Notes to SEFA
Title: Note 1
Accounting Policies: GAAP
De Minimis Rate Used: N
Rate Explanation: The City 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 awards (Schedule) includes the federal award activity of The City of Hooks, TX (the City) under programs of the federal government for the year ended September 30, 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). Because the Schedules presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position, changes in net position or cash flows of the City.
Title: Note 2
Accounting Policies: GAAP
De Minimis Rate Used: N
Rate Explanation: The City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Expenditures reported on the Schedules are reported on the accrual basis of accounting. 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. The City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance
Title: Note 3
Accounting Policies: GAAP
De Minimis Rate Used: N
Rate Explanation: The City has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The City has reviewed its records to determine if there should be any disclosure of events that has occurred as of the date of release of the Schedules. Based on the Organizations review for subsequent events, the City has determined that there are no items which need to be recorded in the Schedules as of September 30, 2023. These Schedules were made available as of October 8, 2024.