Audit 315630

Accounting Policies: NOTE A-BASIS OF PRESENTATION The accompanying schedule of expenditures of federal and state awards (the Schedules) includes the federal and state award activity of Kinney County, Texas under programs of the federal and state government for the year ended September 30, 2022. The information in these Schedules is presented in accordance 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) and the State Single Audit Circular. Because the Schedules presents only a selected portion of the operations of Kinney County, Texas, they are not intended to and do not present the financial position, changes in net assets, or cash flows of Kinney County, Texas. NOTE B-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures reported on the Schedules are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, the State Single Audit Circular wherein certain types of expenditures are not allowable or are limited as to reimbursement. NOTE C-INDIRECT COST RATE Kinney County, Texas has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: Kinney County, Texas has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.