Title: 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 where certain types of expenditures are not allowable or are limited as to reimbursement.
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 Royal Oak Schools under programs of the federal government for the year ended June 30, 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 Royal Oak Schools, it is not intended to and does not present the financial position or changes in fund balance or net position of Royal Oak Schools.
Title: Reconciliation to the Financial Statements
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 where certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Federal revenues per the financial statements: $9,703,421, Less federal reimbursed interest: $6,261, Less Child Care Relief Fund Grants received as a beneficiary: $788,156, Federal revenues per Schedule of Expenditures of Federal Awards: $8,909,004.
Title: Subrecipients
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 where certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The School District provided $16,159 Title III, Part A (AL number 84.365, project numbers 210580-2021 LEP, and 220580-2122 LEP) funds to subrecipients. The Districts only subrecipient was AGBU Alex-Marie Manoogian School 63901, which received $16,159.
Title: Michigan Department of Education Disclosures
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 where certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The federal amounts reported on the Grant Auditor Report reconcile to the schedule of expenditures of federal awards as follows: Adult Basic Education Project number 221130-211137; Amount on GAR $65,270, Amount on SEFA $0, Difference $65,270, Reason for variance, Timing of deposit. Title I Project number 221530-2122; Amount on GAR $167,729, Amount on SEFA $121,422, Difference $46,307, Reason for variance, Timing of deposit. Title II Project number 210520-2021; Amount on GAR $66,732, Amount on SEFA $35,070, Difference $31,662, Reason for variance, Timing of deposit. Title III Project number 220580-2122 LEP; Amount on GAR $20,279, Amount on SEFA $6,097, Difference $14,182, Reason for variance, Timing of deposit. Title III Project number 220570-2122 Immigrant; Amount on GAR $2,335, Amount on SEFA $2,109, Difference $226, Reason for variance, Timing of deposit. Title IV Project number 221750-2122; Amount on GAR $4,170, Amount on SEFA $0, Difference $4,170, Reason for variance, Timing of deposit. ESSER III - Project number 213723-2122(11t);Amount on GAR $1,240,186, Amount on SEFA $0, Difference $1,240,186, Reason for variance, Timing of deposit. Total; Amount on GAR $1,566,701, Amount on SEFA $164,698, Difference $1,402,003. The amounts reported on the recipient entitlement balance report agree with the schedule of expenditures of federal awards for U.S.D.A donated food commodities.