Audit 308737

Title: Note 1. Basis of Presentation Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Federal funds received under the various loan and grant programs have been recorded in the City’s proprietary and special revenue funds as appropriate. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: N/A The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) is a supplementary schedule to the City of Dallas, Georgia’s financial statements and is presented for the purpose of additional analysis. The Schedule is required by the Office of Management and Budget (OMB) Uniform Guidance: Title 2 U.S Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal awards. The Schedule includes the federal award activity of the City of Dallas, Georgia under programs of the federal government for the fiscal year ended June 30, 2023. The City’s reporting entity is defined in Note 1 of the City’s financial statements. The information in this Schedule is presented in accordance with the requirements of Uniform Guidance. Because the Schedule presents only a selected portion of the operations of the City of Dallas, Georgia, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the City of Dallas, Georgia.

Title: Note 2. Summary of Significant Accounting Policies Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Federal funds received under the various loan and grant programs have been recorded in the City’s proprietary and special revenue funds as appropriate. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: N/A Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Federal funds received under the various loan and grant programs have been recorded in the City’s proprietary and special revenue funds as appropriate. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are allowable or are limited as to reimbursement.

Title: Note 3. Indirect Cost Rate Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Federal funds received under the various loan and grant programs have been recorded in the City’s proprietary and special revenue funds as appropriate. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: N/A The City of Dallas, Georgia has elected not to use the 10-percent de minimis indirect cost rate allowable under the Uniform Guidance.