Notes to SEFA
Title: Basis of Presentation
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 Title 2 U.S. Code of Federal
Regulations Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are
limited as to reimbursement. The Organization has elected not to use the 10percent de minimis indirect cost rate allowed under the Uniform Guidance.
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 (the Schedule) includes the federal
grant and contract activity of America’s Charter School Finance Corporation (the Organization) and
is presented on the accrual basis of accounting which conforms to accounting principles generally
accepted in the United States of America and is consistent with the Organization’s basic financial
statements. The information in the Schedule is presented in accordance with the requirements of
Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for Federal Awards. Because the Schedule presents only a
selected portion of the operations of the Organization, it is not intended to and does not present
the financial position, changes in net assets, or cash flows of the Organization.
Title: Funds Held in Reserve
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 Title 2 U.S. Code of Federal
Regulations Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are
limited as to reimbursement. The Organization has elected not to use the 10percent de minimis indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
At December 31, 2023, the Organization holds cash and cash equivalents, restricted cash and cash
equivalents, investments, and restricted investments funded by the federal government (Credit
Enhancement for Charter School Facilities Program – Assistance Listing Number (ALN) #84.354A).
These funds are held under the terms of a federal grant and can be used both for program costs and
to pay claims under the Organization’s guarantees. The following schedule provides an accounting
for the changes in the reserve account for the year ended December 31:
2023
Beginning balance of reserve account $ 6,196,525
Add: earnings on the reserve account 305,317
Less: federal expenditures (16,145 )
Ending balance of reserve account $ 6,485,697