Notes to SEFA
Accounting Policies: Note 1 The accompanying Schedule of Expenditures of Federal Awards includes the Federalgrant activity of the School District, and is prepared on the modified accrual basis ofaccounting. The information in this schedule is presented in accordance withrequirements of Title 2 U.S. Code of Federal Regulations Part 200, UniformAdministrative Requirements, Cost Principles and Audit Requirements for FederalAwards ("Uniform Guidance"). Therefore, some amounts presented in this schedule maydiffer from amounts presented in, or used in, the basic financial statements.Note 2 Management has reported that expenditures in this Schedule of Expenditures of FederalAwards are equal to those amounts reported in the annual or final cost reports.Unallowed differences, if any, have been disclosed to the auditor.Note 3 The financial reports, including claims for advances and reimbursements and amountsclaimed or used for matching are timely, complete, accurate and contain information thatis supported by the books and records from which the basic financial statements havebeen prepared. Grant receipts reported on the Schedule of Expenditures of FederalAwards, as passed through the Michigan Department of Education, reconcile to the GrantAuditor's Report (R7120). Unreconciled differences have been disclosed to the auditor.Note 4 The School District did not use the 10% de-minimis indirect cost rate allowed under theUniform Guidance.Note 5 Expenditures on the Schedule of Expenditures of Federal Awards agrees with FederalRevenue sources reported in the financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.