Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certaintypes 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) includes the federalgrant activity of Choptank Community Health System, Inc. under programs of the federal government for theyear ended December 31, 2022. The information in this Schedule is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Becausethe Schedule presents only a selected portion of the operations of Choptank Community Health System,Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows ofChoptank Community Health System, Inc.
Title: Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certaintypes 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 amount of total federal expenditures reported on the Schedule for Assistance Listing #93.498represent allowable expenditures and/or lost revenue, as defined under this grant program, that wereincurred during the period January 1, 2020 to December 31, 2022 for grant awards received during theperiods of January 1, 2021 to June 30, 2021 and July 1, 2021 to December 31, 2021. These expenditureswere reported on the provider relief fund reports for the periods ended June 30, 2022 and December 31,2022, respectively.