Title: NOTE A – BASIS OF PRESENTATION – SCHEDULE OF EXPENDITURES OF FEDERAL & STATE AWARDS
Accounting Policies: Expenditures reported on the schedule are reported 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. The amount of federal expenditures represents the amount of federal funds expended during the fiscal year ended June 30, 2023. A threshold of $750,000 was used to distinguish between Type A and Type B programs as those terms are defined in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.
The accompanying schedule of expenditures of federal awards includes the federal and state grant activity of Cambridge Community Center dba Cambridge Child Development Center under programs of the federal government for the year ended June 30, 2023 and is presented on the accrual basis of accounting. 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 Cambridge Community Center dba Cambridge Child Development Center, it is not intended to and does not present the
financial position, change in net assets or cash flows for Cambridge Community Center dba Cambridge Child Development Center.
Title: NOTE B - FEDERAL EXPENDITURES
Accounting Policies: Expenditures reported on the schedule are reported 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. The amount of federal expenditures represents the amount of federal funds expended during the fiscal year ended June 30, 2023. A threshold of $750,000 was used to distinguish between Type A and Type B programs as those terms are defined in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.
Expenditures reported on the schedule are reported 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. The amount of federal expenditures represents the amount of federal funds expended during the fiscal year ended June 30, 2023. A threshold of $750,000 was used to distinguish between Type A and Type B programs as those terms are defined in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements. The Organization’s major federal award programs were: CCD Block Grant Center CFDA # 93.575 CCD Block Grant Center CFDA # 93.596 The Organization has elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: NOTE C - CLAIM PREPARATION
Accounting Policies: Expenditures reported on the schedule are reported 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. The amount of federal expenditures represents the amount of federal funds expended during the fiscal year ended June 30, 2023. A threshold of $750,000 was used to distinguish between Type A and Type B programs as those terms are defined in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.
Monthly CACFP-F claim forms were prepared in accordance with the Fixed Percentage Claiming Method. The Fixed Percentage Claiming Method requires each Agency to accurately categorize enrollment data into free, reduced, and base rate categories at least one time at the beginning of the fiscal year. The percentage for each category becomes the percentage used to determine reimbursement for the fiscal year. These percentages may be adjusted by the Agency to accurately categorize enrollment if material changes in the enrollment percentages occur during the fiscal year.
Title: NOTE D - APPLICABLE REQUIREMENTS FROM THE CCD PROGRAMS FUNDING TERMS AND CONDITIONS
Accounting Policies: Expenditures reported on the schedule are reported 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. The amount of federal expenditures represents the amount of federal funds expended during the fiscal year ended June 30, 2023. A threshold of $750,000 was used to distinguish between Type A and Type B programs as those terms are defined in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.
In accordance with the applicable requirements from the Funding Terms & Conditions: 1. Interest expense is only allowable as a reimbursable cost in certain circumstances when it has been preapproved by the administering state department or relates to the lease purchase, acquisition, or repair or renovation of early learning and care facilities owned or leased by the contractor. No interest expense was claimed to a child development contract for the year ended June 30, 2023. 2. All expenses claimed for reimbursement under a related party rent transaction must be supported by a fair market rental estimate from an independent appraiser, licensed by the California Office of Real Estate Appraisers. No related party rent expense was claimed as a reimbursable expense for the year ended June 30, 2023. 3. Bad debt expense is unallowable unless it relates to uncollected family fees where documentation of adequate collection attempts exists. No bad debt expense was claimed to a child development contract for the year ended June 30, 2023.