Title: Reporting Entity
Accounting Policies: Funds received under the various grant programs have been recorded within governmental fund types of the City. TheCity utilizes the modified accrual method of accounting for the governmental fund type. The accompanying Schedule ofExpenditures of Federal Awards (Schedule) has been prepared on the modified accrual basis of accounting and ispresented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Therefore, some amounts presented in the schedule may differ from amounts presented in, or used in, the preparationof the Citys basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The financial reporting entity consists of (a) the primary government, City of Clovis, California (the City), (b)organizations for which the primary government is financially accountable, including the Clovis CommunityDevelopment Agency (dissolved on February 1, 2012 and established a Successor Agency, which is reported as aprivate-purpose trust fund in the Citys financial statements), Clovis Municipal Development Corporation, and ClovisPublic Financing Authority, and (c) other organizations for which the primary government is not accountable, but forwhich the nature and significance of their relationship with the primary government are such that exclusion wouldcause the reporting entitys financial statements to be misleading or incomplete.
Title: Basis of Presentation
Accounting Policies: Funds received under the various grant programs have been recorded within governmental fund types of the City. TheCity utilizes the modified accrual method of accounting for the governmental fund type. The accompanying Schedule ofExpenditures of Federal Awards (Schedule) has been prepared on the modified accrual basis of accounting and ispresented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Therefore, some amounts presented in the schedule may differ from amounts presented in, or used in, the preparationof the Citys basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying Schedule presents the activity of all federal financial assistance programs of the City. Federal financial assistance received directly from federal agencies as well as federal financial assistance passed through the State of California, County of Fresno, and/or City of Fresno is included in the Schedule. The Schedule was presented only from the accounts of various grant programs and, therefore, does not present the financial position or results of operations of the City.
Title: Subrecipients
Accounting Policies: Funds received under the various grant programs have been recorded within governmental fund types of the City. TheCity utilizes the modified accrual method of accounting for the governmental fund type. The accompanying Schedule ofExpenditures of Federal Awards (Schedule) has been prepared on the modified accrual basis of accounting and ispresented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Therefore, some amounts presented in the schedule may differ from amounts presented in, or used in, the preparationof the Citys basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The City did not provide any amounts to subrecipients during the fiscal year ended June 30, 2022.
Title: Contingencies
Accounting Policies: Funds received under the various grant programs have been recorded within governmental fund types of the City. TheCity utilizes the modified accrual method of accounting for the governmental fund type. The accompanying Schedule ofExpenditures of Federal Awards (Schedule) has been prepared on the modified accrual basis of accounting and ispresented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, UniformAdministrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Therefore, some amounts presented in the schedule may differ from amounts presented in, or used in, the preparationof the Citys basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Under the terms of federal and state grants, additional audits may be requested by the grantor agencies and certain costs may be questioned as not being appropriate expenditures under the terms of the grants. Such audits could lead to a request for reimbursement to the grantor agencies.