Notes to SEFA
Title: 1. Basis OF PRESENTATION
Accounting Policies: N/A
De Minimis Rate Used: N
Rate Explanation: N/A
The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of Autonomous Municipality of Comerío, Puerto Rico and is prepared on the modified accrual basis of accounting. Accordingly, amounts presented in the accompanying schedule agree to amounts presented in the basic financial statements except for FEMA grants.
Title: 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: N/A
De Minimis Rate Used: N
Rate Explanation: N/A
a. Expenditures are recognized in the accounting period in which the liability is increased, or when paid, which occurs first. In the case of Disaster Grant Public Assistance (CFDA 97.036), expenditures are recorded when (1) Federal Emergency Management Agency (FEMA) has approved the project worksheet (PW) and the Municipality has inquired the eligible expenditures. b. The Municipality has elected not to use the 10 percent minimum indirect cost as allowed for the uniform building.