Notes to SEFA
Accounting Policies: The information in the Schedule of Expenditures of Federal Awards (SEFA) 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 (the Uniform Guidance). Because the Schedule presents only a selected portions of the Districts operations, it is not intended to and does not present the net position or changes in net position of the auditee. The auditee accounts for all awards under federal and state programs on an accrual basis of accounting. Accordingly, expenditures reported on the SEFA are on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and the State of Texas Uniform Grant Management Standards, wherein certain types of expenditures are not allowable or are limited as to reimbursement by the federal and/or state funding agencies. The auditee did not generate program income. Accordingly, no program income was used to reduce the expenditure amounts on the SEFA.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.