Notes to SEFA
Accounting Policies: Note 1 - Summary of Significant Accounting Policies: a. Basis of Presentation: The accompanying Schedule of Expenditures of Federal Awards (Schedule) has been prepared in accordance with 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). The purpose of the Schedule is to present a summary of those activities of the Center for Internet Security, Inc. (Center) funded by the federal government or pass-through entities for the year ended December 31, 2022, using the accrual basis of accounting. For purposes of this Schedule, federal awards include assistance provided by a federal agency directly or indirectly in the form of grants, contracts, cooperative agreements, loans and loan guarantees, and other non-cash assistance. Negative amounts, if any, on the Schedule represent adjustments made to prior year expenditures in the normal course of business. b. Relationship to Financial Statements: Federal award revenues are reported in the Centers financial statements as Cooperative Agreement revenue. The Centers financial statements are presented using the accrual basis. The Schedule presents only a selected portion of the activities of the Center. It is not intended to, and does not, present either the financial position, changes in net assets, or cash flows of the Center. c. Direct and Indirect Costs: Expenditures for direct and indirect costs are recognized as incurred using the accrual method of accounting and in accordance with OMB A-122, Cost Principles for Non-Profit Organizations and the Uniform Guidance. Under those cost principles, certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.