Notes to SEFA
Title: Note 1: Basis of Presentation
Accounting Policies: Expenditures reported in the SEFSA are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles
De Minimis Rate Used: N
Rate Explanation: The Town of Carthage l has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The accompanying schedule of expenditures of Federal and State awards (SEFSA) includes the federal and State grant activity of the Town of Carthage under the
programs of the federal government and the State of North Carolina for the year ended June 30, 2023. The information in this SEFSA is presented in accordance
with the requirements of Title 2 US Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for
Federal Awards and the State Single Audit Implementation Act. Because the Schedule presents only a selected portion of the operations of the Town of Carthage,
it is not intended to and does not present the financial position, changes in net position, or cash flows of the Town of Carthage.
Title: Note 2: Summary of Significant Accounting Policies
Accounting Policies: Expenditures reported in the SEFSA are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles
De Minimis Rate Used: N
Rate Explanation: The Town of Carthage l has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Expenditures reported in the SEFSA are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles
Title: Note 3: Indirect Cost Rate
Accounting Policies: Expenditures reported in the SEFSA are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles
De Minimis Rate Used: N
Rate Explanation: The Town of Carthage l has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The Town of Carthage l has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Title: Note 4: Loan Balance
Accounting Policies: Expenditures reported in the SEFSA are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles
De Minimis Rate Used: N
Rate Explanation: The Town of Carthage l has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The outstanding balance of the USDA revenue bonds is $3,448,000.