Notes to SEFA
Title: NOTE B -- SUBRECIPIENTS
Accounting Policies: The accompanying schedule of expenditures of federal awards is a summary of the activity of the City's federal award programs. The schedule has been prepared using the cash basis of accounting. The information in this schedule is presented 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).
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The City passes certain federal awards received from the United States Department of Housing and Urban Development to other governments or not-forprofit
agencies (subrecipients). As Note A describes, the City reports expenditures of Federal awards to subrecipients when paid in cash. As a pass-through
entity, the City has certain compliance responsibilities, such as monitoring its subrecipients to help assure they use these subawards as authorized by laws,
regulations, and the provisions of contracts or grant agreements, and that subrecipients achieve the award's performance goals.