Notes to SEFA
Accounting Policies: Note 1 BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the city of Marshall, Minnesota and is presented on the accrual basis of accounting. The information this schedule is presented in accordance with the requirements of the Uniform Guidance. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in, the preparation of the basic financial statements. NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. NOTE 3 PASS-THROUGH GRANT NUMBERS All pass-through entities listed above use the same CFDA numbers as the federal grantors to identify these grants and have no assigned any additional identifying numbers.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.