Audit 308110

Accounting Policies: 1. GENERAL The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal financial assistance programs of the City of Crystal City, Texas, for the year ended September 30, 2023. The City’s reporting entity is defined in Note 1 to the City’s financial statements. Federal financial assistance received directly from federal agencies and other agencies are included in the Schedule of Expenditures of Federal Awards. 2. BASIS OF ACCOUNTING The accompanying Schedule of Expenditures of Federal Awards is presented using the modified accrual basis of accounting, which is described in Note 1 to the City’s financial statements. 3. PASS-THROUGH EXPENDITURES None of the federal programs expended by the City were provided to subrecipients. 4. INDIRECT COSTS The City has elected not to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: The City has elected not to use the 10% de minimis indirect cost rate as allowed in the Uniform Guidance.