Notes to SEFA
Title: BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting for proprietary fundand modified accrual basis of accounting governmental funds. Such expenditures are recognized followingthe cost principles contained in the Uniform Guidance, wherein certain types of expenditures are notallowable or are limited to reimbursement.
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 award activity of the City of Gonzales under programs of the federal government for the year ended May 31, 2022. 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 AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of the City of Gonzales, it is not intended to and does not present the financial position, changes in financial position, or where applicable cash flows of the City of Gonzales.
Title: SUBRECIPIENTS
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting for proprietary fundand modified accrual basis of accounting governmental funds. Such expenditures are recognized followingthe cost principles contained in the Uniform Guidance, wherein certain types of expenditures are notallowable or are limited to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
There were no awards passed through to subrecipients.
Title: RECONCILIATION OF FEDERAL EXPENDITURES TO THE FINANCIAL STATEMENTS
Accounting Policies: Expenditures reported on the Schedule are reported on the accrual basis of accounting for proprietary fundand modified accrual basis of accounting governmental funds. Such expenditures are recognized followingthe cost principles contained in the Uniform Guidance, wherein certain types of expenditures are notallowable or are limited to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Federal revenues as reported on the Schedule of Revenues, Expenditures,and Changes in Fund Balances-Governmental Fund Types $ 2,775,738Add: Equitable sharing revenues received in prior year 5,500Less: DEA expenditures included in prior year (1,276) Less: FEMA expenditures included in prior year (22,628)Federal grant expenditures as reported on the Schedule of Expenditures ofFederal Awards $ 2,757,334