Title: PURPOSE OF THE SCHEDULE
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
The accompanying Schedule of Expenditures of Federal Awards (Schedule) is presented for purposes of additional analyses as required by Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, and is not a required part of the financial statements.
Title: SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
A summary of the Organization’s significant accounting policies and related information is provided below to assist the reader in interpreting the information presented in the Schedule.
Title: BASIS OF PRESENTATION
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
Basis of Presentation – The information in the accompanying Schedule is presented under the accrual basis of accounting in accordance with the requirements of the Uniform Guidance. As the Schedule presents only a selected portion of the operations of the Organization, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Organization.
Title: FEDERAL FINANCIAL ASSISTANCE
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
Federal Financial Assistance – According to the Single Audit Act and Amendments and the Uniform Guidance, federal financial assistance is defined as assistance that non-federal organizations receive or administer in the form of grants, loans, loan guarantees, property (including donated surplus property), cooperative agreements, interest subsidies, insurance, food commodities, direct appropriations, and other assistance. The Organization received federal financial assistance for supportive services for housing and employment and training.
Title: ASSISTANCE LISTING
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
Assistance Listing (AL) – The Schedule presents total expenditures for each federal financial assistance program as identified in the AL. The catalog is a compendium of federal programs, projects, services, and activities administered by departments and establishments of the federal government. Programs included in the catalog are assigned a five-digit program identification number (AL number). The first two digits of the AL number designate the federal agency and the latter three digits designate the federal assistance program within the federal agency.
Title: MAJOR PROGRAMS
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
Major Programs – The Single Audit Act and Uniform Guidance established a risk-based approach for defining major federal financial assistance programs. The Organization had multiple federal funding sources, one of which has been designated as a major program for the fiscal year that ended June 30, 2023. That program was AL Number 64.033, the Veterans Administration’s Supportive Services for Veteran Families Program.
Title: FUNCTIONAL ALLOCATION OF EXPENSES
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
Functional Allocation of Expenses – Directly identifiable expenses are charged to specific programs and support services. Expenses related to more than one program or function are charged based on time and relative cost. Management and general expenses are those that are not directly identifiable with any specific function but provide for the overall support and direction of the Organization. Accordingly, certain costs have been allocated to program and support services, as illustrated in the statement of functional expenses.
Title: INDIRECT COST RATE
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
Indirect cost rate – VMC elected to not use the Federally allowed 10% de minimis indirect cost rate of overhead to recover allowable indirect costs to its programs.
Title: PASS-THROUGH FEDERAL FINANCIAL ASSISTANCE
Accounting Policies: See notes under the Form tab.
De Minimis Rate Used: N
Rate Explanation: The auditee elected to not use the federally allowed 10% de minimis indirect cost rate.
Pass-through Federal Financial Assistance – The Organization received federal financial assistance indirectly from pass-through entities. A pass-through entity is defined as a non-federal entity that provides federal assistance to a sub-recipient. The pass-through entities are the City of Philadelphia’s Office of Homeless Services, and the Commonwealth of Pennsylvania’s Department of Military and Veterans Affairs.