Notes to SEFA
Title: Food Distribution
Accounting Policies: 1. Basis of Presentation
The accompanying schedule of expenditures of federal awards includes the federal grant activity of Food for People, Inc. and is presented on the accrual basis of accounting and 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).
For purposes of this schedule, federal awards include both federal financial assistance received directly from a federal agency, as well as federal funds received indirectly by Food for People from a non-federal agency or other organizations. Only the portion of program expenditures reimbursable with such federal funds is reported in the accompanying schedule. Program expenditures in excess of the maximum federal reimbursement authorized or the portion of program expenditures that were funded with state, local or other non-federal funds are excluded from the accompanying schedule.
Because the Schedule presents only a selected portion of the operations of Food for People, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Food for People, Inc.
2. Summary of Significant 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.
De Minimis Rate Used: N
Rate Explanation: Food for People has not elected to use the ten percent De Minimis indirect cost rate as allowed by the uniform guidance.
The value of USDA food commodities received during the year was estimated by the USDA. The value of USDA food commodities distributed during the year includes amounts held in inventory at the beginning of the year. As of September 30, 2023, Food for People, Inc. had an inventory of USDA food commodities of $285,365.