Accounting Policies: NOTE A - BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards includes the Federal grant activity of theSault Ste. Marie Tribe of Chippewa Indians, and is presented on the modified accrual basis of accounting.The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code ofFederal Regulations Part 200, Uniform Administrative Requirements, Cost Principles and AuditRequirements for Federal Awards ("Uniform Guidance"). Therefore, some amounts presented in thisschedule may differ from amounts presented in, or used in the preparation of, the basic financialstatements.NOTE B - COST REPORTSManagement has reported that expenditures in the Schedule of Expenditures of Federal Awards are equalto or derived from amounts reported in the annual or final cost reports. Unallowed differences, if any,have been disclosed to the auditor.NOTE C - PROVIDER RELIEF FUNDSThe amount reported on the Schedule of Expenditures of Federal Awards for Provider Relief Funds isbased upon the January 1, 2021 to December 31, 2021 Provider Relief Fund reporting.NOTE D - FINANCIAL REPORTSThe financial reports including claims for advances and reimbursements and amounts claimed or used formatching, are timely, complete, accurate and contain information that is supported by the books andrecords from which the basic financial statements have been prepared.NOTE E - PASS-THROUGH SUBAWARDSThe Tribe receives certain federal grants as subawards from non-federal entities. The Pass-throughNumber represents the facility's provider I.D. number. Some of these numbers were either not availableor not provided by state or local administering agencies for the program reported in the accompanyingschedule. Pass-through entities, where applicable, have been identified in the Schedule with anabbreviation, defined as follows:Pass-through AgencyAbbreviation Pass-through Agency NameCCC Commodity Credit CorporationMDE Michigan Department of EducationMDHHS Michigan Department of Health and Human ServicesMSP Michigan State PoliceSOM State of MichiganUPAAA Upper Peninsula Area Agency on AgingNOTE F - INDIAN HEALTH SERVICE ("IHS") BUYBACKS FOR PURCHASED SERVICESPurchased services are reported in the schedule at the fair value of the services rendered. The estimatedvalue of purchased services for the year ended December 31, 2022, totaled $795,355 for the IHSprograms.NOTE G - FOOD DISTRIBUTIONNon-monetary assistance is reported in the schedule at fair market value of the commodities received anddisbursed.NOTE H - RELATED PARTIESThroughout the normal course of operations, various funds of the Tribe interact with fund transfers, sales,expenses and taxes. These transactions are approved as a part of the system of internal control.Specifically, the Tribe contracts a significant portion of its construction projects provided by Federalfunds to Sault Tribe Construction, an internal service fund of the Tribe, and purchases of fixed assetsfrom Gitchi Auto, Home and Recreation. Northern Travel, an internal service fund of the Tribe, controlstravel accommodations, airfare, etc. for some programs. The Self Insurance Fund provides significantcoverages recorded as Federal grant expenditures. The Tribal Centers, Building and Equipment Fundleases space to programs.NOTE I - DE-MINIMIS INDIRECT COST RATEThe Tribe did not use the 10% de-minimis indirect cost rate under the Uniform AdministrativeRequirements.NOTE J - UNEARNED REVENUE ANALYSISSelf-GovernanceProgramUnearnedRevenue(AccountsReceivable)BeginningReceipts/Adjustments ExpendituresUnearnedRevenue(AccountsReceivable)EndingBIA - 2010 $ 4,531 $ - $ - $ 4,531BIA - 2011 37,237 - - 37,237BIA - 2012 29,411 - - 29,411BIA - 2013 30,158 - - 30,158BIA - 2014 121,271 - - 121,271BIA - 2015 32,519 - - 32,519BIA - 2016 87,553 - (28,162) 59,391BIA - 2017 123,488 - (10,731) 112,757BIA - 2018 216,074 - (177,398) 38,676BIA - 2019 427,8
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.