Audit 50783

Accounting Policies: The accompanying schedule of expenditures of federal awards presents the activity of allfederal awards programs of Health Research, Inc. (the Corporation) for the year ended March31, 2022. Federal awards received directly from federal agencies, as well as federal awardspassed through other government agencies, are included in the schedule.The information in this schedule is presented in accordance with the requirements of Title 2U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, CostPrinciples, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, someamounts presented in this schedule may differ from amounts presented in or used in thepreparation of the financial statements.The accompanying schedule of expenditures of federal awards is presented using the cashbasis of accounting used by the Corporation to report to the federal government.The amounts reported as federal expenditures generally were obtained from the appropriatefinancial records for the applicable program and period. The amounts reported in federal financialreports are prepared from these financial records, which are maintained for each program.These records are periodically reconciled to the general ledger which is the source of thefinancial statements. The Corporations financial statements are presented in accordance withgenerally accepted accounting principles.The Corporation had no federal loans or loan guarantees outstanding as of March 31, 2022. De Minimis Rate Used: N Rate Explanation: The Corporation has agreed upon indirect cost rates with the Department of Health andHuman Services through March 31, 2024, ranging from 16.90% - 68.20%. The Corporationhas elected not to use the 10% de-minimis indirect cost rate allowed under Uniform Guidance.