Notes to SEFA
Accounting Policies: NOTE ABASIS OF PRESENTATIONThe accompanying schedule of expenditures of federal awards (SEFA) includes the federal award activityof the City under programs of the federal government for the year ended June 30, 2022. The informationin this SEFA is presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirementsfor Federal Awards (Uniform Guidance). Because the SEFA presents only a selected portion of theoperations of City, it is not intended to and does not present the financial position, changes in net assets,or cash flows of the City.NOTE BSUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the SEFA are reported on the modified accrual basis of accounting. Suchexpenditures are recognized following, as applicable, either the cost principles contained in the UniformGuidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. TheCity has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.NOTE CSUBRECIPIENTSDuring the year ended June 30, 2022, the City did not provide federal awards to subrecipients.NOTE D SUBSEQUENT EVENTSThe City has evaluated the effects of all subsequent events from June 30, 2022, through January 16, 2023, thedate the SEFA was available to be issued, for potential recognition or disclosure in this SEFA. The City is notaware of any subsequent events which would require recognition or disclosure in the SEFA.6
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.