Notes to SEFA
Title: BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principals contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: Fairview Area Schools has elected not to use the 10 percent de minimus indirect cost rate allowed under
the Uniform Guidance.
The accompanying schedule of expenditures of federal awards ("the Schedule") includes the federal award activity of the Fairview Area Schools under programs of the federal government for the year ended June 30, 2023. 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 Principals, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Fairview Area Schools it is not intended to and does not present the financial position, changes in net assets, or cash flows of the Fairview Area Schools.
The District does not qualify for low-risk auditee status. Management has utilitized the NexSys (Next Generation Grant, Application and Cash Management) and Grant Auditor Report in preparing the Schedule of Expenditures of Federal Awards.
Title: RELATIONSHIP TO GOVERNMENTAL FUND FINANCIAL STATEMENTS
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principals contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: Fairview Area Schools has elected not to use the 10 percent de minimus indirect cost rate allowed under
the Uniform Guidance.
See the Notes to the SEFA for chart/table
Title: MICHIGAN DEPARTMENT OF EDUCATION DISCLOSURES
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principals contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: Fairview Area Schools has elected not to use the 10 percent de minimus indirect cost rate allowed under
the Uniform Guidance.
The amounts reported on the recipient entitlement balance report agree with the schedule of expenditure of the
federal awards for U.S.D.A. donated food commodities.