UNIVERSITY SYSTEM OF NEW HAMPSHIRE

Transcription

1 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Independent Auditors Reports 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 Government Auditing Standards and Related Information Year ended June 30, 2016

2 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Independent Auditors Reports 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 Government Auditing Standards and Related Information Year ended June 30, 2016 Table of Contents Financial Statements and Supplementary Schedule of Expenditures of Federal Awards: Page Independent Auditors Report 1 Management s Discussion & Analysis (Unaudited) 3 Financial Statements and Related Notes 12 Supplementary Schedule of Expenditures of Federal Awards and Related Notes 28 Reports on Compliance and Internal Control: Independent Auditors Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 46 Independent Auditors Report on Compliance for Major Program and Report on Internal Control Over Compliance Required by the Uniform Guidance 48 Schedule of Findings and Questioned Costs 50

3 KPMG LLP Two Financial Center 60 South Street Boston, MA Independent Auditors Report The Governor and Legislative Fiscal Committee, State of New Hampshire; and the Board of Trustees, University System of New Hampshire: Report on the Financial Statements We have audited the accompanying statements of net position of the University System of New Hampshire (the System), a component unit of the State of New Hampshire, as of June 30, 2016 and 2015, the related statements of revenues, expenses, and changes in net position and cash flows for the years then ended, and the related notes to the financial statements, which collectively comprise the System s basic financial statements. Management s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with U.S. generally accepted accounting principles; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditors Responsibility Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditors judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. KPMG LLP is a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity.

4 Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the net position of the University System of New Hampshire as of June 30, 2016 and 2015, and the changes in its net position and its cash flows for the years then ended in accordance with U.S. generally accepted accounting principles. Other Matter Required Supplementary Information U.S. generally accepted accounting principles require that the management s discussion and analysis on pages 3-11 and the schedule of funding progress on page 27 be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Other Matter Supplementary Information Our audit was conducted for the purpose of forming an opinion on the financial statements as a whole. The accompanying supplementary schedule of expenditures of federal awards is presented for purposes of additional analysis, 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. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the supplementary schedule of expenditures of federal awards is fairly stated, in all material respects, in relation to the financial statements as a whole. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated October 20, 2016 on our consideration of the System s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the System s internal control over financial reporting and compliance. October 20, 2016, except as to the supplementary schedule of expenditures of federal awards, which is as of February 28,

5 Management s Discussion and Analysis June 30, 2016 and 2015 (Unaudited) I. Introduction III. Financial Highlights A. Revenues II. Economic Outlook 3

6 4

7 B. Operating and Capital Expenditures 5

8 6 C. Investing Activities

9 IV. Using the Financial Statements A. Statements of Net Position 7

10 8

11 B. Statements of Revenues, Expenses and Changes in Net Position 9

12 C. Statements of Cash Flows 10

13 D. Financial Indicators 11

14 UNIVERSITY SYSTEM OF NEW HAMPSHIRE 12

15 UNIVERSITY SYSTEM OF NEW HAMPSHIRE 13

16 UNIVERSITY SYSTEM OF NEW HAMPSHIRE 14

17 Notes to the Financial Statements June 30, 2016 and Summary of significant accounting policies and presentation Affiliated entities and related parties Basis of accounting 15

18 New reporting standard 2. Cash, cash equivalents, and short-term investments 16

19 3. Accounts, pledges and notes receivable 4. Investments 17

20 18

21 19

22 5. Property and equipment 6. Accrued employee benefits 20

23 7. Postretirement medical benefits 21

24 8. Long-term debt New Hampshire Health and Education Facilities Authority (NHHEFA) Bonds Capital leases State of NH general obligation bonds 22

25 Maturity of long-term debt obligations 9. Derivative instruments interest rate swaps Risk Disclosure 23

26 Swap Cash Flows 10. Pass-through grants 11. Endowment return used for operations 24

27 12. Operating expenses by function 13. Commitments and contingencies 25

28 14. Net position 15. Component units 26

29 16. Subsequent events 27

30 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Research and Development Cluster: Department of Agriculture Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct 10.Contract Other Department of Agriculture Programs $ 9,171 Direct 10.Unknown Other Department of Agriculture Programs 303,155 Direct Agricultural Research_Basic and Applied Research 81,097 NH Department of Agriculture Specialty Crop Block Grant Program - Farm Bill 1,460 NH Department of Agriculture Specialty Crop Block Grant Program - Farm Bill 11,986 NH Department of Agriculture Specialty Crop Block Grant Program - Farm Bill 7,538 Total Specialty Crop Block Grant Program - Farm Bill 20,984 Auburn University 15ACES379834UNH Grants for Agricultural Research Special Research Grants 4,008 5,418 University of Maryland 15061Z Grants for Agricultural Research Special Research Grants 44,135 University of Maryland 29079Z Grants for Agricultural Research Special Research Grants 53,411 University of Maryland Z Grants for Agricultural Research Special Research Grants 22,674 31,411 Total Grants for Agricultural Research Special Research Grants 26, ,375 Direct Grants for Agricultural Research Competitive Research 2,548,486 Direct Animal Health and Disease Research 6,708 Pemaquid Mussel Farms Small Business Innovation Research 44,191 Univ Of Massachusetts Amherst B Sustainable Agriculture Research and Education 355 University of Vermont GNE Sustainable Agriculture Research and Education 1,761 University of Vermont GNE Sustainable Agriculture Research and Education 8,933 University of Vermont GNE Sustainable Agriculture Research and Education 11,405 University of Vermont LNE Sustainable Agriculture Research and Education 52,135 University of Vermont LNE Sustainable Agriculture Research and Education 38,098 60,186 University of Vermont LNE Sustainable Agriculture Research and Education ,932 University of Vermont LNE Sustainable Agriculture Research and Education 52,328 University of Vermont ONE Sustainable Agriculture Research and Education 1,283 University of Vermont SNE Sustainable Agriculture Research and Education 19,179 University of Vermont SNE Sustainable Agriculture Research and Education 27,212 Total Sustainable Agriculture Research and Education 38, ,709 Direct Consumer Data and Nutrition Research 34,207 Direct Integrated Programs 58,579 Cornell University Homeland Security_Agricultural 25,929 Direct Organic Agriculture Research and Extension Initiative (B) 221, ,368 Michigan State University RC104285J Specialty Crop Research Initiative 4,633 Michigan State University RC104622E Specialty Crop Research Initiative 12,747 Total Specialty Crop Research Initiative 17,380 Direct Agriculture and Food Research Initiative (AFRI) 193, ,109 Pennsylvania State University 4662UNHUM Agriculture and Food Research Initiative (AFRI) 2,183 Princeton University Agriculture and Food Research Initiative (AFRI) 8,510 University of Colorado Agriculture and Food Research Initiative (AFRI) 140,281 University of Minnesota H Agriculture and Food Research Initiative (AFRI) 62,481 University of Vermont 28062SUB Agriculture and Food Research Initiative (AFRI) 6,935 University of Vermont 28976SUB Agriculture and Food Research Initiative (AFRI) 5,020 Virginia Polytechnic Institute and State University Agriculture and Food Research Initiative (AFRI) 28,235 Total Agriculture and Food Research Initiative (AFRI) 193,667 1,051, (Continued)

31 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures University of Minnesota H Farm Business Management and Benchmarking Competitive $ Grants Program 1,788 Crop Protection and Pest Managment Competitive Grants Cornell University Program 6,906 Crop Protection and Pest Managment Competitive Grants University of Maine UMS Program 2,267 Total Crop Protection and Pest Management Competitive Grants Program Competitive Grants Program 9,173 Direct Rural Business Development Grant 9,030 Direct Foreign Agricultural Market Development and Promotion 47,921 Direct Forestry Research 167, ,130 Innovative Natural Resource Solutions INRSUNH Forestry Research 6,646 Total Forestry Research 167, ,776 NH Department of Resources & Economic Development (DRED) Cooperative Forestry Assistance 2,607 Direct Forest Health Protection (A,B) 69,974 Norman E. Borlaug International Agricultural Science and Direct Technology Fellowship 17,664 Direct Soil and Water Conservation 50,419 Rutgers University Environmental Quality Incentives Program 4,775 Department of Agriculture Total 648,636 5,770,220 Department of Commerce Direct 11.Unknown Other Department of Commerce Programs 32,290 University Of New England 11.Unknown Other Department of Commerce Programs 11,838 University of Puerto Rico Unknown Other Department of Commerce Programs (483) University of Puerto Rico Unknown Other Department of Commerce Programs 30,039 Total Other Department of Commerce Programs 73,684 Direct Integrated Ocean Observing System (IOOS) 43,247 91,847 NERACOOS A Integrated Ocean Observing System (IOOS) 57, ,309 NERACOOS A Integrated Ocean Observing System (IOOS) 40,045 Total Integrated Ocean Observing System (IOOS) 100, ,201 Direct Geodetic Surveys and Services (Geodesy and Applications of 21,642 10,691,339 Direct Sea Grant Support 44,011 1,227,986 University of Connecticut Sea Grant Support 24,203 Total Sea Grant Support 44,011 1,252,189 Direct Coastal Zone Management Administration Awards 1,394,276 1,860,322 Nature Conservancy Coastal Zone Management Administration Awards 4,495 NH Department of Environmental Services Coastal Zone Management Administration Awards 32,934 NH Department of Environmental Services Coastal Zone Management Administration Awards 64,576 University of Florida UFDSP Coastal Zone Management Administration Awards 28,018 Total Coastal Zone Management Administration Awards 1,394,276 1,990, (Continued)

32 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Fisheries Development and Utilization Research and $ Direct Development Grants and Cooperative Agreements Program 126,318 Fisheries Development and Utilization Research and Gulf of Maine Research Institute 10ATLCOD14UNH Development Grants and Cooperative Agreements Program 25,705 Fisheries Development and Utilization Research and Gulf of Maine Research Institute 10-SKOBT-15 UNH Development Grants and Cooperative Agreements Program 5,345 Fisheries Development and Utilization Research and Virginia Polytechnic Institute and State University Development Grants and Cooperative Agreements Program 61,203 Total Fisheries Development and Utilization Research and Development Grants and Cooperative Agreements Program 218,571 Direct Climate and Atmospheric Research 44,687 National Fish & Wildlife Foundation Unallied Management Projects 55,550 Direct Habitat Conservation 421,639 Direct Unallied Science Program 10,841 Univ Of Massachusetts Amherst A Unallied Science Program 8,795 Total Unallied Science Program 19,636 Industrial Economics Inc 5700UNH Coastal Services Center 197,065 NOAA Programs for Disaster Relief Appropriations Act - Direct Non-construction and Construction 237,614 NOAA Programs for Disaster Relief Appropriations Act - NERACOOS A Non-construction and Construction 4,990 NOAA Programs for Disaster Relief Appropriations Act - University of California at San Diego PO# S SUB# Non-construction and Construction 16,571 Total NOAA Programs for Disaster Relief Appropriations Act - Non-construction and Construction 259,175 Direct Measurement and Engineering Research and Standards 154,167 University of Massachusetts at Lowell S Measurement and Engineering Research and Standards 24,500 Total Measurement and Engineering Research and Standards 178,667 Direct Science, Technology, Business and/or Education Outreach 6,570 Department of Commerce Total 1,560,837 15,971,318 Department of Defense Direct 12.Contract Other Department of Defense Programs 274, ,201 Direct 12.Contract Other Department of Defense Programs 26, ,786 Aurora Flight Sciences AFS Contract Other Department of Defense Programs 19,452 General Dynamics Information Technology Inc 2014DSDSC Contract Other Department of Defense Programs 692 Massachusetts Institute of Technology Contract Other Department of Defense Programs 15,735 Massachusetts Institute of Technology Contract Other Department of Defense Programs 58,112 Tighe & Bond, Inc. Unknown 12.Contract Other Department of Defense Programs 28,371 University of Georgia RR Contract Other Department of Defense Programs 25,951 University of Massachusetts A00 12.Contract Other Department of Defense Programs 168,836 University of Michigan Contract Other Department of Defense Programs 46,532 Academy of Applied Science SGS151562DRKEVINCULLIGAN 12.Unknown Other Department of Defense Programs 2,500 Total Other Department of Defense Programs 301,258 1,593, (Continued)

33 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct Basic and Applied Scientific Research $ 238,679 Direct Basic Scientific Research 127,830 Direct Air Force Defense Research Sciences Program 88, ,180 Direct Mathematical Sciences Grants Program 17,339 Basic, Applied, and Advanced Research in Science and Academy of Applied Science Unknown Engineering 18,139 Boston College Air Force Defense Research Sciences Program 21,150 Systems & Technology Research Research and Technology Development 85,496 Department of Defense Total 389,578 2,412,981 Department of the Interior Woods Hole Group Inc Unknown 15.Contract Other Department of Interior Programs 127 Wildlife Management Institute Unknown 15.Unknown Other Department of Interior Programs 4,877 Total Other Department of Interior Programs 5,004 Direct Marine Minerals Activities - Hurricane Sandy 14, ,672 NH Department of Fish & Game Wildlife Restoration 8,133 NH Department of Fish & Game Wildlife Restoration 235,518 Total Wildlife Restoration 243,651 NH Department of Fish & Game Unknown Cooperative Endangered Species Conservation Fund 9,458 NH Department of Fish & Game State Wildlife Grants 10,924 NH Department of Fish & Game State Wildlife Grants 9,050 NH Department of Fish & Game Unknown State Wildlife Grants 27,839 Oklahoma Department of Wildlife Conservation State Wildlife Grants 12,659 Total State Wildlife Grants 60,472 Direct Research Grants (Generic) 21,669 Visitor Facility Enhancements - Vehicle Pullouts, Interpretive Direct Trails, and Kiosks 12,800 NH Department of Fish & Game Migratory Bird Monitoring, Assessment and Conservation 20,169 Endangered Species Conservation: Recovery Implementation Direct Funds 66,024 National Fish & Wildlife Foundation National Fish and Wildlife Foundation 586 Direct Hurricane Sandy Disaster Relief Activities-FWS 34,032 University of Maine UMS Hurricane Sandy Disaster Relief Activities-FWS 77,639 Total Hurricane Sandy Disaster Relief Activities-FWS 111,671 Direct Assistance to State Water Resources Research Institutes 70, ,668 Direct Earthquake Hazards Research Grants 14,892 Direct Geological Survey Research and Data Acquisition 194,494 AmericaView Inc AV13NH Natl Land Remote Sensing - Education Outreach & Research 28,197 Cooperative Research & Training Programs-Resources of the Northern Arizona University NAUBU National Park System 2,500 Department of the Interior Total 84,940 1,178, (Continued)

34 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Department of Justice Department of Labor Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct Juvenile Justice and Delinquency Prevention Allocation to $ 119,811 Westat 8845S Missing Children"s Assistance 84,210 Direct Justice Research Development and Evaluation Project 89, ,679 National Children's Advocacy Center 2015-R2-CX Justice Research Development and Evaluation Project 21,458 University of Illinois INTF3030HH4W Justice Research Development and Evaluation Project 2,320 Total Justice Research Development and Evaluation Project 89, ,457 Direct Reduction and Prevention of Children's Exposure to Violence 63,019 Department of Justice Total 89, ,497 Employment and Training Administration Pilots, NH Department of Employment Security Demonstrations, and Research Projects (B) 59,758 Department of Labor Total 59,758 Department of Transportation Direct 20.Contract Other Department of Transportation Programs 45, ,088 Alvin J Coleman & Son Inc Unknown 20.Contract Other Department of Transportation Programs 1,931 RS Audley Incorporated Unknown 20.Contract Other Department of Transportation Programs 57,936 University of Vermont UNH PROJ 2 20.Unknown Other Department of Transportation Programs 27,002 Department of Transportation Agency Total 45, ,957 National Aeronautics and Space Administration Direct 43.Contract Other National Aeronautics and Space Administration Programs 141, ,471 Applied GeoSolutions LLC Unknown 43.Contract Other National Aeronautics and Space Administration Programs 51,933 Assurance Technology Corp Contract Other National Aeronautics and Space Administration Programs 442,234 California Institute of Technology 44A Contract Other National Aeronautics and Space Administration Programs 98,296 Incom Inc Contract Other National Aeronautics and Space Administration Programs 26,555 Johns Hopkins University Q 43.Contract Other National Aeronautics and Space Administration Programs 124,747 Johns Hopkins University Contract Other National Aeronautics and Space Administration Programs 2,252,917 3,205,852 Millennium Engineering & Integration Co NNA10DF16B 43.Contract Other National Aeronautics and Space Administration Programs 36,543 Physical Sciences, Inc. SC Contract Other National Aeronautics and Space Administration Programs 79,669 Predictive Science Inc UNH Contract Other National Aeronautics and Space Administration Programs 39,101 Southwest Research Institute (SwRI) 1415FC Contract Other National Aeronautics and Space Administration Programs 25,409 Southwest Research Institute (SwRI) Q 43.Contract Other National Aeronautics and Space Administration Programs 1,659,077 3,242,780 Southwest Research Institute (SwRI) Q 43.Contract Other National Aeronautics and Space Administration Programs 669,887 Southwest Research Institute (SwRI) A99200MO 43.Contract Other National Aeronautics and Space Administration Programs 399,907 Southwest Research Institute (SwRI) D99032L 43.Contract Other National Aeronautics and Space Administration Programs 319,960 Southwest Research Institute (SwRI) F99054DRC 43.Contract Other National Aeronautics and Space Administration Programs 10,367 University of California at Berkeley (UCB) SA Contract Other National Aeronautics and Space Administration Programs 121,253 University of California at Santa Barbara KK Contract Other National Aeronautics and Space Administration Programs 21,253 University of Iowa Contract Other National Aeronautics and Space Administration Programs 829,799 Direct 43.Unknown Other National Aeronautics and Space Administration Programs 1,232,140 5,284,832 Harvard-Smithsonian Center for Astrophysics DD A 43.Unknown Other National Aeronautics and Space Administration Programs 4,330 Total Other National Aeronautics and Space Administration Programs 5,285,719 15,803, (Continued)

35 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct Aerospace Education Services Program $ 302,014 2,087,664 Dartmouth College 1458R Aerospace Education Services Program 118,018 Florida Atlantic University XR-K Aerospace Education Services Program 7,019 Florida Institute of Technology B Aerospace Education Services Program 7,118 Georgia Institute of Technology RE513G Aerospace Education Services Program 25,636 Georgia Institute of Technology RG213G Aerospace Education Services Program 26,076 Harvard-Smithsonian Center for Astrophysics GO516087X Aerospace Education Services Program 31,769 Harvard-Smithsonian Center for Astrophysics GO X Aerospace Education Services Program 936 Princeton University SUB Aerospace Education Services Program 27,760 Rutgers University Aerospace Education Services Program 98,013 University of Alabama Aerospace Education Services Program 16,374 University of Alaska UAF Aerospace Education Services Program 26,008 University of Colorado Aerospace Education Services Program 6,339 Total Aerospace Education Services Program 302,014 2,478,730 Direct Education 101, ,976 Direct Cross Agency Support 56,257 National Aeronautics and Space Administration Total 5,689,087 18,557,141 National Foundation on the Arts and the Humanities Direct Promotion of the Humanities Division of Preservation and 10,776 Direct Promotion of the Humanities Fellowships and Stipends 78,417 National Foundation on the Arts and the Humanities Total 89,193 National Science Foundation Applied GeoSolutions LLC Unknown 47.Contract Other National Science Foundation Programs 24,824 Mt. Holyoke College 01GD Contract Other National Science Foundation Programs 33,394 Direct 47.Unknown Other National Science Foundation Programs 415,126 Woods Hole Research Center Inc WHRCMG Unknown Other National Science Foundation Programs 8,318 Total Other National Science Foundation Programs 481,662 Direct Engineering Grants 258,524 1,817,671 City University of New York 40E48D Engineering Grants 23,707 netblazr Engineering Grants 36,392 Total Engineering Grants 258,524 1,877,770 Direct Mathematical and Physical Sciences 66, ,188 Direct Geosciences 1,395,419 4,411,055 Dartmouth College Geosciences 132,296 Florida Institute of Technology P Geosciences 7,370 Marine Biological Laboratory Geosciences 72,679 Michigan State University RC100767UNH Geosciences 1,677 University Corporation for Atmospheric Research (Colorado) Z Geosciences 19,999 Total Geosciences 1,395,419 4,645,076 Direct Computer and Information Science and Engineering 255,087 St Anselm College Computer and Information Science and Engineering 40,951 Total Computer and Information Science and Engineering 296, (Continued)

36 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct Biological Sciences $ 184,660 2,442,249 Cary Institute of Ecosystem Studies Biological Sciences 70,045 Cornell University Biological Sciences 78,089 Harvard University Biological Sciences 28,116 University of California, Santa Cruz A000338S003P Biological Sciences 28,939 University of North Carolina Biological Sciences 2,972 University of Puerto Rico Biological Sciences 52,258 Total Biological Sciences 184,660 2,702,668 Direct Social Behavioral and Economic Sciences 346, ,762 Direct Education and Human Resources 36,100 1,599,968 Columbia University 1GG Education and Human Resources 24,488 Total Education and Human Resources 36,100 1,624,456 Direct Polar Programs 41, ,914 Direct Office of International and Integrative Activities 107,931 2,053,040 Michigan Technological Univ Z6 P Office of International and Integrative Activities 24,775 Total Office of International and Integrative Activities 107,931 2,077,815 Direct Office of Cyberinfrastructure 127,381 University of Tennessee A120848S Office of Cyberinfrastructure (1,117) Total Office of Cyberinfrastructure 126,264 Office of Experimental Program to Stimulate Competitive Direct Research 664,665 4,954,079 Direct Trans-NSF Recovery Act Research Support 10,064 National Science Foundation Total 3,101,993 20,613,949 Environmental Protection Agency Department of Energy Direct 66.Contract Other Environmental Protection Agency Programs 27,245 University of Colorado Contract Other Environmental Protection Agency Programs 246,438 Total Other Environmental Protection Agency Programs 273,683 Surveys, Studies, Investigations, Demonstrations, and Training Grants and Cooperative Agreements - Section 104(b)(3) of Florida International University SUB# , AMD # the Clean Water Act 29,045 Direct National Estuary Program 9, ,962 University of Southern Maine National Estuary Program 27,645 University of Southern Maine National Estuary Program 3,729 Total National Estuary Program 9, ,336 Direct Science To Achieve Results (STAR) Research Program 182,078 Direct Greater Research Opportunities Fellowship Program (B) 11,030 Direct Pollution Prevention Grants Program 19,813 Environmental Protection Agency Total 9,597 1,207,985 Direct 81.Contract Other Department of Energy Programs 68,286 Iowa State University A 81.Contract Other Department of Energy Programs 60,196 Total Other Department of Energy Programs 128, (Continued)

37 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct Basic Energy Sciences University and Science Education $ 72,461 1,062,268 Pennsylvania State University 4954UNHSU105B Basic Energy Sciences University and Science Education 50,748 University of Arizona Basic Energy Sciences University and Science Education 145,963 University of Colorado Basic Energy Sciences University and Science Education 12,761 University of Maryland Z Basic Energy Sciences University and Science Education 16,138 University of Wisconsin 455K Basic Energy Sciences University and Science Education 90,864 Total Basic Energy Sciences University and Science Education 72,461 1,378,742 University Of Utah UNH Nuclear Energy Research, Development and Demonstration 55,440 Massachusetts Institute of Technology Geologic Sequestration Training and Research Grant Program 70,298 Department of Energy Total 72,461 1,632,962 Department of Education Kessler Foundation Inc National Institute on Disability and Rehabilitation 113,090 University of Alabama National Institute on Disability and Rehabilitation 920 University of Alabama National Institute on Disability and Rehabilitation 9,905 Direct National Institute on Disability and Rehabilitation (343,726) (476,123) Total National Institute on Disability and Rehabilitation (343,726) (352,208) University of Vermont 29338SUB Education Research, Development and Dissemination 65, ,523 NH Department of Education 035FY Special Education - State Personnel Development 106,536 Special Education_Technical Assistance and Dissemination to Univ Kansas Ctr Research Inc Unknown Improve Services and Results for Children with Disabilities 462,116 Easter Seals New Hampshire Inc Unknown Special Education - Grants for Infants and Families 158 Direct State Grants for Assistive Technology (16,151) Department of Education Total (278,677) 474,974 Department of Health & Human Services Hospital Preparedness Program (HPP) & Public Health Emergency Preparedness (PHEP) Aligned Cooperative NH Department of Health & Human Services Agreements 8,709 Direct Biological Response to Environmental Health Hazards 8, ,791 Direct Injury Prevention and Control Research and State Grants 504,113 Direct Disabilities Prevention 120,947 Direct Mental Health Research Grants 312,366 Substance Abuse and Mental Health Services - Projects of Direct Regional & National Significance 78,897 Direct Occupational Safety and Health Program 76,028 University of Delaware Alcohol Research Programs 25,183 Discovery and Applied Research for Technological Innovations Direct to Improve Human Health (1,073) Emory University T Trans-NIH Research Support 166,374 Dartmouth College 1229 & National Center for Research Resources 89 Dartmouth College 1263 & National Center for Research Resources (3,636) Dartmouth College National Center for Research Resources 10,780 Total National Center for Research Resources 7, (Continued)

38 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct Cancer Biology Research $ 48,803 ACL National Institute on Disability, Independent Living, and Direct Rehabilitation Research 974,554 2,025,492 ACL National Institute on Disability, Independent Living, and Univ Kansas Ctr Research Inc FY Rehabilitation Research 84,081 Total ACL National Institute on Disability, Independent Living, and Rehabilitation Research 974,554 2,109,573 Direct ACL Assistive Technology 589,699 Direct Social Services Research and Demonstration 110,997 Xemed LLC 2R44HL UNH Lung Diseases Research 9,728 Brigham and Women's Hospital Blood Diseases and Resources Research 257,882 Direct Biomedical Research and Research Training 19, ,827 Dartmouth College DARTMOUTH SUB# Biomedical Research and Research Training 111,521 Dartmouth College DARTMOUTH SUB#R Biomedical Research and Research Training 68,197 Dartmouth College R Biomedical Research and Research Training 89,779 Dartmouth College R Biomedical Research and Research Training 300,645 Dartmouth College R Biomedical Research and Research Training 63,402 Dartmouth College R Biomedical Research and Research Training 63,037 Dartmouth College R Biomedical Research and Research Training 228,593 Dartmouth College R Biomedical Research and Research Training 82,172 Dartmouth College SUB# Biomedical Research and Research Training (963) Dartmouth College SUB# Biomedical Research and Research Training 581 Dartmouth College SUB# Biomedical Research and Research Training (6,966) Dartmouth College SUB#R Biomedical Research and Research Training 129,944 Dartmouth College USB# Biomedical Research and Research Training 170 Indiana University Biomedical Research and Research Training 220,141 Total Biomedical Research and Research Training 19,690 1,613,080 Direct Child Health and Human Development Extramural Research 289, ,611 Center for Innovative Public Health Research 1R01HD Child Health and Human Development Extramural Research 12,074 Total Child Health and Human Development Extramural Research 289, ,685 Direct Aging Research 46,876 Direct Vision Research 261,263 Department of Health & Human Services Total 1,291,958 6,803,154 Total Research and Development Cluster 12,705,298 75,385,823 Other awards: Department of Agriculture: SNAP Cluster Child Nutrition Cluster State Administrative Matching Grants for the Supplemental NH Department of Health & Human Services Nutrition Assistance Program 412,739 State Administrative Matching Grants for the Supplemental NH Department of Health & Human Services Nutrition Assistance Program 605,866 Department of Agriculture SNAP Cluster Total 1,018,605 NH Department of Education Unknown Summer Food Service Program for Children 16,688 Department of Agriculture Child Nutrition Cluster Total 16, (Continued)

39 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Department of the Interior: Fish and Wildlife Cluster Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Nature Conservancy NHUNHUSFWS Fish and Wildlife Management Assistance $ 431 NH Department of Fish & Game State Wildlife Grants 19,690 41,825 Natl Wildlife Federation National Fish and Wildlife Foundation 115,541 Department of the Interior Fish and Wildlife Cluster Total 19, ,797 Department of Transportation: Highway Planning and Construction Cluster NH Department of Environmental Services Highway Planning and Construction 25,763 NH Department of Transportation A Highway Planning and Construction 28,086 NH Department of Transportation B Highway Planning and Construction 26,690 NH Department of Transportation Highway Planning and Construction 212,430 NH Department of Transportation Highway Planning and Construction 47,596 NH Department of Transportation Highway Planning and Construction 48,713 NH Department of Transportation Highway Planning and Construction 45,669 57,779 NH Department of Transportation Highway Planning and Construction 23,984 NH Department of Transportation Highway Planning and Construction 151,519 NH Department of Transportation G&C Highway Planning and Construction 100,785 Texas A&M Transportation Institute 12S Highway Planning and Construction 64,367 Department of Transportation Highway Planning and Construction Cluster Total 45, ,712 Federal Transit Cluster: Direct 20.Unknown Other Department of Transportation Programs 89,880 Direct Federal Transit Capital and Operating Assistance Formula 127,314 Federal Transit Cluster Total 217,194 Highway Safety Cluster NH Department of Safety State and Community Highway Safety 9,874 NH Department of Safety State and Community Highway Safety 10,228 NH Department of Safety Unknown State and Community Highway Safety 5,699 NH Highway Safety Agency 30815S State and Community Highway Safety 35,280 Highway Safety Cluster Total 61,081 Department of Education: Special Education (IDEA) Cluster NH Department of Education Special Education Grants to States 14,930 NH Department of Education Unknown Special Education Grants to States 10,386 Special Education (IDEA) Cluster Total 25,316 Student Financial Aid Cluster: TRIO Cluster Direct Federal Supplemental Educational Opportunity Grants 2,775,569 Direct Federal Work-Study Program 2,455,538 Direct Federal Perkins Loan Program 27,811,332 Direct Federal Pell Grant Program 25,566,814 Direct Federal Direct Student Loans 181,891,421 Student Financial Aid Cluster Total 240,500,674 Direct TRIO Student Support Services 881,488 Direct TRIO Talent Search 535,780 Direct TRIO Upward Bound 936,809 Direct McNair Post-Baccalaureate Achievement 292,627 TRIO Cluster Total 2,646, (Continued)

40 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Department of Health & Human Services: Child Care Development Fund (CCDF) Cluster Medicaid Cluster NH Department of Health & Human Services Unknown Child Care and Development Block Grant $ 282,359 Department of Health and Human Services CCDF Cluster Total 282,359 NH Department of Health & Human Services Medical Assistance Program 1,039,816 NH Department of Health & Human Services Medical Assistance Program 1,024,599 NH Department of Health & Human Services Medical Assistance Program 270,679 State of Tennessee Medical Assistance Program 57,084 Department of Health and Human Services Medicaid Cluster Total 2,392,178 Department of Agriculture Direct 10.Unknown Other Department of Agriculture Programs 1,289 Belknap EDC Unknown 10.Unknown Other Department of Agriculture Programs 40,136 Total Other Department of Agriculture Programs 41,425 Direct Plant and Animal Disease Pest Control and Animal Care 42,276 Direct Wetlands Reserve Program 3,913 NH Department of Agriculture Specialty Crop Block Grant Program - Farm Bill 7,040 Agricultural and Rural Economic Research, Cooperative Direct Agreements and Collaborations 22,866 Direct Integrated Programs 148,080 Direct Crop Insurance Education in Targeted States 61,758 Direct Risk Management Education Partnerships 119,286 Direct Cooperative Extension Service 2,278,898 Clemson University Cooperative Extension Service 12,488 Kansas State University S Cooperative Extension Service 3,984 Kansas State University S Cooperative Extension Service 21,760 Kansas State University S Cooperative Extension Service 8,025 Purdue University Cooperative Extension Service 257,864 University of Delaware Cooperative Extension Service 4,097 University of Illinois Cooperative Extension Service 35, ,493 Total Cooperative Extension Service 35,354 2,687,609 Direct Cooperative Forestry Assistance 48,948 Merrimack River Watershed Council Unknown Cooperative Forestry Assistance 16,499 NH Department of Resources & Economic Development (DRED) Unknown Cooperative Forestry Assistance 241,662 Vermont Natural Resources Council Unknown Cooperative Forestry Assistance 12,007 Total Cooperative Forestry Assistance 319,116 Direct Forest Stewardship Program (B) 53,691 Direct Distance Learning and Medical Link Grants 17,292 Direct Environmental Quality Incentives Program (8,866) Department of Agriculture Total 35,354 3,515,486 Department of Commerce Direct 11.Contract Other Department of Commerce Programs 52,145 Earth Resources Technology Inc 3081SUB38 11.Contract Other Department of Commerce Programs 30,742 Total Other Department of Commerce Programs 82, (Continued)

41 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Nature Conservancy NHUNHNHDES Coastal Zone Management Administration Awards $ 23,501 Nature Conservancy NHUNHNHDESOC Coastal Zone Management Administration Awards 14,740 NH Department of Environmental Services Coastal Zone Management Administration Awards 41 NH Department of Environmental Services Coastal Zone Management Administration Awards 72,600 NH Department of Environmental Services Coastal Zone Management Administration Awards 42,351 NH Department of Environmental Services Coastal Zone Management Administration Awards 2,574 NH Department of Environmental Services Coastal Zone Management Administration Awards 8,067 NH Department of Environmental Services Coastal Zone Management Administration Awards 12,499 NH Department of Environmental Services Coastal Zone Management Administration Awards 22,887 NH Department of Environmental Services Coastal Zone Management Administration Awards 22,000 NH Department of Environmental Services Coastal Zone Management Administration Awards 173 NH Department of Environmental Services Coastal Zone Management Administration Awards 47,666 Total Coastal Zone Management Administration Awards 269,099 Direct Coastal Zone Management Estuarine Research Reserves 126,091 NE Fishery Management Council PGRM Regional Fishery Management Councils 455, ,562 Department of Commerce Total 455,738 1,092,639 Department of Defense General Dynamics Information Technology Inc 07ESM Contract Other Department of Defense Programs 107,009 General Dynamics Information Technology Inc 2014DSDSC Contract Other Department of Defense Programs 92,152 Total Other Department of Defense Programs 199,161 Direct Language Grant Program 79,332 Department of Defense Total 278,493 Department of Housing and Urban Development Grafton County Economic Development Council Unknown 14.Contract Other Housing and Urban Development Department Programs 18,000 Community Development Block Grants/State's program and County of Cheshire Unknown Non-Entitlement Grants in Hawaii 107,462 Community Development Block Grants/State's program and Grafton County Economic Development Council Non-Entitlement Grants in Hawaii 677 Total Community Development Block Grants/State's program and Non-Entitlement Grants in Hawaii 108,139 Community Development Block Grants/Brownfields Economic Direct Development Initiative Non-Discrimination in Federally Assisted Programs (On the Grafton County 14405CDMC Basis of Race, Color, or National Origin) 90 Department of Housing and Urban Development Total 126,229 Department of the Interior University of Rhode Island Hurricane Sandy Disaster Relief - Coastal Resiliency Grants. 15,346 NH Department of Fish & Game Wildlife Restoration 1, ,344 Cooperative Research & Training Programs-Resources of the Direct National Park System 34,353 Department of the Interior Total 1, , (Continued)

42 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Department of Justice Department of Labor Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct 16.Unknown Other Department of Justice Programs $ 37,490 NH Department of Justice (Attorney General) Criminal Justice Statistics Development 1,679 New Hampshire Coalition Against Domestic Violence Unknown Crime Victim Assistance 51,842 NH Department of Justice (Attorney General) 2015W052/2014-WF-AX Violence Against Women Formula Grants 4,921 New Hampshire Coalition Against Domestic Violence Unknown Grants to Encourage Arrest Policies 1,388 National 4-H Council Unknown Juvenile Mentoring Program 20,618 Department of Justice Total 117,938 Trade Adjustment Assistance Community College and Career Manchester Community College HT3TACT Training (TAACCCT) Grants 94,138 Direct Consultation Agreements 436,112 Department of Labor Total 530,250 Worker Training and Placement in High Growth and Emerging ARRA Awards LIUNA Training & Education Fund Unknown Industry ARRA 4,591 Department of State Department of Labor ARRA Total 4,591 Department of Labor Total 534,841 IREX Unknown Academic Exchange Programs - Undergraduate Programs 11,570 Department of State Total 11,570 Department of Transportation Direct 20.Unknown Other Department of Transportation Programs 108,144 NH Department of Transportation Highway Training and Education 17,635 Department of Transportation Total 125,779 National Aeronautics and Space Administration Direct 43.Unknown Other National Aeronautics and Space Administration Programs 12,580 Manufacturing Technical Solutions Inc MTSUNH Unknown Other National Aeronautics and Space Administration Programs 5,851 Total Other National Aeronautics and Space Administration Programs 18,431 University Corporation for Atmospheric Research (Colorado) Z Aerospace Education Services Program 78,509 Elizabeth City State University Unknown Education 1,053 National Aeronautics and Space Administration Total 97,993 National Foundation on the Arts and the Humanities New England Foundation for the Arts Promotion of the Arts_Partnership Agreements 2,755 New England Foundation for the Arts Promotion of the Arts_Partnership Agreements 1,140 Total Promotion of the Arts_Partnership Agreements 3,895 NH Humanities Council # Promotion of the Humanities Federal-State Partnership 9,764 Direct Promotion of the Humanities_Professional Development 9,958 Direct National Leadership Grants 157,008 National Foundation on the Arts and the Humanities Total 180,625 Small Business Administration Direct Small Business Development Centers 624,751 Small Business Administration Total 624, (Continued)

43 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Department of Veterans Affairs Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Direct 64.Contract Other Department of Veterans Affairs $ 8,019 VA Assistance to United States Paralympic Integrated Adaptive Direct Sports Program 324,077 Department of Veterans Affairs Total 332,096 Environmental Protection Agency NH Department of Environmental Services Unknown Other Environmental Protection Agency Programs 5,863 Direct Healthy Communities Grant Program 2,173 NH Department of Environmental Services Nonpoint Source Implementation Grants 2,870 NH Department of Environmental Services Nonpoint Source Implementation Grants 6 Total Nonpoint Source Implementation Grants 2,876 NH Department of Environmental Services Performance Partnership Grants 56,228 Environmental Protection Agency Total 67,140 Department of Energy: ARRA Awards NH Governor, Office of Energy and Planning DE-EE State Energy Conservation 138,480 Department of Energy Total 138,480 Department of Education NH Department of Education G&C # Unknown Other Department of Education Programs 66, ,682 University of Connecticut Unknown Other Department of Education Programs 94,334 Total Other Department of Education Programs 66, ,016 CCSNH Unknown Career and Technical Education -- Basic Grants to States 12,571 Direct State Grants for Assistive Technology (49,192) NH Department of Education Special Education - State Personnel Development 34,181 NH Department of Education APPROVED G&C Special Education - State Personnel Development 20,254 Total Special Education - State Personnel Development 54,435 Special Education_Personnel Preparation to Improve Services Direct and Results for Children with Disabilities 279,463 Direct English Language Acquisition State Grants 323,096 Hopkinton School District Unknown Mathematics and Science Partnerships 3,012 University of California at Berkeley (UCB) 02-NH01-SEED2016 FED GRNT Improving Teacher Quality State Grants 1,000 University of California at Berkeley (UCB) AMEND3B 02-NH01-SEED Improving Teacher Quality State Grants 15,307 Total Improving Teacher Quality State Grants 16,307 Department of Education Total 66, ,708 National Archives and Records Administration Direct National Historical Publications and Records Grants 2,700 14,772 National Archives and Records Administration Total 2,700 14,772 Northern Border Regional Commission Direct Northern Border Regional Development 79,594 Northern Border Regional Commission Total 79, (Continued)

44 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures Department of Health & Human Services Community Health Institute Unknown 93.Contract Other Department of Health and Human Services Programs $ 7,803 Health Research Inc Contract Other Department of Health and Human Services Programs 6,284 JSI Research & Training Institute Inc Contract Other Department of Health and Human Services Programs 2,850 Natl Assn of Health Data Organizations Unknown 93.Contract Other Department of Health and Human Services Programs 20,165 Foundation for Healthy Communities Unknown 93.Unknown Other Department of Health and Human Services Programs 3,499 NH Department of Information Technology Unknown Other Department of Health and Human Services Programs 73,344 Total Other Department of Health and Human Services Programs 113,945 NH Department of Health & Human Services G&C APPROVAL Environmental Public Health and Emergency Response 3,126 Direct Maternal and Child Health Federal Consolidated Programs 106, ,620 Assn of University Centers on Disabilities Unknown Maternal and Child Health Federal Consolidated Programs 3,347 Dartmouth College Maternal and Child Health Federal Consolidated Programs 2,111 Dartmouth College 1615R Maternal and Child Health Federal Consolidated Programs 595,470 Parent Information Center Unknown Maternal and Child Health Federal Consolidated Programs 138,180 Total Maternal and Child Health Federal Consolidated Programs 106,679 1,502,728 Direct Mental Health Planning and Demonstration Projects 15,000 28,364 New Hampshire Coalition Against Domestic Violence Unknown Injury Prevention and Control Research and State Grants 10,949 Direct Disabilities Prevention 35, ,979 University of South Carolina FB Disabilities Prevention 1,824 Total Disabilities Prevention 35, ,803 Substance Abuse and Mental Health Services - Projects of Dept of Health and Human Services, State of New York G02HP Regional & National Significance 120, ,869 Substance Abuse and Mental Health Services - Projects of Dept of Health and Human Services, State of New York G02HP Regional & National Significance 323,235 Substance Abuse and Mental Health Services - Projects of NH Department of Health & Human Services Regional & National Significance 7,500 13,756 Substance Abuse and Mental Health Services - Projects of NH Department of Health & Human Services Regional & National Significance 158,165 Total Substance Abuse and Mental Health Services - Projects of Regional & National Significance 127, ,025 Centers for Disease Control and Prevention_Investigations and NH Department of Health & Human Services Technical Assistance 56,603 Affordable Care Act (ACA) Maternal, Infant, and Early Childhood NH Department of Health & Human Services Home Visiting Program 177,777 Affordable Care Act (ACA) Grants to States for Health Insurance New Hampshire Department of Insurance A Premium Review 149,921 NH Department of Health & Human Services Affordable Care Act: Aging and Disability Resource Center 185,123 New Hampshire Coalition Against Domestic Violence Unknown Family Preservation and Support Services 22,098 SC Developmental Disabilities Developmental Disabilities Basic Support and Advocacy 10,007 Direct Developmental Disabilities University Affiliated Programs 3, ,022 ACA-Transforming Clinical Practice Initiative: Practice Maine Quality Counts IC Transformation Networks (PTNs) 23, , (Continued)

45 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Supplementary Schedule of Expenditures of Federal Awards Year Ended June 30, 2016 Amount Passed Total Direct Award or Pass through Through to Federal Federal Grantor/Cluster Title Pass through Grantor entity Identifying Number CFDA No. Program Title Subrecipients Expenditures NH Department of Health & Human Services G&C ##78 6/18/ Child Welfare Services State Grants $ 1,438 NH Department of Health & Human Services G&C #78, 6/14/14, YR3 FUNDING Child Welfare Services State Grants 97,715 Total Child Welfare Services State Grants 99,153 State University of New York Child Welfare Services Training Grants 57,556 State University of New York Child Welfare Services Training Grants 78,218 Total Child Welfare Services Training Grants 135,774 NH Department of Health & Human Services Foster Care Title IV-E 695,107 NH Department of Health & Human Services Foster Care Title IV-E 144,249 NH Department of Health & Human Services Unknown Foster Care Title IV-E 815,535 Total Foster Care Title IV-E 1,654,891 NH Department of Health & Human Services Unknown State Public Health Actions to Prevent and Control Diabetes, Heart Disease, Obesity and Associated Risk Factors and Promote School Health financed in part by Prevention and Public Health Funding (PPHF) 28,203 State Public Health Actions to Prevent and Control Diabetes, NH Department of Health & Human Services U58DP Heart Disease, Obesity and Associated Risk Factors and Promote School Health financed in part by Prevention and Public Health Funding (PPHF) 96,260 Total State Public Health Actions to Prevent and Control Diabetes, Heart Disease, Obesity and Associated Risk Factors and Promote School Health financed in part by Prevention and Public Health Funding (PPHF) 124,463 NH Department of Health & Human Services Money Follows the Person Rebalancing Demonstration 258,756 NH Department of Health & Human Services Maternal and Child Health Services Block Grant to the 137,878 Department of Health and Human Services Total 311,197 6,502,416 Department of Homeland Security Direct Cooperating Technical Partners 44, ,641 NH Department of Safety Unknown State and Local Homeland Security Training Program (77) NH Department of Safety AWARD LTR Emergency Management Performance Grants 3,000 NH Governor, Office of Energy and Planning Cooperating Technical Partners 16,505 NH Governor, Office of Energy and Planning PO Cooperating Technical Partners 12,308 Total Cooperating Technical Partners 28,813 NH Department of Safety Unknown Homeland Security Grant Program (A) 189,380 Department of Homeland Security Total 44, ,757 Total Other Awards 983, ,400,658 Total Expenditures of Federal Awards $ 13,689, ,786,481 See accompanying notes to supplementary schedule of expenditures of federal awards 43

46 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Notes to Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 (1) Basis of Presentation The accompanying supplementary schedule of expenditures of federal awards (the Schedule) summarizes the expenditures of the University System of New Hampshire (USNH), which includes the University of New Hampshire (UNH), Plymouth State University (PSU), Keene State College (KSC), and Granite State College (GSC) under programs funded by the federal government for the year ended June 30, 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 (the Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the University, it is not intended to and does not present the consolidated financial position, changes in net assets or cash flows of the University. For purposes of the Schedule, federal awards include all grants, contracts and similar agreements entered into directly between the University and agencies and departments of the federal government and all subawards to the University by nonfederal organizations pursuant to federal grants, contracts and similar agreements. The Schedule also denotes awards passed through from the University to other nonfederal organizations. (2) Significant Accounting Policies Expenditures for federal award programs are recognized as incurred using the accrual method of accounting and the cost accounting principles promulgated under applicable federal circulars. Under those cost principles, certain types of expenditures are not allowable or are limited as to reimbursement and, accordingly, are not reflected as expenditures in the accompanying Schedules. Expenditures also include a portion of costs associated with general operating activities of the respective institutions which are allocated to awards under negotiated formulas commonly referred to as facilities and administrative cost rates (note 3). (3) Facilities and Administrative Costs UNH negotiated facilities and administrative cost rates in fiscal year 2010 with its cognizant agency, the U.S. Department of Health and Human Services (DHHS). The predetermined base rate applied to modified total direct costs for on campus research at UNH is 47.5%, effective July 1, 2014 until amended. Other rates for UNH facilities and administrative cost recovery range from 26.0% to 53.5% of modified total direct costs. The on campus facilities and administrative cost rate in place for PSU is 60.0% of direct salaries and wages from July 1, 2013 until amended. The on campus facilities and administrative cost rate in place for KSC is 60.0% of direct salaries and wages from July 1, 2013 until amended. The on campus facilities and administrative cost rate in place for GSC is 58.0% of direct salaries and wages from July 1, 2013 until amended. 44 (Continued)

47 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Notes to Supplementary Schedule of Expenditures of Federal Awards Year ended June 30, 2016 (4) Federal Perkins Loan Program (CFDA ) The Perkins Loan Program listed below is administered directly by USNH, and balances and transactions relating to this program are included in USNH s financial statements. Loan activities and balances consist of the following: Payments Balance as of Loans and Balance as July 1, 2015 issued adjustments of June 30, 2016 $ 23,932,582 3,517,337 (4,314,587) 23,133,832 The University recovered an administrative cost allowance from the Perkins Loan Program of $361,413 for the year ended June 30, As required by the Uniform Guidance, the amount shown on the Schedule as expenditures for the Perkins Loan Program is equal to the sum of this administrative cost allowance, balance outstanding at July 1, 2015, and the loans issued during the year ended June 30, There were no new federal capital contributions to the Perkins Loan Program during the year ended June 30, (5) Federal Direct Student Loans (CFDA ) Federally guaranteed loans issued to USNH students through the Federal Direct Loan Program (FDL), includes Direct Subsidized and Unsubsidized Stafford Loans, and Direct Parent Loans for Undergraduate Students (PLUS Loans). These distributions and the related funding sources are not included in the System s financial statements. Amounts distributed for the FDL program during the year ended June 30, 2016 are summarized as follows: Stafford Loans: UNH $ 77,253,894 PSU 27,946,099 KSC 20,689,860 GSC 9,561,416 Total Stafford Loans 135,451,269 Plus Loans: UNH 29,721,065 PSU 7,992,705 KSC 8,688,885 GSC 37,497 Total Plus Loans 46,440,152 Total Federal Direct Student Loans $ 181,891,421 45

48 KPMG LLP Two Financial Center 60 South Street Boston, MA Independent Auditors Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards The Governor and Legislative Fiscal Committee, State of New Hampshire; and the Board of Trustees, University System of New Hampshire: We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the University System of New Hampshire (the System), a component unit of the State of New Hampshire, which comprise the statement of net position as of June 30, 2016, the related statements of revenues, expenses and changes in net position and cash flows for the year then ended, and the related notes to the financial statements, and have issued our report thereon dated October 20, Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the System s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the System s internal control. Accordingly, we do not express an opinion on the effectiveness of the System s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified. 46 KPMG LLP is a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity.

49 Compliance and Other Matters As part of obtaining reasonable assurance about whether System s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of This Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the System s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the System s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. October 20,

50 KPMG LLP Two Financial Center 60 South Street Boston, MA Independent Auditors Report on Compliance for Major Federal Program and Report on Internal Control Over Compliance Required by the Uniform Guidance The Governor and Legislative Fiscal Committee, State of New Hampshire; and the Board of Trustees, University System of New Hampshire: Report on Compliance for Major Federal Program We have audited the University System of New Hampshire s (the System s) compliance with the types of compliance requirements described in the OMB Compliance Supplement that could have a direct and material effect on the System s major federal program for the year ended June 30, The System s major federal program is identified in the summary of auditors results section of the accompanying schedule of findings and questioned costs. Management s Responsibility Management is responsible for compliance with federal statutes, regulations, and the terms and conditions of its federal awards applicable to its federal programs. Auditors Responsibility Our responsibility is to express an opinion on compliance for the System s major federal program based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and 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). Those standards and the Uniform Guidance require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the System s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion on compliance for the System s major federal program. However, our audit does not provide a legal determination of the System s compliance. Opinion on Major Federal Program In our opinion, the System complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on its major federal program for the year ended June 30, KPMG LLP is a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ( KPMG International ), a Swiss entity.

51 Other Matter The results of our auditing procedures disclosed an instance of noncompliance, which is required to be reported in accordance with the Uniform Guidance and which is described in the accompanying schedule of findings and questioned costs as item Our opinion on the System s major federal program is not modified with respect to this matter. The System s response to the noncompliance finding identified in our audit is described in the accompanying schedule of findings and questioned costs. The System s response was not subjected to the auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response. Report on Internal Control Over Compliance Management of the System is responsible for establishing and maintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and performing our audit of compliance, we considered the System s internal control over compliance with the types of requirements that could have a direct and material effect on the System s major federal program to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for the major federal program and to test and report on internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the System s internal control over compliance. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that were not identified. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, we identified a deficiency in internal control over compliance, described in the accompanying schedule of findings and questioned costs as item , that we consider to be a significant deficiency. The System s response to the internal control over compliance finding identified in our audit is described in the accompanying schedule of findings and questioned costs. The System s response was not subjected to the auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on the response. The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of the Uniform Guidance. Accordingly, this report is not suitable for any other purpose. February 28,

52 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Schedule of Findings and Questioned Costs Year ended June 30, 2016 (1) Summary of Auditors Results Financial Statements Type of auditors report issued on whether the financial statements were prepared in accordance with U.S. generally accepted accounting principles: Unmodified Internal control deficiencies over financial reporting disclosed by the audit of the financial statements: Material weaknesses: yes X no Significant deficiencies: yes X none reported Noncompliance material to the financial statements noted? yes X no Federal Awards Internal control deficiencies over major program disclosed by the audit: Material weaknesses: yes X no Significant deficiencies: X yes none reported Type of auditors report issued on compliance for major programs: Unmodified Any audit findings disclosed that are required to be reported in accordance with 2 CFR (a): X yes no Research and Development Cluster Identification of major program CFDA numbers Various Dollar threshold used to distinguish between type A and type B programs: $3,000,000 Auditee qualified as low-risk auditee? x yes no (2) Findings Relating to the Financial Statements Reported in Accordance with Government Auditing Standards None. 50 (Continued)

53 UNIVERSITY SYSTEM OF NEW HAMPSHIRE Schedule of Findings and Questioned Costs Year ended June 30, 2016 (3) Findings and Questioned Costs Relating to Federal Awards Reference Number : Grantor: National Science Foundation Program: Research and Development Cluster CFDA Number and Title: Award Year: 2/1/2016-1/31/2017 Criteria Suspension and Debarment Biological Sciences According to 2CFR , when a federal award recipient enters into a covered transaction with another person or entity at the next lower tier, the recipient must verify that the person or entity with whom the recipient intends to do business is not excluded or disqualified. The recipient may do this by: (1) checking System for Award Management (SAM) exclusions; (2) collecting a certification from the person or entity with whom the recipient intends to do business; or (3) adding a clause or condition to the covered transaction with that person or entity. Finding KPMG selected nine transactions for testing. For one transaction, the System verified that the vendor was not suspended or debarred; however, the verification occurred three months after the date of the transaction. Questioned Costs None. Statistically Valid Sample The sample was not intended to be, and was not, a statistically valid sample. Repeat Finding This was not a finding in the prior year. Recommendation We recommend the System review its policies and procedures to ensure all suspension and debarment activities occur prior to making a purchase on a federal award. Management s Views and Corrective Action Plan The University agrees with the finding. The procurement policy regarding vendor suspension/ debarment checking was reviewed, and a revised policy was put in place on September 28, The revision requires that Purchasing employees check for vendor suspension/debarment on all covered transactions as defined by 2CFR For USNH, these are primarily original requisitions and change orders for purchases utilizing federal funds when the item cost is expected to be greater than or equal to $25,000, whether in a single transaction or a series of smaller transactions. Note that as required in the original policy, if a vendor is found to be suspended or disbarred the purchase or contract is not approved, and the department must choose an alternate vendor. In addition, the date of the review is recorded in the purchasing system in all cases. 51

54 December 31, 2016 KPMG LLP Two Financial Center 60 South Center Boston, MA Re: Status of FY15 A133 Audit Findings Below is a summary of the current status of our FY15 A133 Audit findings. Finding 001 Enrollment Reporting: The University of New Hampshire Registrar s Office continues to use the National Student Clearinghouse recommended withdrawal date reporting process for retroactive withdrawals approved by UNH s Academic Standards and Advising Committee, as outlined in the FY15 Independent Auditors Reports. This manual process updates all retroactive withdrawals directly in National Student Clearinghouse data. After implementation of the manual process, instances occurred where the National Student Clearinghouse would over-write UNH manual updates. However, recent UNH updates have not been over-written. PSU has worked with the National Student Loan Clearinghouse to modify the reporting of withdrawals between spring and fall semesters. In particular, we will be reporting withdrawn students during the summer, rather than the fall term, thus ensuring that we report withdrawals within the required 60 day window. Finding 002 Verification: PSU created and continues to run a report that identifies documentation marked as received in Banner, but not yet scanned into the document imaging system to identify missing documentation. Finding 003 Disbursement: The University of New Hampshire s Business Services Office continues to send required federal loan disbursement notifications to both student and parent borrowers via . As outlined in the FY15 Independent Auditors Reports, UNH continues to archive notification lists for both students and parents. KPMG representatives verbally confirmed that UNH s archive solutions satisfactorily meets the 34 CFR (a)(2) requirements. Finding 004 Pell Reporting: The University of New Hampshire s Financial Aid Office continues to manually monitor Federal Pell Grant eligible students Cost of Attendance and update the Common Origination and Disbursement system of changes. While changes in living status impact Cost of Attendance, student Pell Grant eligibility is not impacted. Finding 005 Allowable costs: The University has taken all appropriate actions outlined in the response. This includes the issuance of an expense approval and guidance document. We continue to train administrators overseeing expenses charged to sponsored programs. Finding 006 Subrecipient Monitoring: The University has revised our subrecipient monitoring procedures and have trained Principal Investigators and Business Service Center personnel. Please contact the campuses representatives below with any questions on these items. 5 Chenell Drive, Suite 301, Concord, NH usnh.edu

55 Regards, Carol Mitchell, USNH Controller Cc: Mr. Joel Carstens, UNH Director of Financial Aid Ms. Crystal Gaff, PSU Director of Financial Aid Ms. Susan Zipkin, UNH Manager of Sponsored Programs