Notes to SEFA
Title: Note 2 - Summary of Significant Accounting Policies
Accounting Policies: NOTE 1 BASIS OF PRESENTATIONThe schedule of expenditures of federal awards (the Schedule) includes the federal grantsactivity of New Horizon Family Health Services, Inc. under programs of the federalgovernment for the year ended January 31, 2022. The information is presented inaccordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200,Uniform Administrative Requirements, Cost Principals, and Audit Requirements for FederalAwards (Uniform Guidance). Because the Schedule presents only a selected portion of theoperations of New Horizon Family Health Services, Inc., it is not intended to and does notpresent the financial position, changes in net assets, or cash flows of New Horizon FamilyHealth Services, Inc.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Expenditures reported on the Schedule are reported on the accrual basis of accounting.Such expenditures are recognized following the cost principles contained in the UniformGuidance, wherein certain types of expenditures are not allowable or are limited as toreimbursement. New Horizon Family Health Services, Inc. has elected not to use the 10%de minimus indirect cost rate as allowed under the Uniform Guidance.