Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: The accompanying schedule of expenditures of federal awards is prepared using the accrual method of accounting.
De Minimis Rate Used: N
Rate Explanation: The indirect cost rate was 0%.
This schedule relates only to the federal awards administered by the Maryland University of Integrative Health (the University). It should be read in conjunction with the Maryland University of Integrative Health and Subsidiaries (collectively, the Organizations) consolidated financial statements and the notes thereto. The program is subject to the accounting policies and procedures of the Organizations, which conform to the accounting principles generally accepted in the United States of America.
The federal awards are received from the United States Department of Education. Revenue is recognized when meeting the legal and contractual requirements of the funding source.
Expenditures of grant funds are to be made for the purpose specified by the grantor and are subject to audit by the grantor.
Title: BASIS OF ACCOUNTING
Accounting Policies: The accompanying schedule of expenditures of federal awards is prepared using the accrual method of accounting.
De Minimis Rate Used: N
Rate Explanation: The indirect cost rate was 0%.
The accompanying schedule of expenditures of federal awards is prepared using the accrual method of accounting.
Title: RELATIONSHIP TO FINANCIAL STATEMENTS
Accounting Policies: The accompanying schedule of expenditures of federal awards is prepared using the accrual method of accounting.
De Minimis Rate Used: N
Rate Explanation: The indirect cost rate was 0%.
The accompanying consolidated financial statements include the activities of the wholly owned subsidiaries of the University which include TAI Funding, LLC, Maryland University of Integrative Health Foundation, Inc., and Private Practices of the Natural Care Center, LLC. All material intra-entity transactions have been eliminated. All federal funding was awarded, received, and expended by the University.
The following is a reconciliation of Department of Education federal financial assistance revenue as reported in the Organizations’ consolidated financial statements to the schedule of expenditures of federal awards:
Total tuition revenue as reported in the
consolidated financial statements $ 10,197,993
Nonfederal tuition revenue (4,853,011)
5,344,982
Student living expense reimbursement 4,103,932
Total Student Financial Assistance $ 9,448,914
Title: STUDENT FINANCIAL ASSISTANCE
Accounting Policies: The accompanying schedule of expenditures of federal awards is prepared using the accrual method of accounting.
De Minimis Rate Used: N
Rate Explanation: The indirect cost rate was 0%.
Federal awards expended under the Federal Direct Student Loans (FDSL) program were determined based on the value of new loans made during the year. The University is responsible only for the performance of certain administrative duties with respect to the program and, accordingly, these loans are not included in the consolidated statements of financial position. It is not practical to determine the balance of loans outstanding to students and former students of the University under the program as of July 31, 2023. No interest subsidies, cash, or administrative cost allowance were received under the program.
Title: INDIRECT COST RATE
Accounting Policies: The accompanying schedule of expenditures of federal awards is prepared using the accrual method of accounting.
De Minimis Rate Used: N
Rate Explanation: The indirect cost rate was 0%.
For the year ended July 31, 2023, the Organizations did not elect to use the 10% de minimis indirect cost rate.