Notes to SEFA
Title: Note 2 Contingencies
Accounting Policies: NOTE 1 BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal and state awards (the Schedule)includes the federal grant activity of Safe Alliance, Inc. (the Agency) and is presented onthe accrual basis of accounting. The information in this schedule is presented inaccordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200,Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Uniform Guidance). Therefore, some amounts presented in this schedule maydiffer from amounts presented in, or used in the preparation of, the financial statements. Noamounts were passed through to subrecipients.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
NOTE 2 CONTINGENCIESThe Agency is subject to audit examination by the funding sources of grants to determineits compliance with certain grant provisions. In the event that expenditures could bedisallowed through the audit, repayment of such disallowances could be required.
Title: Note 3 Indirect Cost Rate
Accounting Policies: NOTE 1 BASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal and state awards (the Schedule)includes the federal grant activity of Safe Alliance, Inc. (the Agency) and is presented onthe accrual basis of accounting. The information in this schedule is presented inaccordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200,Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Uniform Guidance). Therefore, some amounts presented in this schedule maydiffer from amounts presented in, or used in the preparation of, the financial statements. Noamounts were passed through to subrecipients.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
NOTE 3 INDIRECT COST RATEExpenditures reported on the Schedule are reported on the accrual basis of accounting.Such expenditures are recognized following the cost principles contained in the UniformGuidance, wherein certain types of expenditures are not allowable or are limited as toreimbursement. The Agency has elected not to use 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.