Notes to SEFA
Title: NOTE 1 – REPORTING ENTITY
Accounting Policies: The accompanying SEFA is presented using the modified basis of accounting, except for program expenditures accounted for
in governmental funds and the accrual basis of accounting for expenditures accounted for in proprietary funds, as described
in Note 1 of the City's basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying Schedule of Expenditures of Federal Awards (SEFA) presents the activity of all federal awards programs of the City of Kingsburg (the City). Federal awards received directly from federal agencies, as well as federal awards passed through other government agencies are included in the schedule. The information in this SEFA 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).
Title: NOTE 2 – BASIS OF ACCOUNTING
Accounting Policies: The accompanying SEFA is presented using the modified basis of accounting, except for program expenditures accounted for
in governmental funds and the accrual basis of accounting for expenditures accounted for in proprietary funds, as described
in Note 1 of the City's basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying SEFA is prepared using the modified accrual basis of accounting, except for program expenditures accounted for in governmental funds and the accrual basis of accounting for expenditures accounted for in proprietary funds, as described in Note 1 of the City’s basic financial statements.
Title: NOTE 3 – RELATIONSHIP TO BASIC FINANCIAL STATEMENTS
Accounting Policies: The accompanying SEFA is presented using the modified basis of accounting, except for program expenditures accounted for
in governmental funds and the accrual basis of accounting for expenditures accounted for in proprietary funds, as described
in Note 1 of the City's basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Federal award expenditures agree or can be reconciled with the amounts reported in the City’s basic financial statements.
Title: NOTE 4 – INDIRECT COST RATE
Accounting Policies: The accompanying SEFA is presented using the modified basis of accounting, except for program expenditures accounted for
in governmental funds and the accrual basis of accounting for expenditures accounted for in proprietary funds, as described
in Note 1 of the City's basic financial statements.
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 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: NOTE 5 – PASS THROUGH ENTITY IDENTIFYING NUMBERS
Accounting Policies: The accompanying SEFA is presented using the modified basis of accounting, except for program expenditures accounted for
in governmental funds and the accrual basis of accounting for expenditures accounted for in proprietary funds, as described
in Note 1 of the City's basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The City has included in the SEFA the identifying numbers for pass‐through grants when such information has been
provided by the pass‐through entities. For grants that the City was not provided with such information by the passthrough
entities, the City has indicated the pass‐through identifying number “N/A” to disclose the information was not
applicable or not available.