Title: NOTE A - BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City of Eveleth, Minnesota has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the City of Eveleth, Minnesota, under programs of the federal government for the year ended December 31, 2022. 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 City of Eveleth, Minnesota, it is not intended to and does not present the financial position, changes in net position, or cash flows of City of Eveleth, Minnesota.
Title: NOTE C - CAPITALIZATION GRANTS - (Part 1)
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City of Eveleth, Minnesota has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Capitalization Grants for Drinking Water State Revolving Fund Federal expenditures related to the Capitalization Grants for Drinking Water State Revolving Funds were reimbursed by loan proceeds. The outstanding loan balance of $682,849 at December 31, 2022 is comprised of funds received and grants receivable. The loan is payable to the Minnesota Public Facilities Authority, a department of the State of Minnesota. The balance at December 31, 2022 consists of both water 2021 GO revenue water notes and water 2022 GO revenue water notes. Balance at 12/31/2021-$555,465 Loan proceeds- 140,849 Principal Paid - (31,465) Balance at 12/31/2022 - $682.849
Title: NOTE C - CAPITALIZATION GRANTS - (Part 2)
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City of Eveleth, Minnesota has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Capitalization Grants for Clean Water State Revolving Fund Federal expenditures related to the Capitalization Grants for Clean Water State Revolving Funds were reimbursed by loan proceeds. The outstanding loan balance of $312,961 at December 31, 2022 is comprised of funds received and grants receivable. The loan is payable to the Minnesota Public Facilities Authority, a department of the State of Minnesota. The balance at December 31, 2022 consists of both sewer 2021 GO revenue notes and sewer 2022 GO revenue notes. Balance at 12/31/2021 - $194.297 Loan proceeds - 121.961 Principal Paid - (3,297) Balance at 12/31/2022 - $312,961
Title: NOTED - PASS-THROUGH ENTITIES
Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City of Eveleth, Minnesota has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
There were no pass-through entities.