Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such
expenditures are recognized following the cost principles obtained in the Uniform Guidance
and/or OMB Circular A-122, Cost Principles for Non-profit Organizations, wherein certain
types of expenditures are not allowable or are limited as to reimbursement. Pass-through entity
identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Town has elected not to use the 10% de minimis indirect cost rate allowed under the
Uniform Guidance.
The accompanying Schedule of Expenditures of Federal Awards includes the federal grant
activity of the Town under programs of the federal government for the fiscal year ended June
30, 2023. The information in this schedule is presented in accordance with requirements of the
Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements,
Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because
the Schedule presents only a selected portion of the operations of the Town of Cheraw, it is
not intended to and does not present the financial position, changes in net position or cash
flows of the Town of Cheraw.