Audit 10910

Title: Identification of Major Programs Accounting Policies: The schedule of expenditures of federal and certain state awards of the Hazleton Area School District are presented on the modified accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Grant Guidance. Therefore, some amounts may differ from amounts presented in, or used in the presentation of the basic financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The school district has not elected to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance, section 414. As shown on the accompanying Schedule of Findings and Questioned Costs, the dollar threshold used to distinguish between type A and type B programs were seven hundred and fifty thousand ($750,000) dollars. The District had four major programs, Child Nutrition Cluster, which is CFDA number 10.553, 10.555, 10.556, 10.559, and 10.582 with total federal expenditures of $9,307,306 which covers 22.4% of federal expenditures, Emergency Connectivity, which is CFDA number 32.009 with total federal expenditures of $2,571,850 which covers 6.2% of federal expenditures, Education Stabilization Fund, which is CFDA number 84.425 with total federal expenditures of $18,443,564 which covers 44.4% of federal expenditures, and Special Education Cluster, which is CFDA number 84.027, and 84.173 with total federal expenditures of $2,511,714 which covers 6.1% of federal expenditures.