Audit 45050

Accounting Policies: Note 1 Basis of PresentationThe accompanying schedules of expenditures of federal awards and state financial assistance (the Schedules) include the federal and state grant activity of Urban League of Essex County (the Organization) under programs of the federal and state governments, respectively, for the year ended December 31, 2022. The information in these Schedules 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 New Jersey Department of the Treasury Circular Letter 15-08 OMB, Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid. Because the Schedules present only a selected portion of the operations of the Organization, they are not intended to and do not present the financial position, changes in net assets or cash flows of the Organization.Note 2 Basis of AccountingExpenditures reported on the schedules of expenditures of federal awards and state financial assistance are on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity identifying numbers are presented where available.Note 3 Indirect Cost RateThe Organization has not elected to use the 10-percent de-minimis indirect cost rate allowed under the Uniform Guidance.Note 4 Major ProgramsMajor programs are identified in the Summary of Auditors Results section of the Schedules of Findings and Questioned Costs. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.