Notes to SEFA
Title: 2. Major Program
Accounting Policies: The accompanying schedule of expenditures of federal and state awards (SEFA) includes the federal grant activity of Arenac County under programs of the federal government for the fiscal year ended December 31, 2023. Expenditures reported on the SEFA are reported on the same basis of accounting as the financial statements, although the basis for determining when the federal awards are expended is presented in accordance with the requirements of Uniform Guidance. In addition, expenditures reported on the SEFA are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in the SEFA may differ from amounts presented in, or used in the preparation of , the financial statements. Because the SEFA presents only a selected portion of the operations of Arenac County, it is not intended to, and does not, present the financial position, changes in net position, or cash flows, if applicable, of Arenac County. Arenac County reporting entity is defined in Note 1 to Arenac County's financial statements. All federal assistane received directly from the federal agencies as well as federal financial assistance passed through other government agencies is included on the SEFA. Arenac County does not have any subrecipients.
De Minimis Rate Used: N
Rate Explanation: Arenac County did not elect to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The major programs were Assistance Listing Number (ALN) 10.027, COVID-19 Coronavirus State and Local Fiscal Recovery Funds and ALN 10.923, Emergency Watershed Protection Program.
Title: 4. Reconciliation of SEFA to the Financial Statements
Accounting Policies: The accompanying schedule of expenditures of federal and state awards (SEFA) includes the federal grant activity of Arenac County under programs of the federal government for the fiscal year ended December 31, 2023. Expenditures reported on the SEFA are reported on the same basis of accounting as the financial statements, although the basis for determining when the federal awards are expended is presented in accordance with the requirements of Uniform Guidance. In addition, expenditures reported on the SEFA are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in the SEFA may differ from amounts presented in, or used in the preparation of , the financial statements. Because the SEFA presents only a selected portion of the operations of Arenac County, it is not intended to, and does not, present the financial position, changes in net position, or cash flows, if applicable, of Arenac County. Arenac County reporting entity is defined in Note 1 to Arenac County's financial statements. All federal assistane received directly from the federal agencies as well as federal financial assistance passed through other government agencies is included on the SEFA. Arenac County does not have any subrecipients.
De Minimis Rate Used: N
Rate Explanation: Arenac County did not elect to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The following schedule reconciles grant revenue reported in the December 31, 2023 financial statements to the federal award expenditures reported in the Schedule of Expenditures of Federal Awards.