Title: Summary of Significant Accounting Policies
Accounting Policies: The accompanying schedule of expenditures of Federal awards (the Schedule) includes the federal award
activity of the Long Island Power Authority (LIPA) under programs of the Federal government for the year
ended December 31, 2023. The information in the Schedule is presented in accordance with the
requirements of the Title 2 U.S. Code of Federal Regulations 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 LIPA, it is not intended to and does not
present the financial position, changes in net position, or cash flows of LIPA.
After a presidentially declared disaster, the U.S. Federal Emergency Management Agency (FEMA)
provides a public assistance grant to reimburse eligible costs associated with repair, replacement, or
restoration of disaster-damaged facilities. The Federal Government reimburses in the form of cost-shared
grants.
Expenditures reported on the Schedule are reported once both expenditures have been incurred by LIPA
and FEMA has obligated the award. 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, if any, represent adjustments or credits
made in the normal course of business to amounts reported as expenditures in prior years.
LIPA did not pass-through any federal awards to subrecipients during the year ended December 31, 2023.
De Minimis Rate Used: N
Rate Explanation: LIPA has not elected to use the ten-percent de minimis indirect cost rate allowed by the Uniform Guidance
The accompanying schedule of expenditures of Federal awards (the Schedule) includes the federal award
activity of the Long Island Power Authority (LIPA) under programs of the Federal government for the year
ended December 31, 2023. The information in the Schedule is presented in accordance with the
requirements of the Title 2 U.S. Code of Federal Regulations 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 LIPA, it is not intended to and does not
present the financial position, changes in net position, or cash flows of LIPA.
After a presidentially declared disaster, the U.S. Federal Emergency Management Agency (FEMA)
provides a public assistance grant to reimburse eligible costs associated with repair, replacement, or
restoration of disaster-damaged facilities. The Federal Government reimburses in the form of cost-shared
grants.
Expenditures reported on the Schedule are reported once both expenditures have been incurred by LIPA
and FEMA has obligated the award. 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, if any, represent adjustments or credits
made in the normal course of business to amounts reported as expenditures in prior years.
LIPA did not pass-through any federal awards to subrecipients during the year ended December 31, 2023
Title: Auditee Use of the De Minimis Cost Rate
Accounting Policies: The accompanying schedule of expenditures of Federal awards (the Schedule) includes the federal award
activity of the Long Island Power Authority (LIPA) under programs of the Federal government for the year
ended December 31, 2023. The information in the Schedule is presented in accordance with the
requirements of the Title 2 U.S. Code of Federal Regulations 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 LIPA, it is not intended to and does not
present the financial position, changes in net position, or cash flows of LIPA.
After a presidentially declared disaster, the U.S. Federal Emergency Management Agency (FEMA)
provides a public assistance grant to reimburse eligible costs associated with repair, replacement, or
restoration of disaster-damaged facilities. The Federal Government reimburses in the form of cost-shared
grants.
Expenditures reported on the Schedule are reported once both expenditures have been incurred by LIPA
and FEMA has obligated the award. 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, if any, represent adjustments or credits
made in the normal course of business to amounts reported as expenditures in prior years.
LIPA did not pass-through any federal awards to subrecipients during the year ended December 31, 2023.
De Minimis Rate Used: N
Rate Explanation: LIPA has not elected to use the ten-percent de minimis indirect cost rate allowed by the Uniform Guidance
LIPA has not elected to use the ten-percent de minimis indirect cost rate allowed by the Uniform Guidance.
Title: Relationship to Federal Financial Report
Accounting Policies: The accompanying schedule of expenditures of Federal awards (the Schedule) includes the federal award
activity of the Long Island Power Authority (LIPA) under programs of the Federal government for the year
ended December 31, 2023. The information in the Schedule is presented in accordance with the
requirements of the Title 2 U.S. Code of Federal Regulations 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 LIPA, it is not intended to and does not
present the financial position, changes in net position, or cash flows of LIPA.
After a presidentially declared disaster, the U.S. Federal Emergency Management Agency (FEMA)
provides a public assistance grant to reimburse eligible costs associated with repair, replacement, or
restoration of disaster-damaged facilities. The Federal Government reimburses in the form of cost-shared
grants.
Expenditures reported on the Schedule are reported once both expenditures have been incurred by LIPA
and FEMA has obligated the award. 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, if any, represent adjustments or credits
made in the normal course of business to amounts reported as expenditures in prior years.
LIPA did not pass-through any federal awards to subrecipients during the year ended December 31, 2023.
De Minimis Rate Used: N
Rate Explanation: LIPA has not elected to use the ten-percent de minimis indirect cost rate allowed by the Uniform Guidance
The regulations and guidelines governing preparation of Federal financial reports may not match the
accounting principles used by LIPA to present amounts in the Schedule. Accordingly, the amounts reported
in the federal financial reports do not necessarily agree with the amounts reported in the accompanying
Schedule.
Title: Matching Costs
Accounting Policies: The accompanying schedule of expenditures of Federal awards (the Schedule) includes the federal award
activity of the Long Island Power Authority (LIPA) under programs of the Federal government for the year
ended December 31, 2023. The information in the Schedule is presented in accordance with the
requirements of the Title 2 U.S. Code of Federal Regulations 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 LIPA, it is not intended to and does not
present the financial position, changes in net position, or cash flows of LIPA.
After a presidentially declared disaster, the U.S. Federal Emergency Management Agency (FEMA)
provides a public assistance grant to reimburse eligible costs associated with repair, replacement, or
restoration of disaster-damaged facilities. The Federal Government reimburses in the form of cost-shared
grants.
Expenditures reported on the Schedule are reported once both expenditures have been incurred by LIPA
and FEMA has obligated the award. 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, if any, represent adjustments or credits
made in the normal course of business to amounts reported as expenditures in prior years.
LIPA did not pass-through any federal awards to subrecipients during the year ended December 31, 2023.
De Minimis Rate Used: N
Rate Explanation: LIPA has not elected to use the ten-percent de minimis indirect cost rate allowed by the Uniform Guidance
Matching costs, (i.e. the non-Federal share of certain program costs), are not included in the accompanying
Schedule.
Title: Disaster Grants – Public Assistance (Presidentially Declared Disasters)
Accounting Policies: The accompanying schedule of expenditures of Federal awards (the Schedule) includes the federal award
activity of the Long Island Power Authority (LIPA) under programs of the Federal government for the year
ended December 31, 2023. The information in the Schedule is presented in accordance with the
requirements of the Title 2 U.S. Code of Federal Regulations 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 LIPA, it is not intended to and does not
present the financial position, changes in net position, or cash flows of LIPA.
After a presidentially declared disaster, the U.S. Federal Emergency Management Agency (FEMA)
provides a public assistance grant to reimburse eligible costs associated with repair, replacement, or
restoration of disaster-damaged facilities. The Federal Government reimburses in the form of cost-shared
grants.
Expenditures reported on the Schedule are reported once both expenditures have been incurred by LIPA
and FEMA has obligated the award. 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, if any, represent adjustments or credits
made in the normal course of business to amounts reported as expenditures in prior years.
LIPA did not pass-through any federal awards to subrecipients during the year ended December 31, 2023.
De Minimis Rate Used: N
Rate Explanation: LIPA has not elected to use the ten-percent de minimis indirect cost rate allowed by the Uniform Guidance
As a result of various weather events that have been presidentially declared disasters, LIPA has been
awarded various public assistance grants. The amounts reported on the Schedule for the year ended
December 31, 2023 relate to costs incurred in connection with Winter Storm Elliot which were incurred in
December 2022, however were obligated in 2023. In addition, LIPA continues to incur storm mitigation
costs related to FEMA awards made in connection with Hurricane Sandy. The amounts reported on the
Schedule for storm mitigation costs related to Hurricane Sandy were incurred in 2023, however, obligated
by FEMA in prior years.