Notes to SEFA
Title: REPORTING ENTITY
Accounting Policies: Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the
financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported
using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and
fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of
accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The Schedule of Expenditure of Federal Awards (the Schedule) includes expenditures of federal awards for the City of San
Rafael, California, and its component units as disclosed in the notes to the Basic Financial Statements, except for federal
awards of the San Rafael Sanitation District (District). Federal awards expended by the District, if any, are excluded from the
Schedule and are subject to a separate Single Audit.
Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the
financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported
using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and
fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of
accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred.
Title: INDIRECT COST ELECTION
Accounting Policies: Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the
financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported
using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and
fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of
accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The City has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Title: EXPENDITURES FROM PRIOR FISCAL YEARS
Accounting Policies: Basis of accounting refers to when revenues and expenditures or expenses are recognized in the accounts and reported in the
financial statements, regardless of the measurement focus applied. The governmental fund financial statements are reported
using the current financial resources measurement focus and the modified accrual basis of accounting. The proprietary and
fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of
accounting. Expenditures of Federal Awards reported on the Schedule are recognized when incurred.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The current year Schedule of Expenditures of Federal Awards includes expenditures spent during the period of performance for the grant of July 18, 2018 through August 16, 2021 for the Department of Homeland Security Program, Federal Assistance Listing Number 97.036. The City was not awarded the final grant funding until fiscal year ended June 30, 2023.