Title: Summary of Significant Accounting Policies
Accounting Policies: Summary of Significant Accounting Policies
For all Federal programs, the District uses the fund types specified in Texas Education Agency's Financial
Accountability System Resource Guide.
General Fund - is used to account for, among other things, resources related to the United States Department
of Defense ROTC program and the United States Department of Education's Impact Aid.
Special Revenue Funds - are used to account for resources restricted to, or designated for, specific purposes
by a grantor. Federal and state financial assistance generally is accounted for in a Special Revenue Fund.
Generally, unused balances are returned to the grantor at the close of specified project periods.
The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. The
Governmental Fund types are accounted for using a current financial resources measurement focus. All Federal grant
funds were accounted for in a Special Revenue Fund or, in some instances, in the General Fund which are
Governmental Fund type funds.
With this measurement focus, only current assets and current liabilities and the fund balance are included on the
balance sheet. Operating statements of these funds present increases and decreases in net current assets. The modified
accrual basis of accounting is used for the Governmental Fund types. This basis of accounting recognizes revenues in
the accounting period in which they become susceptible to accrual, i.e., both measurable and available, and
expenditures in the accounting period in which the fund liability is incurred, if measurable, except for unmatured
interest on General Long-Term Debt, which is recognized when due, and certain compensated absences and claims
and judgments, which are recognized when the obligations are expected to be liquidated with expendable available
financial resources. Federal grant funds are considered to be earned to the extent of expenditures made under the
provisions of the grant, and, accordingly, when such funds are received, they are recorded as unearned revenues until
earned.
The period of performance for federal grant funds for the purpose of liquidation of outstanding obligations made on
or before the ending date of the federal project period extended 90 days beyond the federal project period ending
date, in accordance with provisions in Section H, Period of Performance of Federal Funds, 3 CFR Section
200.343(b).
Assistance Listing numbers for commodity assistance are the Assistance Listing numbers of the programs under
which USDA donated the commodities.
De Minimis Rate Used: N
Rate Explanation: The auditee elected not to use the 10-percent de minimis indirect cost rate
Basis of Presentation
Summary of Significant Accounting Policies
For all Federal programs, the District uses the fund types specified in Texas Education Agency's Financial
Accountability System Resource Guide.
General Fund - is used to account for, among other things, resources related to the United States Department
of Defense ROTC program and the United States Department of Education's Impact Aid.
Special Revenue Funds - are used to account for resources restricted to, or designated for, specific purposes
by a grantor. Federal and state financial assistance generally is accounted for in a Special Revenue Fund.
Generally, unused balances are returned to the grantor at the close of specified project periods.
The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. The
Governmental Fund types are accounted for using a current financial resources measurement focus. All Federal grant
funds were accounted for in a Special Revenue Fund or, in some instances, in the General Fund which are
Governmental Fund type funds.
With this measurement focus, only current assets and current liabilities and the fund balance are included on the
balance sheet. Operating statements of these funds present increases and decreases in net current assets. The modified
accrual basis of accounting is used for the Governmental Fund types. This basis of accounting recognizes revenues in
the accounting period in which they become susceptible to accrual, i.e., both measurable and available, and
expenditures in the accounting period in which the fund liability is incurred, if measurable, except for unmatured
interest on General Long-Term Debt, which is recognized when due, and certain compensated absences and claims
and judgments, which are recognized when the obligations are expected to be liquidated with expendable available
financial resources. Federal grant funds are considered to be earned to the extent of expenditures made under the
provisions of the grant, and, accordingly, when such funds are received, they are recorded as unearned revenues until
earned.
The period of performance for federal grant funds for the purpose of liquidation of outstanding obligations made on
or before the ending date of the federal project period extended 90 days beyond the federal project period ending
date, in accordance with provisions in Section H, Period of Performance of Federal Funds, 3 CFR Section
200.343(b).
Assistance Listing numbers for commodity assistance are the Assistance Listing numbers of the programs under
which USDA donated the commodities.
The District has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Reconciliation Information:
Total Expenditures of Federal Awards $ 19,846,264
School Health and Related Services 649,909
FEMA/TDEM accruals (2,938,675)
Federal Program Revenues (Exhibit C-2) $ 17,557,498