Notes to SEFA
Accounting Policies: The accompanying schedule of expenditures of federal awards includes the activity of the Electric Power Board of the Metropolitan Government of Nashville and Davidson County (the Board or NES). The schedule includes only those federal programs required to be included in accordance with the Office of Management and Budgets guidance wherein certain types of expenditures are not allowable or are limited to reimbursement. This schedule has been prepared in conformity with accounting principles generally accepted in the United States of America. NES maintains its accounts in accordance with the Uniform System of Accounts prescribed by the Federal Energy Regulatory Commission using the economic measurement focus and the accrual basis of accounting. 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). The information does not present the financial position, changes in net position, or cash flows of the Board. Expenditures eligible for grants were for costs related to operations, maintenance, and repair or replacement of fixed assets of the distribution system damaged by the declared events. Amounts related to fixed assets in the electric plant are stated at original cost. Such cost includes applicable overhead such as general and administrative costs, depreciation of vehicles used in the construction process, and payroll and related costs such as pensions, taxes and other fringe benefits related to plant construction. There are no subrecipients of grants.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.