Title: Basis of Presentation
Accounting Policies: For purposes of the Schedule, expenditures of federal award programs are recognized on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant
activity of Franciscan Missionaries of Our Lady Health System, Inc. and affiliated organizations
(the System) under programs of the federal government for the year ended June 30, 2023. The System’s
consolidated financial statements include the operations of Villa St. Francis, Inc., Assisi Village, Inc., Calais
House, Inc., and Chateau Louise, Inc. from July 1, 2022 to April 17, 2023, which collectively expended
$9,377,722 in federal awards, which is not included in the Schedule, because those U.S. Housing and
Urban Development (HUD) Projects listed above arranged to have separate audits performed in
accordance with the Uniform Guidance. On April 18, 2023, the System and Villa St. Francis, Inc., Assisi
Village, Inc., Calais House, Inc., and Chateau Louise, Inc. sold the property assets of Villa St. Francis, Inc.,
Assisi Village, Inc., Calais House, Inc., and Chateau Louise, Inc. to a third party. The amounts reported as
federal expenditures were obtained from the System’s general ledger. 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, results of operations, changes in net assets, and cash flows of the System.
For purposes of the Schedule, federal expenditures include all grants, contracts, and similar agreements
entered into directly between the System, the agencies and departments of the federal government, and all
subawards to the System by nonfederal organizations pursuant to federal grants, contracts, and similar
agreements. The information in the Schedule is presented in accordance with the audit 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).
Title: Provider Relief Funds (ALN 93.498)
Accounting Policies: For purposes of the Schedule, expenditures of federal award programs are recognized on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
As required by the granting agency, the Provider Relief Fund (PRF) amounts presented in the Schedule
represent lost revenues and expenses as reported to the U.S. Department of Health and Human Services
for the PRF Portal Reporting time periods of January 1, 2023 to March 31, 2023 and July 1, 2023 to
September 30, 2023.
Title: Federal Direct Student Loans (ALN 84.268)
Accounting Policies: For purposes of the Schedule, expenditures of federal award programs are recognized on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The System’s Federal Direct Student Loans (Direct Loans) included in the Schedule represent loans
received by students during fiscal year 2023, which were not made by the System. The System is
responsible only for the performance of certain administrative duties with respect to its Direct Loans
Program, and accordingly, these loans are not included in its consolidated financial statements. The
System is not required to maintain the balance of the loans outstanding to students and former students of
the System under these programs. Such balances are maintained and administered by the lenders and
guarantors of these loans.During the year ended June 30, 2023, the System advanced the following amounts of new loans under the
Direct Loan Program: See the notes to the SEFA for the chart/table
Title: Relationship to Consolidated Financial Statements
Accounting Policies: For purposes of the Schedule, expenditures of federal award programs are recognized on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Federal expenditures are reported in the System’s 2023 consolidated financial statements as follows: See the notes to the SEFA for the chart/table
Title: Expenditures of Federal Awards to Subrecipients
Accounting Policies: For purposes of the Schedule, expenditures of federal award programs are recognized on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The System has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The System did not pass through any expenditures of federal awards to subrecipients during 2023.