Audit 296543

Title: NOTE 1 - BASIS OF PRESENTATION Accounting Policies: NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the City under programs of the federal government for the year ended June 30, 2023. The information in this Schedule is presented in accordance with the requirements of Uniform Guidance, Audits of States, Local Governments, and Non-Profit Organizations. Because the Schedule presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City.

Title: NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. Expenditures Expenditures reported on the Schedule are reported on the accrual basis of accounting. Pass-Through Entities Pass-through entity identifying numbers are presented on the Schedule where available.

Title: NOTE 3 - 10% DE MINIMIS INDIRECT COST RATE Accounting Policies: NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. The City has selected to use the 10% de minimis indirect cost rate as permitted by 2 CFR Section 200.414.

Title: NOTE 4 – SUBRECIPIENT RELATIONSHIPS Accounting Policies: NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures Expenditures reported on the Schedule are reported on the accrual basis of accounting. De Minimis Rate Used: Y Rate Explanation: The auditee used the de minimis cost rate. Of the federal expenditures provided in the schedule of expenditures of federal awards, the City of Urbana, Illinois provided federal awards to subrecipients as follows: Assistance Listing Number 14.218 – Community Development Block Grants/Entitlement Grants  Family Service Meals on Wheels - $1,626  Urbana Neighborhood Connections Center - $38,244 Assistance Listing Number 14.231 – Emergency Solutions Grant Program  Cunningham Township - $71,706 Assistance Listing Number 14.239 – Home Investment Partnerships Program  Courage Connection TBRA - $49,227  Habitat CHDO - $279,249  CCRP TBRA - $166,886  CU at Home - $187,643 Assistance Listing Number 21.027 – American Rescue Plan  Channing-Murray Foundation - $2,400  Urbana Park District - $2,000,000  FirstFollowers - $9,900  Young Men’s Christian Association of the University - $37,500  Well Experience - $16,000  Habitat for Humanity of Champaign County - $7,221  Champaign County Health Care Consumer - $17,563  Urbana School District 116 - $546,136  Eastern Illinois Foodbank - $79,000  Housing Authority of Champaign County - $5,198  Cunningham Township - $139,707  Common Ground Food Co-op - $2,297