Notes to SEFA
Title: Note 1. Basis of Presentation
Accounting Policies: Expenditures reported on the Schedule are reported on the modified 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: Kodiak Island Borough has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal award activity of Kodiak Island Borough 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 Kodiak Island Borough, it is not intended to and does not present the basic financial statements of Kodiak Island Borough.
Title: Note 2. Passed Through Awards
Accounting Policies: Expenditures reported on the Schedule are reported on the modified 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: Kodiak Island Borough has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The following amount was passed through to subrecipients during the year ended June 30, 2024:
The Salvation Army Kodiak Corps $ 261
Title: Note 3. Reporting Entity
Accounting Policies: Expenditures reported on the Schedule are reported on the modified 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: Kodiak Island Borough has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The Kodiak Island Borough, for purposes of the supplementary schedule of expenditures of federal awards includes all the funds of the primary government. It does not include the component unit of Kodiak Island Borough as follows:
The Kodiak Island Borough School District
The Kodiak Island Borough’s basic financial statements include $8,728,864 in federal awards expended for the Kodiak Island Borough School District, a component unit of the Kodiak Island Borough. These monies are excluded from this schedule. Separate reports on compliance and internal control dated October 24, 2024, were issued for the Kodiak Island Borough School District
Title: Note 4. Federal Loan Balances
Accounting Policies: Expenditures reported on the Schedule are reported on the modified 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. Negative amounts shown on the Schedule represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years.
De Minimis Rate Used: N
Rate Explanation: Kodiak Island Borough has elected not to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The federal portion of the outstanding balances for the Alaska Clean Water Loan Revolving Loan Funds are as follows:
Loan # 505071 $ 986,524