Notes to SEFA
Accounting Policies: The Single Audit is the performance of a uniform audit of all the School Systems federalgrants in conjunction with the annual audit of the basic financial statements. The adoption of such a procedure was formalized by Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements of Federal Awards (Uniform Guidance). The Single Audit fulfills all the Federal agencies audit requirements, which include financial, compliance and the adequacy of internal control. The programs tested as major programs are indicated by an asterisk, placed at the total expenditures of the applicable program, on the Schedule of Expenditures of Federal Awards and on the Schedule of Findings and Questioned Costs.The accompanying Schedule of Expenditure of Federal Awards has been prepared on the modified accrual basis of accounting. Grant revenues are recorded for financial reporting purposes when expenditures are made in accordance with the requirements of the respective grants.
De Minimis Rate Used: N
Rate Explanation: The School Systems indirect cost rate is approved annually by the Maryland State Department of Education. For the year ended June 30, 2022, the indirect cost rate was 3.01%.