Audit 28778

Title: BASIS OF PRESENTATION Accounting Policies: All Federal grant operations of the City of College Park, Maryland (the City) are includedin the scope of Title 2 U.S. Code of Federal Regulations Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (the SingleAudit). The Single Audit was performed in accordance with the provisions of the OMBCompliance Supplement (the Compliance Supplement). Compliance testing of allrequirements, as described in the Compliance Supplement, was performed for the majorgrant program noted below. The programs on the Schedule of Expenditures of FederalAwards (the Schedule) represent all Federal award programs and other grants with fiscalyear 2022 cash or non-cash expenditure activities. For our single audit testing, we testedthe Federal award program below with fiscal year 2022 cash and non-cash expenditures toensure coverage of at least 20% of Federally granted funds. Our actual coverage was100%. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. Expenditures are recognized following the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform Guidance), wherein certain types ofexpenditures are not allowable or are limited as to reimbursement. The City has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance. The accompanying Schedule includes the Federal award activity of the City under programsof the Federal government for the year ended June 30, 2022, and is reported on the accrualbasis of accounting. The information in the Schedule is presented in accordance withUniform Guidance. Because the Schedule presents only a selected portion of the operationsof the City, it is not intended to and does not present the financial position, changes in netassets, or cash flows of the City.