Title: Note 1. Basis of Presentation
Accounting Policies: Expenditures reported on the Schedules are reported on the modified cash basis of accounting. Expenditures related to the Wastewater Trust and Fund loans are recognized when reimbursed. FEMA expenditures are recognized when they have been obligated to a project worksheet and eligible expenditures have been incurred.
De Minimis Rate Used: N
Rate Explanation: The Commission does not have an indirect cost allocation plan nor does it use the default rate of 10%.
The accompanying schedules of expenditures of federal awards and state financial assistance (the “Schedules”) include the federal award and state financial assistance activity of the Commission under programs of the federal and state government for the year ended December 31, 2023. The information in these Schedules 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”) and State of New Jersey Policy Circular Letter 15-08-OMB, Single Audit Policy for Recipients of Federal Grants, State Grants and State Aid. Because the Schedules present only a selected portion of the operations of the Commission, they are not intended to and do not present the financial position or change in reserves of the Commission.
Title: Note 2. Summary of Significant Accounting Policies
Accounting Policies: Expenditures reported on the Schedules are reported on the modified cash basis of accounting. Expenditures related to the Wastewater Trust and Fund loans are recognized when reimbursed. FEMA expenditures are recognized when they have been obligated to a project worksheet and eligible expenditures have been incurred.
De Minimis Rate Used: N
Rate Explanation: The Commission does not have an indirect cost allocation plan nor does it use the default rate of 10%.
Expenditures reported on the Schedules are reported on the modified cash basis of accounting. Expenditures related to the Wastewater Trust and Fund loans are recognized when reimbursed. FEMA expenditures are recognized when they have been obligated to a project worksheet and eligible expenditures have been incurred.
Title: Note 3. Indirect Cost Rate
Accounting Policies: Expenditures reported on the Schedules are reported on the modified cash basis of accounting. Expenditures related to the Wastewater Trust and Fund loans are recognized when reimbursed. FEMA expenditures are recognized when they have been obligated to a project worksheet and eligible expenditures have been incurred.
De Minimis Rate Used: N
Rate Explanation: The Commission does not have an indirect cost allocation plan nor does it use the default rate of 10%.
The Commission does not have an indirect cost allocation plan nor does it use the default rate of 10%.
Title: Note 4. Loans Outstanding
Accounting Policies: Expenditures reported on the Schedules are reported on the modified cash basis of accounting. Expenditures related to the Wastewater Trust and Fund loans are recognized when reimbursed. FEMA expenditures are recognized when they have been obligated to a project worksheet and eligible expenditures have been incurred.
De Minimis Rate Used: N
Rate Explanation: The Commission does not have an indirect cost allocation plan nor does it use the default rate of 10%.
The Commission had permanent and temporary loan balances outstanding of $72,033,878 and $283,258,918, respectively, at December 31, 2023.
Title: Note 5. Relationship to Basic Financial Statements
Accounting Policies: Expenditures reported on the Schedules are reported on the modified cash basis of accounting. Expenditures related to the Wastewater Trust and Fund loans are recognized when reimbursed. FEMA expenditures are recognized when they have been obligated to a project worksheet and eligible expenditures have been incurred.
De Minimis Rate Used: N
Rate Explanation: The Commission does not have an indirect cost allocation plan nor does it use the default rate of 10%.
Amounts reported in the accompanying Schedules agree with amounts reported in the Commission’s basic financial statements. See Note 2 for summary of the significant accounting policies and the table below for reconciliation of the Schedules to the basic financial statements.Expenditures Project/Grant Expenditures: Wastewater Treatment Trust Fund $51,602,138 Repair, Replacement & Improvement Fund 96,333,845 Add: Net of Prior Year and Current Year Portions Pending Grantor Payment Requisition Approval 443,824 Less: Matching Portions (1,479,853) $146,899,954 Reported On: Schedule of Expenditures of Federal Awards $119,439,905 Schedule of Expenditures of State Financial Assistance 27,460,049 $146,899,954