Audit 21291

Title: Note 3:National School Lunch Program Accounting Policies: Basis of Presentation The accompanying Schedule of Expenditures of Federal Awards (the "Schedule") presents the activity of all federal awards of the Kenston Local School District (the "District") and is presented on the cash 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). Because the Schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the financial position or changes in net position of the District. Child Nutrition Cluster Cash receipts from the U.S. Department of Agriculture are commingled with State grants. When reporting expenditures on the Schedule the District assumes federal monies are expended first. Food Donation Program Program regulations do not require the District to maintain separate inventory records for purchased food and food received from the U.S. Department of Agriculture. This non-monetary assistance (expenditures) is reported in the Schedule at the fair value of the commodities received. De Minimis Rate Used: N Rate Explanation: The District has not elected to use the 10% de minimis indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. The District has $93,134 related to the National School Lunch Program grant funding at June 30, 2022 that will carry over to be spent in the next fiscal year.