Notes to SEFA
The accompanying Schedule of Expenditures of Federal and State of New Jersey Awards (the Schedule) includes the federal and state grant activity of Inspira Health Network, Inc. (the Network) under programs of the federal and State of New Jersey governments for the year ended December 31, 2025. 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) and the State of New Jersey, Department of Treasury, Office of Management and Budget Circular 25-12, Single Audit Policy for Recipient of Federal Grants, State Grants and State Aid (NJOMB 25-12). Because the Schedule presents only a selected portion of the operations of the Network, it is not intended to and does not present the consolidated financial position, changes in net assets or cash flows of the Network. Federally funded amounts that are passed through State of New Jersey agencies are reported as federal awards. Expenditure amounts are classified based on information provided by the pass-through agencies at the time of preparation of the Schedule. Allocations between federal and State of New Jersey funding sources are subject to revision for each program each fiscal year.
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 and NJOMB 25-12, wherein certain types of expenditures are not allowed or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.
The Network has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The Network also received $2,730,833 in Coronavirus State and Local Fiscal Recovery Funds (CSLFRF) for the year ended December 31, 2025. The purpose of the SCLFRF was to provide the Network funding to acquire Salem Medical Center. See Note 1 in the accompanying consolidated financial statements.