Title: NOTE A – BASIS OF PRESENTATION
Accounting Policies: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Council accounts for all federal and state awards under programs of the federal and state government in
the Special Revenue Funds. These programs are accounted for using a current financial resources
measurement focus. With this measurement focus, only current assets and current liabilities are generally
included on the balance sheet. Operating statements of these funds present increases (i.e. revenues and other
financing sources) and decreases (i.e. expenditures and other financing uses) in net current assets.
The modified accrual basis of accounting is used for these funds. This basis of accounting recognizes revenues
in the accounting period in which they become susceptible to accrual, i.e. both measurable and available, and
expenditures in the accounting period in which the liability is incurred, if measurable, except for certain
compensated absences and claims and judgments, which are recognized when the obligations are expected to
be liquidated with expendable available financial resources.
Federal and state grant funds for governmental funds are considered to be earned to the extent of expenditures
made under the provisions of the grant. When such funds are advanced to the Council, they are recorded as
unearned revenues until earned. Otherwise, federal and state grant funds are received on a reimbursement
basis from the respective federal or state program agencies. HUD pays on a per voucher basis, therefore, it is
not a reimbursement grant.
De Minimis Rate Used: N
Rate Explanation: NOTE C – INDIRECT COST RATE
Texoma Council of Governments has elected to not use the 10% de minimis indirect cost rate allowed under
the Uniform Guidance.
The accompanying schedule of expenditures of federal and state awards (the Schedule) includes the federal
and state award activity of Texoma Council of Governments under programs of the federal and state
government for the year ended April 30, 2024. The information in this Schedule 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 Texas
Grant Management Standards. Because the Schedule presents only a selected portion of the operations of
Texoma Council of Governments, it is not intended to and does not present the net position or changes in net
position of Texoma Council of Governments.
Title: NOTE D – RELATIONSHIP TO THE BASIC FINANCIAL STATEMENTS
Accounting Policies: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Council accounts for all federal and state awards under programs of the federal and state government in
the Special Revenue Funds. These programs are accounted for using a current financial resources
measurement focus. With this measurement focus, only current assets and current liabilities are generally
included on the balance sheet. Operating statements of these funds present increases (i.e. revenues and other
financing sources) and decreases (i.e. expenditures and other financing uses) in net current assets.
The modified accrual basis of accounting is used for these funds. This basis of accounting recognizes revenues
in the accounting period in which they become susceptible to accrual, i.e. both measurable and available, and
expenditures in the accounting period in which the liability is incurred, if measurable, except for certain
compensated absences and claims and judgments, which are recognized when the obligations are expected to
be liquidated with expendable available financial resources.
Federal and state grant funds for governmental funds are considered to be earned to the extent of expenditures
made under the provisions of the grant. When such funds are advanced to the Council, they are recorded as
unearned revenues until earned. Otherwise, federal and state grant funds are received on a reimbursement
basis from the respective federal or state program agencies. HUD pays on a per voucher basis, therefore, it is
not a reimbursement grant.
De Minimis Rate Used: N
Rate Explanation: NOTE C – INDIRECT COST RATE
Texoma Council of Governments has elected to not use the 10% de minimis indirect cost rate allowed under
the Uniform Guidance.
Federal and state awards are reported in the Council's basic financial statements as follows.
See SEFA Notes for graph/chart.
Title: NOTE E - RELATIONSHIP TO FEDERAL FINANCIAL STATUS REPORTS
Accounting Policies: NOTE B – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Council accounts for all federal and state awards under programs of the federal and state government in
the Special Revenue Funds. These programs are accounted for using a current financial resources
measurement focus. With this measurement focus, only current assets and current liabilities are generally
included on the balance sheet. Operating statements of these funds present increases (i.e. revenues and other
financing sources) and decreases (i.e. expenditures and other financing uses) in net current assets.
The modified accrual basis of accounting is used for these funds. This basis of accounting recognizes revenues
in the accounting period in which they become susceptible to accrual, i.e. both measurable and available, and
expenditures in the accounting period in which the liability is incurred, if measurable, except for certain
compensated absences and claims and judgments, which are recognized when the obligations are expected to
be liquidated with expendable available financial resources.
Federal and state grant funds for governmental funds are considered to be earned to the extent of expenditures
made under the provisions of the grant. When such funds are advanced to the Council, they are recorded as
unearned revenues until earned. Otherwise, federal and state grant funds are received on a reimbursement
basis from the respective federal or state program agencies. HUD pays on a per voucher basis, therefore, it is
not a reimbursement grant.
De Minimis Rate Used: N
Rate Explanation: NOTE C – INDIRECT COST RATE
Texoma Council of Governments has elected to not use the 10% de minimis indirect cost rate allowed under
the Uniform Guidance.
Amounts reported on the Schedule may not agree with the amount reported in the related Federal/State
financial status reports files with grantor agencies because of the effect of accruals made in the Schedule.