Notes to SEFA
Title: Basis of Presentation
Accounting Policies: The accompanying schedules of expenditures of federal and state awards are presented using
the accrual basis of accounting which is described in Note 2 to the financial statements. 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.
Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Association has elected not to use the 10-percent de minimis indirect cost rate allowed
under the Uniform Guidance.
The accompanying schedules of expenditures of federal and state awards present the activity
of all financial assistance programs of the Association. The information in these schedules is
presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations
(CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements
for Federal Awards (Uniform Guidance) and the New Jersey State Circular 15-08-OMB, Single
Audit Policy for Recipients of Federal Grants, State Grants and State Aid. Therefore, some
amounts presented in these schedules may differ from amounts presented in, or used in the
preparation of the basic financial statements. All federal and state awards received directly
from federal and state agencies, as well as federal and state awards passed through other
government agencies are included in the schedules of expenditures of federal and state
awards. Because the schedules present only a selected portion of the operations of the
Association, they are not intended to and do not present the financial position, changes in net
assets, or cash flows of the Association.
Title: Sub-recipients
Accounting Policies: The accompanying schedules of expenditures of federal and state awards are presented using
the accrual basis of accounting which is described in Note 2 to the financial statements. 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.
Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Association has elected not to use the 10-percent de minimis indirect cost rate allowed
under the Uniform Guidance.
No federal or state awards were provided to sub-recipients.
Title: Relationship to Federal and State Financial Reports
Accounting Policies: The accompanying schedules of expenditures of federal and state awards are presented using
the accrual basis of accounting which is described in Note 2 to the financial statements. 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.
Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Association has elected not to use the 10-percent de minimis indirect cost rate allowed
under the Uniform Guidance.
The regulations and guidelines governing the preparation of federal and state financial reports
vary by federal and state agency and among programs administered by the same agencies.
Accordingly, the amounts reported in the federal and state financial reports do not necessarily
agree with the amounts reported in the accompanying schedules of expenditures of federal
and state awards, which are prepared on the accrual basis explained in Note 2.
Title: Single Audit – Type A/Type B Program Threshold
Accounting Policies: The accompanying schedules of expenditures of federal and state awards are presented using
the accrual basis of accounting which is described in Note 2 to the financial statements. 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.
Pass-through entity identifying numbers are presented where available.
De Minimis Rate Used: N
Rate Explanation: The Association has elected not to use the 10-percent de minimis indirect cost rate allowed
under the Uniform Guidance.
Dollar threshold used to distinguish between Type A and Type B programs is $750,000. Single
audit expenditure threshold requirement is $750,000.