Notes to SEFA
Title: Note 2- Program Costs
Accounting Policies: Note 1 - Basis of Accounting - This schedule is prepared on the same basis of accounting as the City of Spokane Valley financial statements. The City of Spokane Valley uses the accrual basis of accounting for all funds except for the governmental funds which use the modified accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: Note 3 - Indirect Cost Rate - The City does not record indirect costs and has not elected to use the 10-percent de minimus indirect cost rate allowed under the Uniform Guidance.
The amounts shown as current year expenditures represent only the federal grant portion of the program costs. Entire program costs, including the City’s portion, may be more than shown. Such expenditures are recognized following, as applicable, either the cost principles in the OMB Circular A-87, Cost Principles for State, Local, and Indian Tribal Governments, or the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Title: Note 4 - Closed Project Expenditures
Accounting Policies: Note 1 - Basis of Accounting - This schedule is prepared on the same basis of accounting as the City of Spokane Valley financial statements. The City of Spokane Valley uses the accrual basis of accounting for all funds except for the governmental funds which use the modified accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: Note 3 - Indirect Cost Rate - The City does not record indirect costs and has not elected to use the 10-percent de minimus indirect cost rate allowed under the Uniform Guidance.
A portion of reported expenditures for these projects are related to multiple years prior to 2023. Final grant reimbursements occurred following the end of the 2023 fiscal year. However, the amount of federal funds received in the final reimbursement combined with the funds received during 2022 exceed the recorded expenditures for the 2022 fiscal year.
Title: Note 5 - Final Closeout
Accounting Policies: Note 1 - Basis of Accounting - This schedule is prepared on the same basis of accounting as the City of Spokane Valley financial statements. The City of Spokane Valley uses the accrual basis of accounting for all funds except for the governmental funds which use the modified accrual basis of accounting.
De Minimis Rate Used: N
Rate Explanation: Note 3 - Indirect Cost Rate - The City does not record indirect costs and has not elected to use the 10-percent de minimus indirect cost rate allowed under the Uniform Guidance.
During the final project closeouts, $121,603.47 in ineligible expenditures from previous years were returned to the federal agency. This resulted in a negative balance for the projects and are not reported on the SEFA FY 2023.