Notes to SEFA
Title: Basis of Presentation and Accounting
Accounting Policies: See next tab
De Minimis Rate Used: N
Rate Explanation: The City does not utilize the 10% de minimis indirect cost rate.
The accompanying schedule of expenditures of federal awards is presented using the modified accrual basis of
accounting. Under the modified accrual basis of accounting, expenditures are recognized when the related liability is
incurred. In instances where the grant agreement requires the City to match grant awards with City funds, such matching
funds are excluded from the accompanying schedule of expenditures of federal awards. Grant programs that did not
have 2024 transactions have not been presented herein. The majority of these programs have completed their
program activities but may not have been formally closed out. Grant revenues and expenditures incurred prior to
2024 under these grants remain subject to audit by either the grantor agency or its representatives within the
limitations of the Uniform Guidance. Federal grant programs that are administered through State agencies (pass-through awards) have been included in
the accompanying schedule of expenditures of federal awards. These programs are operated according to federal
regulations promulgated by the originating federal agency providing the funding. The City does not utilize the 10% de minimis indirect cost rate. The City’s Capitalization Grants for Clean Water State Revolving Fund Loan have the following outstanding loan
balances. The draws made during the year are included in the schedule of expenditures of federal awards. The
balances of the loans outstanding at June 30, 2024 are: CW 2019-001 $8,331,753,465, CW 2020-013 $583,769 and DW 2023-003 $4,378.