Audit 292826

Title: Note 1 - Basis of Presentation Accounting Policies: Expenditures reports on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Village of Clyde, New York has elected not to use the 10-percent de minimis indirect cost rate allowable under the Uniform Guidance. The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of the Village of Clyde, New York under programs of the federal government for the year ended May 31, 2022. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the “Uniform Guidance”). Because the Schedule presents only a selected portion of the operations of the Village of Clyde, New York, it is not intended to, and does not, present the financial position, changes in net position, or cash flows of the Village of Clyde, New York.

Title: Note 2 - Summary of Significant Accounting Policies Accounting Policies: Expenditures reports on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: The Village of Clyde, New York has elected not to use the 10-percent de minimis indirect cost rate allowable under the Uniform Guidance. Expenditures reports on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Federal grants received by the Village are subject to audit and adjustment. If any expenditure is disallowed by the grantor agencies as a result of such an audit, the grantor agencies could make claim for reimbursement, which would become a liability of the Village.