Title: 2
Accounting Policies: Basis of Presentation - The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of City of Ironwood, Michigan 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). Because the schedule presents only a selected portion of the operations of City of Ironwood, Michigan, it is not intended to and does not present the financial position or changes in net position of City of Ironwood, Michigan.
De Minimis Rate Used: N
Rate Explanation: City of Ironwood, Michigan has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Expenditures reported in the Schedule are presented on the modified accrual basis of accounting for the Governmental Funds and the accrual basis of accounting for the Proprietary Funds. 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.
Title: 4
Accounting Policies: Basis of Presentation - The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of City of Ironwood, Michigan 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). Because the schedule presents only a selected portion of the operations of City of Ironwood, Michigan, it is not intended to and does not present the financial position or changes in net position of City of Ironwood, Michigan.
De Minimis Rate Used: N
Rate Explanation: City of Ironwood, Michigan has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
City of Ironwood, Michigan, had twelve loans outstanding with U.S. Department of Agriculture at June 30, 2024, for a total of $17,823,000.
Title: 5
Accounting Policies: Basis of Presentation - The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of City of Ironwood, Michigan 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). Because the schedule presents only a selected portion of the operations of City of Ironwood, Michigan, it is not intended to and does not present the financial position or changes in net position of City of Ironwood, Michigan.
De Minimis Rate Used: N
Rate Explanation: City of Ironwood, Michigan has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Of the federal expenditures presented in the schedule, City of Ironwood, Michigan, provided no federal awards to subrecipients.
Title: 6
Accounting Policies: Basis of Presentation - The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of City of Ironwood, Michigan 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). Because the schedule presents only a selected portion of the operations of City of Ironwood, Michigan, it is not intended to and does not present the financial position or changes in net position of City of Ironwood, Michigan.
De Minimis Rate Used: N
Rate Explanation: City of Ironwood, Michigan has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
The major federal assistance program is listed in the Schedule of Findings and Questioned Costs. City of Ironwood, Michigan does not qualify as a low-risk auditee in accordance with the Uniform Guidance. Major programs, which must exceed 40% of the total federal awards expended, were selected using a risk-based approach based on auditors’ risk assessments. All other federal programs are considered non-major programs.
Title: 7
Accounting Policies: Basis of Presentation - The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of City of Ironwood, Michigan 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). Because the schedule presents only a selected portion of the operations of City of Ironwood, Michigan, it is not intended to and does not present the financial position or changes in net position of City of Ironwood, Michigan.
De Minimis Rate Used: N
Rate Explanation: City of Ironwood, Michigan has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Expenditures in this schedule are in agreement with the amounts reported in the financial statements. Following is a schedule reconciling the expenditures per the schedule of expenditures to the financial statements: Federal expenditures $7,151,621 Michigan Department of Transportation activity (see Note 8) $642,030 Current year construction i progress financed with loan funds and construction accounts payable $(5,674,000) Federal grant revenue per financial statements $2,119,651 Recap of Federal grand revenue per financial statements: General Fund $24,412 Major Street Fund $645,030 Library Fund $8,588 Water Utility Fund $1,444,621 $2,119,651
Title: 8
Accounting Policies: Basis of Presentation - The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of City of Ironwood, Michigan 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). Because the schedule presents only a selected portion of the operations of City of Ironwood, Michigan, it is not intended to and does not present the financial position or changes in net position of City of Ironwood, Michigan.
De Minimis Rate Used: N
Rate Explanation: City of Ironwood, Michigan has not elected to use the 10 percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Contracted Projects – The Michigan Department of Transportation (MDOT) requires that municipalities report all Federal and State grants pertaining to their entity. During the fiscal year ended June 30, 2024, the Federal aid expended by the City was $642,030 for a contracted project under U.S Department of Transportation A.L.N. #20.205. Contracted projects are defined as projects performed by private contractors paid for and administrated by MDOT. The contracted Federal projects are not subject to single audit requirements by municipalities, as they are included in MDOT’s Single Audit.