Notes to SEFA
Title: 2. NON-CASH ASSISTANCE
Accounting Policies: 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES This summary of significant accounting policies of Tresco, Inc. is presented to assist in understanding Tresco, Inc.’s Schedule of Expenditures of Federal Awards (“SEFA”). The Schedule and notes are representations of Tresco, Inc.’s management, who is responsible for their integrity and objectivity.
Basis of Accounting and Presentation – The SEFA is prepared using the accrual basis of accounting. The information in the schedule is presented in accordance with the Uniform Guidance; therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
Indirect Costs – Expenditures of federal awards may include a portion of costs associated with general and administrative activities, which are allocated to federal assistance programs under negotiated formulas, commonly referred to as indirect cost rates and federally approved cost allocation plans. The Organization has not negotiated an indirect rate with its federal cognizant agency and has elected to use the de minimis rate of 10% of modified total direct cost as an indirect cost allocation factor, as allowed under 2 CFR §200.414 when allowable by federal grantors.
Sub-Recipients – There were no sub-recipients of the federal awards received by Tresco, Inc. for the year ended June 30, 2023.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.
The Organization is the sub-recipient of federal financial assistance that does not result in cash receipts or disbursements and that is valued at fair market value at the time of the receipt. This assistance is identified as Section 5310 – Mobility of Seniors and Individuals with Disabilities: Capital (“5310 program”) assistance listing number 20.513 in the SEFA. The following is a reconciliation of total federal awards expended for the 5310 programs as reported in the SEFA to non-cash contributions in the statements of activities at June 30, 2023: Non-cash contributions $225,210
Less other in-kind non-federal assistance (6,768)
Add, non-cash federal assistance awarded during fiscal year 2023 396,104
Less, non-cash federal assistance included in accounts receivable for equipment not receivedat June 30, 2023 (170,400)
Total 5310 program expenditures per SEFA $ 444,146