Notes to SEFA
Accounting Policies: EXPENDITURES REPORTED ON THE SCHEDULE ARE REPORTED ON THE REGULATORY BASIS OF ACCOUNTING AS DESCRIBED IN THE KANSAS MUNICIPAL AUDIT AND ACCOUNTING GUIDE (KMAAG). THE KMAAG REGULATORY BASIS OF ACCOUNTING INVOLVES THE RECOGNITION OF CASH, CASH EQUIVALENTS, MARKETABLE INVESTMENTS, AND CERTAIN ACCOUNTS PAYABLE AND ENCUMBRANCE OBLIGATIONS TO ARRIVE AT A NET UNENCUMBERED CASH AND INVESTMENTS OF A FUND RESULTING FROM THE DIFFERENCE IN REGULATORY BASIS REVENUES AND REGULATORY BASIS EXPENDITURES FOR THE FISCAL YEAR. ALL RECOGNIZED ASSETS AND LIABILITIES ARE MEASURED AND REPORTED AT COST, UNLESS THEY HAVE BEEN PERMANENTLY IMPAIRED AND HAVE NO FUTURE CASH VALUE OR REPRESENT NO FUTURE OBLIGATIONS AGAINST CASH. THE KMAAG REGULATORY BASIS DOES NOT RECOGNIZE CAPITAL ASSETS, LONG-TERM DEBT ASSIGNMENTS TO A FUND, ACCRUED RECEIVABLES AND PAYABLES, OR ANY OTHER ASSETS, LIABILITIES OR DEFERRED INFLOWS OR OUTFLOWS, OTHER THAN MENTIONED ABOVE. EXPENDITURES AS REPORTED ON THE SCHEDULE ARE RECOGNIZED UNDER THE BASIS DESCRIBED ABOVE AND FOLLOW THE COST PRINCIPLES CONTAINED IN THE UNIFORM GUIDANCE REGARDING COST PRINCIPLES WHEREIN CERTAIN TYPES OF EXPENDITURES ARE NOT ALLOWED 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. PASS-THROUGH ENTITY IDENTIFYING NUMBERS ARE PRESENTED WHERE AVAILABLE.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.