Notes to SEFA
Title: Note 1.- Basis of Presentation
Accounting Policies: Expenditures reported in the Schedule are recognized under 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, wherein certain typed of expenditures are not allowable or are limited as to reimbursement. The System allocates indirect cost to each program based on the amount specified in the budget for each program. The System has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The System did not pass through any federal award amounts to subrecipients during 2022.
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 federal award activity of Miami Children's Health System, Inc. d/b/a Nicklaus Children's Health System and Subsidiaries (the System) under programs of the federal government for the year ended 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). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the System's consolidated financial statements. Because the Schedule presents only a selected portion of the operations of the System, it is not intended to and does not present the financial position, changes in net assets or cash flows of the System.
Title: Note 3.- Provider Relief Fund
Accounting Policies: Expenditures reported in the Schedule are recognized under 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, wherein certain typed of expenditures are not allowable or are limited as to reimbursement. The System allocates indirect cost to each program based on the amount specified in the budget for each program. The System has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. The System did not pass through any federal award amounts to subrecipients during 2022.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The System received amounts from the U.S. Department of Health and Human Services (HHS) through the Provider Relief Fund and American Rescue Plan (ARP) Rural Distribution (PRF) program (Assistance Listing 93.498) during the years ended December 31, 2022 and 2021. The System recognized PRF revenue of approximately $586,000 and $2,663,000 for the years ended December 31, 2022 and 2021, respectively, in the financial statements. In accordance with the 2022 Compliance Supplement, $2,662,865 of funding was included in the schedule of expenditures of federal awards for the year ended December 31, 2022.