Notes to SEFA
Title: 2023-001
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient.
De Minimis Rate Used: N
Rate Explanation: The Transit Authority has elected not to charge the 10 percent de minimis indirect cost rate to its federal award programs.
Finding Summary: Adjustment was required due to late completion of an actuarial report to calculate the IBNR
related to our workers compensation insurance program which carries insurance that only covers individual claims
over $750,000. Corrective Action Plan: Metro will complete an actuarial study on an annual basis and ensure it is completed in time
to make proper entries for year‐end close out. Responsible Individual(s): William Clingman, Finance Director. Anticipated Completion Date: Report was completed for 2023 and the 2024 report is expected to be completed in
January of 2025. Along with every January thereafter, unless a change occurs in the insurance program.