Title: Basis of Presentation
Accounting Policies: The accounting and financial reporting treatment applied to a fund is determined by its
measurement focus. The Governmental Fund types are accounted for using a current
financial resources measurement focus. All federal grant funds were accounted for in a
Special Revenue Fund, or in some instances, in the General Fund which are Governmental
Fund type funds.
With this measurement focus, only current assets and current liabilities and the fund balance
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 the Governmental Fund types. 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 fund liability is incurred, if measurable, except for unmatured interest on
General Long-Term Debt, which is recognized when due, and certain compensated absences
and claims and judgments, which are recognized when the obligations are expected to be
liquidated with expendable, available financial resources.
Federal grant funds are considered to be earned to the extent of expenditures made under the
provisions of the grant and, accordingly, when such funds are received in advance of the
expenditures, they are recorded as deferred revenues until earned.
The period of performance for federal grant funds for the purpose of liquidation of outstanding
obligations made on or before the ending date of the federal project period extended 90 days
beyond the federal project period ending date, in accordance with provisions in Section H,
Period of Performance of Federal Funds, 3 CFR Section 200.343(b).
De Minimis Rate Used: N
Rate Explanation: The District has elected not to use the 10% de minimis indirect cost rate allowed under the
Uniform Guidance.
Indirect cost reimbursement for federal program for this fiscal year was received in the amount
of $2,803,172.
The accompanying schedule of expenditures of federal awards (the "Schedule") includes the
federal award activity of Laredo Independent School District under programs of the federal
government for the year ended June 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).
The District utilizes the fund types specified in the Texas Education Agency's Financial
Accountability System Resource Guide (FASRG).
• General Fund - is accounted for, among other things, resources related to the United
States Department of Defense ROTC program.
• Special Revenue Funds - are used to account for resources restricted to, or
designated for, specific purposes by a grantor. Federal and state financial assistance
generally is accounted for in a Special Revenue Fund. Generally, unused balances
are returned to the grantor at the close of specified project periods.
Title: Reconciliation from the Schedule of Expenditures of Federal Awards to the Exhibit C-3
Accounting Policies: The accounting and financial reporting treatment applied to a fund is determined by its
measurement focus. The Governmental Fund types are accounted for using a current
financial resources measurement focus. All federal grant funds were accounted for in a
Special Revenue Fund, or in some instances, in the General Fund which are Governmental
Fund type funds.
With this measurement focus, only current assets and current liabilities and the fund balance
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 the Governmental Fund types. 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 fund liability is incurred, if measurable, except for unmatured interest on
General Long-Term Debt, which is recognized when due, and certain compensated absences
and claims and judgments, which are recognized when the obligations are expected to be
liquidated with expendable, available financial resources.
Federal grant funds are considered to be earned to the extent of expenditures made under the
provisions of the grant and, accordingly, when such funds are received in advance of the
expenditures, they are recorded as deferred revenues until earned.
The period of performance for federal grant funds for the purpose of liquidation of outstanding
obligations made on or before the ending date of the federal project period extended 90 days
beyond the federal project period ending date, in accordance with provisions in Section H,
Period of Performance of Federal Funds, 3 CFR Section 200.343(b).
De Minimis Rate Used: N
Rate Explanation: The District has elected not to use the 10% de minimis indirect cost rate allowed under the
Uniform Guidance.
Indirect cost reimbursement for federal program for this fiscal year was received in the amount
of $2,803,172.
Federal revenues in the General Fund consist of amounts attributed to the National School
Lunch Program, the ROTC Program, and the Medicaid Administrative Program.
Expenditures are not specifically attributable to these revenue sources and are shown as
amounts equal to federal revenues. The revenue for indirect costs is recognized in the General
Fund. Additionally, the SHARS Program is accounted for in the General Fund. SHARS
revenue is not considered federal financial assistance, and is therefore, not included in the
schedule.