Notes to SEFA
Accounting Policies: The accompanying Schedules of Federal Awards and State Financial Assistance are presented on the prescribed basis of accounting, modified accrual basis with certain exceptions, prescribed by the Division of Local Government Services, Department of Community Affairs, State of New Jersey, that demonstrates compliance with the budget laws of New Jersey, which is a comprehensive basis of accounting other than generally accepted accounting principles. This basis of accounting is described in Note 1 to the County's statutory basis financial statements. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Regulations (Uniform Guidance) and New Jersey State Circular 15-08 OMB. Essex County, New Jersey received Federal awards both directly from Federal agencies and indirectly through pass-through entities. Federal Financial Assistance provided to sub-recipients is treated as an expenditure when it is paid to the sub-recipient.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.