Corporation during 2021. HHS required these PRF amounts be reportedon the 2022 SEFA rather than the 2021 SEFA.
Title: RECONCILIATION OF FEDERAL EXPENDITURES TO FINANCIAL STATEMENTS
Accounting Policies: 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 Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The following is a reconciliation of federal expenditures to the financial statements for 2022. See chart/table in note to SEFA. The Corporation also received COVID-19 federal grant funds through the Department of Treasury under CFDA #21.019 passed through the State of Indiana Family and Social Services Administration (FSSA) for sustainability of its adult and residential services programs. FSSA classified the Corporation as a beneficiary for these grant funds rather than sub-recipient. As a beneficiary, these funds are excluded from the Corporations schedule of expenditures of federal awards.
Title: FAIR MARKET VALUE OF DONATED PERSONAL PROTECTIVE EQUIPMENT (UNAUDITED)
Accounting Policies: 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 Corporation has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
During 2022, the Corporation did not receive donated personal protective equipment from federal sources.