Title: RELATIONSHIP TO FINANCIAL REPORTS SUBMITTED TO GRANTOR AGENCIES
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal grant activity of Alabama Rural Water Association, Inc., Inc. for the year ended December 31, 2023 and is presented on the accrual basis of accounting. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost of Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this Schedule may differ from amounts presented in or used in the preparation of the Association’s financial statements. Because the schedule presents only a selected portion of the operations of the Association, it is not intended to and does not represent the financial position of the Association.
De Minimis Rate Used: N
Rate Explanation: The Uniform guidance allows an organization to elect a 10% de minimis indirect cost rate. The Association did not elect to use this rate for the year ended December 31, 2023.
Amounts reflected in the financial reports filed with grantor agencies for the programs and the supplementary schedules may not agree because of accruals not included in the reports filed with the agencies, matching requirements not included in the Schedule of Expenditures of Federal Awards, and different program year ends.
Title: FEDERALLY FUNDED LOANS
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal grant activity of Alabama Rural Water Association, Inc., Inc. for the year ended December 31, 2023 and is presented on the accrual basis of accounting. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost of Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this Schedule may differ from amounts presented in or used in the preparation of the Association’s financial statements. Because the schedule presents only a selected portion of the operations of the Association, it is not intended to and does not represent the financial position of the Association.
De Minimis Rate Used: N
Rate Explanation: The Uniform guidance allows an organization to elect a 10% de minimis indirect cost rate. The Association did not elect to use this rate for the year ended December 31, 2023.
The Association participates in the United States Department of Agriculture (USDA) Intermediary Relending Program under Assistance Listing number 10.767. Expenditures reported on the Schedule represent the outstanding loan balance of $464,232 as of December 31, 2022, plus current year disbursements of $150,000 to eligible systems. The outstanding balance of the loans as of December 31, 2023 is $438,082.
Title: NONCASH AWARDS
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal grant activity of Alabama Rural Water Association, Inc., Inc. for the year ended December 31, 2023 and is presented on the accrual basis of accounting. The information in this Schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost of Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amounts presented in this Schedule may differ from amounts presented in or used in the preparation of the Association’s financial statements. Because the schedule presents only a selected portion of the operations of the Association, it is not intended to and does not represent the financial position of the Association.
De Minimis Rate Used: N
Rate Explanation: The Uniform guidance allows an organization to elect a 10% de minimis indirect cost rate. The Association did not elect to use this rate for the year ended December 31, 2023.
During the year ended December 31, 2023, the Association did not receive any non-cash assistance.