The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal awards activities of Christian Military Academy, Inc. (the Academy) under programs of the federal government for the year ended December 31, 2025. The information in this Schedule is presented in accordance with the 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). Because the Schedule presents only a selected portion of the operations of Christian Military Academy, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Christian Military Academy, Inc.
Expenditures reported in 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 allowed or are limited as to reimbursement. Negative amounts shown in the Schedule, if any, represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Additional policies are the following: (a) The financial transactions are recorded by the Academy in accordance with the terms and conditions of the grants, which are consistent with accounting principles generally accepted in the United States of America. (b) Expenditures are recognized in the accounting period in which the liability is incurred.
The Assistance Listing numbers included in the Schedule were obtained from the grant agreements and the Assistance Listings published on SAM.gov. The Assistance Listing number is a program identification number, whose first two digits identify the federal department or agency that administers the program, and the last three digits are assigned by numerical sequence.
Major programs are identified in the Summary of Auditor’s Results section of the Schedule of Findings and Questioned Costs.
2 CFR 200.1 defines a cluster of programs as a grouping of closely related programs that share common compliance requirements. Accordingly, the Head Start Cluster and the Child Nutrition Cluster, as identified in the OMB Compliance Supplement, are presented as clusters in the Schedule.
The dollar threshold used to distinguish between Type A and Type B programs was $1,000,000.
In-kind contributions and matching costs represent the non-federal share of certain program costs and, therefore, are not included in the accompanying Schedule.
The Academy does not have a federally negotiated indirect cost rate and has elected not to use the 15 percent de minimis indirect cost rate allowed under 2 CFR 200.414 of the Uniform Guidance.
During prior fiscal years, the Academy incurred costs related to different PWs under the Federal Emergency Management Agency (FEMA) Public Assistance program (CFDA #97.036). These costs were incurred for the disaster recovery efforts, and lease in response to Hurricane María. On the other hand, during 2025 the Academy was approved to receive funds under the Community Development Block Grant - Disaster Recovery (CDBG-DR) program (CFDA #14.228). These CDBG-DR funds were awarded to reimburse the 10% matching costs required under the FEMA Public Assistance program for the same project. The total amount of CDBG-DR funds received to reimburse these matching costs during 2025 amounted to $5,327, and this amount is reported in the SEFA for the current fiscal year.
The accompanying Schedule of Expenditures of Federal Awards includes noncash assistance consisting of USDA-donated commodities with a fair value of $8,315 received and consumed during the year, as reported by the Puerto Rico Department of Education, School Food Authority. The amount reported represents the fair value of commodities used in the program. Any remaining balance of commodities on hand at year-end is not included as federal expenditures.