Audit 336278

Title: NOTE A - BASIS OR PRESENTATION Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southeast Kansas Community Action Program, Inc. and presents expenditures on the accrual basis of accounting, except for subsidy programs, which follows REAC PHA - Financial Accounting Brief - Accounting Issue #10, which defines a Federal expenditure expended for single audit purposes as when dollars are received. The information in this schedule is presented in accordance with the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: NONE The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southeast Kansas Community Action Program, Inc. and presents expenditures on the accrual basis of accounting, except for subsidy programs, which follows REAC PHA - Financial Accounting Brief - Accounting Issue #10, which defines a Federal expenditure expended for single audit purposes as when dollars are received. The information in this schedule is presented in accordance with the Uniform Guidance.

Title: NOTE B - INDIRECT COST RATE Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southeast Kansas Community Action Program, Inc. and presents expenditures on the accrual basis of accounting, except for subsidy programs, which follows REAC PHA - Financial Accounting Brief - Accounting Issue #10, which defines a Federal expenditure expended for single audit purposes as when dollars are received. The information in this schedule is presented in accordance with the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: NONE Southeast Kansas Community Action Program, Inc. did not elect to use the 10% de minimis cost rate.

Title: NOTE C - LOANS Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Southeast Kansas Community Action Program, Inc. and presents expenditures on the accrual basis of accounting, except for subsidy programs, which follows REAC PHA - Financial Accounting Brief - Accounting Issue #10, which defines a Federal expenditure expended for single audit purposes as when dollars are received. The information in this schedule is presented in accordance with the Uniform Guidance. De Minimis Rate Used: N Rate Explanation: NONE The accompanying schedule of expenditures of federal awards includes the outstanding balance at 12/01/2023 of HUD Section 202 loans because the Federal Government imposes continuing compliance requirements. Loan Balance at the end of the period 09/30/2024 was $43,889.97