Notes to SEFA
Title: Basis of Presentation
Accounting Policies: The accompanying schedule of expenditures of federal awards is presented using the accrual
basis of accounting which is described in Note 2 to the financial statements. 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.
Pass-through entity identifying numbers have been presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization has elected not to use the 10-percent de minimis indirect cost rate allowed
under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards presents the activity of all
federal financial assistance programs of DRNJ. The information in this schedule is presented in
accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200,
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal
Awards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ
from amounts presented in, or used in the preparation of the basic financial statements. All
federal financial assistance received directly from federal agencies is included on the schedule
of federal awards. Because the schedule presents only a selected portion of the operations of
DRNJ, it’s not intended to and does not present the financial position, changes in net assets,
or cash flows of DRNJ.
Title: Relationship to Federal Financial Reports
Accounting Policies: The accompanying schedule of expenditures of federal awards is presented using the accrual
basis of accounting which is described in Note 2 to the financial statements. 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.
Pass-through entity identifying numbers have been presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization has elected not to use the 10-percent de minimis indirect cost rate allowed
under the Uniform Guidance.
The regulations and guidelines governing the preparation of federal financial reports vary by
Federal agency and among programs administered by the same agency. Accordingly, the
amounts reported in the federal financial reports do not necessarily agree with the amounts
reported in the accompanying schedule of expenditures of federal awards, which is prepared
on the accrual basis explained in Note 2.
Title: Sub-recipients
Accounting Policies: The accompanying schedule of expenditures of federal awards is presented using the accrual
basis of accounting which is described in Note 2 to the financial statements. 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.
Pass-through entity identifying numbers have been presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization has elected not to use the 10-percent de minimis indirect cost rate allowed
under the Uniform Guidance.
No federal awards were provided to sub-recipients.
Title: Single Audit - Type A/Type B Program Threshold
Accounting Policies: The accompanying schedule of expenditures of federal awards is presented using the accrual
basis of accounting which is described in Note 2 to the financial statements. 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.
Pass-through entity identifying numbers have been presented where available.
De Minimis Rate Used: N
Rate Explanation: The Organization has elected not to use the 10-percent de minimis indirect cost rate allowed
under the Uniform Guidance.
Dollar threshold used to distinguish between Type A and Type B programs is $750,000. Single
audit expenditure threshold requirement is $750,000.