Notes to SEFA
Title: Note 3. Indirect Cost Rate
Accounting Policies: Note 1. Basis of PresentationThe accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grantactivity of the Town of Glastonbury, Connecticut (the Town), under programs of the federal governmentfor the year ended June 30, 2022. The information in the Schedule is presented in accordance with therequirements of the Title 2 U.S. Code of Federal Regulations Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Because the Schedule presents only a selected portion of the operations of the Town, it is not intendedto, and does not present the financial position, changes in fund balance, changes in net position or cashflows of the Town.Note 2. Summary of Significant Accounting PrinciplesExpenditures reported on the Schedule are reported using the modified accrual basis of accounting. Suchexpenditures are recognized following the cost principles contained in the Uniform Guidance for allawards, wherein 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 Town currently does not have any grants which require the application of an overhead rate, however,if they did, the Town would elect to use the 10-percent de minimis indirect cost rate allowed under theUniform Guidance