Title: Basis of Presentation
Accounting Policies: Expenditures reported on the accompanying Schedule are reported on the modified accrual basis of accounting, which is described in Note 1 to the City’s financial statements. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: During the year ended December 31, 2023, the City has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal grant activity of the City of Harahan (the City) under programs of the federal government for the year ended December 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 Audit Requirements for Federal Awards (Uniform Guidance). The City’s reporting entity is defined in Note 1 to the financial statements for the year ended December 31, 2023. Federal awards received directly from federal agencies, as well as federal awards passed
through other government agencies, are included on the Schedule.
Title: Relationship to Financial Statements
Accounting Policies: Expenditures reported on the accompanying Schedule are reported on the modified accrual basis of accounting, which is described in Note 1 to the City’s financial statements. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: During the year ended December 31, 2023, the City has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Federal award expenditures are reported in the City’s financial statements as follows:
Federal Sources
ARPA fund $ 825,661
FEMA fund 127,038
Total federal revenue $ 952,699
Title: De Minimis Cost Rate
Accounting Policies: Expenditures reported on the accompanying Schedule are reported on the modified accrual basis of accounting, which is described in Note 1 to the City’s financial statements. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: During the year ended December 31, 2023, the City has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
During the year ended December 31, 2023, the City has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: Amounts Passed Through to Subrecipients
Accounting Policies: Expenditures reported on the accompanying Schedule are reported on the modified accrual basis of accounting, which is described in Note 1 to the City’s financial statements. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: During the year ended December 31, 2023, the City has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
During the year ended December 31, 2023, the City did not pass through any federal funds to subrecipients.
Title: Disaster Grant – Public Assistance Listing 97.036
Accounting Policies: Expenditures reported on the accompanying Schedule are reported on the modified accrual basis of accounting, which is described in Note 1 to the City’s financial statements. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: During the year ended December 31, 2023, the City has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The FEMA grant expenditures are reported on the SEFA when 1) FEMA has approved the project application, and 2) eligible expenditures have been incurred. During the year ending December 31, 2023, FEMA approved $127,038 of eligible expenditures, which were incurred during the years ending
December 31, 2023 and 2022.
Title: Loan from Federal Programs
Accounting Policies: Expenditures reported on the accompanying Schedule are reported on the modified accrual basis of accounting, which is described in Note 1 to the City’s financial statements. Such expenditures are recognized following the cost principles contained in accordance with the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this schedule may differ from amounts presented, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: During the year ended December 31, 2023, the City has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
The City entered into an agreement with the Louisiana Department of Environmental Quality (LDEQ) whereby the LDEQ has committed to loan the City up to $4,000,000 to fund improvements to the City’s wastewater system. The loan proceeds are provided to the City in incremental amounts as project costs are incurred. A portion of the loan proceeds are funded by the federal Clean Water State Revolving Fund (CWSRF) program. The indebtedness to the LDEQ is evidenced through the LDEQ Taxable Sewer Revenue Bonds, Series 2014. Future principal payments are based on a percent of the outstanding principal amount on the day before the applicable principal payment date. Interest on the bonds is incurred at the rate of 0.45%, and the LDEQ administrative fee rate is 0.5%. Interest and administrative fee payments began on August 1, 2014 and are due semiannually thereafter. As of December 31, 2023, $2,814,991 is included in bonds payable on the financial statements. There were no drawdowns on the loan during the year ended December 31, 2023, and therefore, no amounts are included on the Schedule. This is not a federal loan or loan guarantee program, and as a result, the outstanding liability is not included on the Schedule.