Audit 294700

Title: Basis of Presentation Accounting Policies: This schedule of expenditures of federal awards includes the federal program activity of Lost Bridge Village Water and Sewer Improvement Districts No.1 and No.2 and is presented on the 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: Lost Bridge Village Water and Sewer Improvement Districts No.1 and No.2 does not charge indirect cost rates and charges 100% of their costs directly The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Lost Bridge Village Water and Sewer Improvement Districts No.1 and No.2, under programs of the federal government for the year ended December 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 (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Lost Bridge Village Water and Sewer Improvement Districts No.1 and No.2, it is not intended to and does not present the financial position, changes in net position, or cash flows, where applicable of Lost Bridge Village Water and Sewer Improvement Districts No.1 and No.2.

Title: Federal Awards Passed Through to Subrecipients Accounting Policies: This schedule of expenditures of federal awards includes the federal program activity of Lost Bridge Village Water and Sewer Improvement Districts No.1 and No.2 and is presented on the 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: Lost Bridge Village Water and Sewer Improvement Districts No.1 and No.2 does not charge indirect cost rates and charges 100% of their costs directly No federal financial assistance has been provided to a subrecipient.