Notes to SEFA
Accounting Policies: 1)NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
1) Definition of Reporting Entity
The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the Martha's Vineyard Transit Authority (the Authority). The information in this schedule is presented in accordance with the requirements of the OMB Uniform Guidance Circular.
2) Summary of Significant Accounting Policies
(a) Basis of Presentation
The accompanying Schedule of Expenditures of Federal Awards is presented using the accrual method of accounting.
(b) Contract Services
The Authority contracts with third parties to provide fixed route and demand response transportation services. The costs associated with these contracts that are funded with federal assistance are presented in the Schedule of Expenditures of Federal Awards as disbursements. The Authority maintains a system to monitor the use of these funds by the contractors to assure compliance with applicable federal regulations.
(c) The Authority identified the larger Federal Programs (Type A programs) as those programs that exceed $750,000. All other programs are labeled as Type B programs.
(d) The Authority did not use the 10% de minimus cost rate for any of it's grants.
De Minimis Rate Used: N
Rate Explanation: NA