Notes to SEFA
Accounting Policies: The accompanying schedule of expenditures of federal awards includes federal grant activity under programs of the
federal government. The information in this schedule is presented in accordance with the audit requirements of Title
2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit
Requirements for Federal Awards (Uniform Guidance). Because the schedule presents only a selected portion of the
operations, it is not intended to and does not present the net position, changes in net position, or cash flows of the
City.
De Minimis Rate Used: N
Rate Explanation: Expenditures reported 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 allowed or are limited as to reimbursement. Negative amounts shown on the schedule represent adjustments or
credits made in the normal course of business to amounts reported as expenditures in prior years. The City has not
elected to use the ten percent de minimis indirect cost rate as allowed under Uniform Guidance, since indirect cost
rates are not used for Transit grants.