Notes to SEFA
Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of Cabrillo Economic Development Corporation under programs of the federal government for the year ended December 31, 2023. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of Cabrillo Economic Development Corporation, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Cabrillo Economic Development Corporation. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in (the Uniform Guidance and/or OMB Circular A0122, Cost Principles for Non-profit Organizations), wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts reflected in the Schedule represent adjustments or credits resulting from the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: Expenditures reported on the Schedule are reported on the 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. Negative amounts shown on the Schedule represent adjustment or credits made in the normal course of business to amounts reported as expenditures in prior years. Cabrillo Economic Development Corporation has elected to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance, where it was mandated by the grant contract. Cabrillo Economic Development Corporation has not elected to use the 10-percent de minimis indirect cost rate, as to any federal grants awarded, whereby the indirect cost rate was not required to be 10%.