Audit 320033

Title: FEDERAL LOANS AND LOAN GUARANTEE PROGRAMS OUTSTANDING Accounting Policies: The accompanying schedule of expenditures of federal awards (the "schedule") includes the federal award activity of the City of West Liberty, Kentucky under programs of the federal government for the year ended June 30, 2024. 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). Because the Schedule presents only a selected portion of the operations of the City of West Liberty, Kentucky, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City of West Liberty, Kentucky. 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 adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. De Minimis Rate Used: N Rate Explanation: The City of West Liberty, Kentucky has not adopted an indirect cost rate and has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The City of West Liberty, Kentucky received funding from the Environmental Protection Agency passed through the Kentucky Infrastructure Authority for CFDA #66.468 Capitalization Grants for Drinking Water State Revolving Funds in fiscal year ending June 30, 2024. The balance of the loan outstanding at June 30, 2024 is $261,486.