Title: Basis of Presentation
Accounting Policies: 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.
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 (the Schedule) is a summary of the activity of Shepherd of the Valley Lutheran Retirement Services, Inc.s federal award program for the period of availability ending December 31, 2022. The information in this 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 Shepherd of the Valley Lutheran Retirement Services, Inc., it is not intended to and does not present the financial position, result of operations, or cash flows of Shepherd of the Valley Lutheran Retirement Services, Inc.
Title: General
Accounting Policies: 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Organization:Shepherd of the Valley Lutheran Retirement Services, Inc. (the Organization) was incorporated on January 3, 1972, and provides healthcare services to elderly patients and residents throughout northeastern Ohio. The Organization operates a 79 bed skilled nursing facility in Liberty, Ohio, a 57 bed skilled nursing facility in Boardman, Ohio, an 80 bed skilled nursing facility in Howland, Ohio, and a 32 bed skilled nursing facility in Poland, Ohio. The Organization operates an 86 unit retirement community and a 66 unit assisted living facility in Poland, Ohio. The Organization operates a 30 unit residential care facility and a 60 unit assisted living / memory care facility in Liberty, Ohio. The Organization operates a 57 unit assisted living facility and a 98 unit retirement community in Howland, Ohio. The Organization also operates a home health agency.Federal funds:Federal funds were received in awards from the U.S. Department of Health and Human Services (HHS), including through federal programs established by legislation issued in response to the COVID-19 pandemic (e.g., Coronavirus Aid, Relief, and Economic Security (CARES) Act or the American Rescue Plan (ARP)).
Title: Provider Relief Fund
Accounting Policies: 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
For the HHS awards related to the Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) program, HHS has indicated the amounts on the Schedule be reported corresponding to reporting requirements of the Health Resources and Services Administration (HRSA) PRF Reporting Portal. Payments from HHS for PRF are assigned to Payment Received Periods (each, a Period) based upon the date each payment from the PRF was received. Each period has a specified Period of Availability and timing of reporting requirements. Entities report into the HRSA PRF Reporting Portal after each Periods deadline to use the funds (i.e., after the end of the Period of Availability).The Schedule includes $1,106,190 received from HHS between January 1, 2021 through December 31, 2021. In accordance with guidance from HHS, Shepherd of the Valley Lutheran Retirement Services, Inc. presented $78,148 as Period 3 and $1,028,042 as Period 4. Such amounts were recognized as revenue in Shepherd of the Valley Lutheran Retirement Services, Inc.s financial statements for the year ended December 31, 2021. Due to the PRF Reporting requirements, these amounts are not the total PRF received/or recognized as other income in the years presented in the Schedule.
Title: Estimates
Accounting Policies: 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The preparation of the Schedule in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amount in other income during the reporting period. Actual results could differ from those estimates.
Title: Subsequent Events
Accounting Policies: 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Schedule and related disclosures include evaluation of events through September 29, 2023, which is the date the Schedule was available to be issued.