Notes to SEFA
Title: Note 1-Basis of accounting
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are listed as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: CVB did not elect to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance.
The accompanying schedule of expenditures of federal and state awards (the "Schedule") includes the federal and state award activity of Nashville Convention & Visitors Bureau and affiliate (consisting of Music City, Inc.) (collectively, "CVB") under programs of the federal government for the year ended June 30, 2022. 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 Principles, and Audit Requirements for Federal Awards ("Uniform Guidance"). Because the Schedule presents only a selected portion of the operations of CVB, it is not intended to, and does not, present the financial position, changes in net assets, or cash flows of CVB.
Title: Note 3-Contingencies
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are listed as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: CVB did not elect to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance.
CVB is subject to compliance audits by grantor agencies. The amount, if any, of expenditures that may be disallowed by the grantor agencies cannot be determined at this time, although CVB expects such amounts, if any, to be immaterial.
Title: Note 4-Payments to subrecipients
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are listed as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: CVB did not elect to use the 10% de minimis indirect cost rate as allowed under Uniform Guidance.
CVB did not passthrough any federal awards to subrecipients.