Notes to SEFA
Title: NOTE 3 - CHILD NUTRITION CLUSTER
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity
of the Heath City School District under programs of the federal government for the fiscal year ended June 30, 2024
and is prepared in accordance with the cash basis of accounting. The information on this Schedule is prepared 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 the Heath City School District, it is not intended to
and does not present the financial position or changes in net position of the Heath City School District. Such
expenditures are recognized following cost principles contained in Uniform Guidance wherein certain types of
expenditures may or may not be limited to as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: CFR Section 200.414 of the Uniform Guidance allows a non-federal entity that has never received a negotiated
indirect cost rate to charge a de minimis rate of 10% of modified total direct costs to indirect costs. The Heath City
School District has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The Heath City School District commingles cash receipts from the U.S. Department of Agriculture with similar
State grants. When reporting expenditures on this Schedule, the Heath City School District assumes it expends
federal monies first.
Title: NOTE 4 – FOOD DONATION PROGRAM
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity
of the Heath City School District under programs of the federal government for the fiscal year ended June 30, 2024
and is prepared in accordance with the cash basis of accounting. The information on this Schedule is prepared 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 the Heath City School District, it is not intended to
and does not present the financial position or changes in net position of the Heath City School District. Such
expenditures are recognized following cost principles contained in Uniform Guidance wherein certain types of
expenditures may or may not be limited to as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: CFR Section 200.414 of the Uniform Guidance allows a non-federal entity that has never received a negotiated
indirect cost rate to charge a de minimis rate of 10% of modified total direct costs to indirect costs. The Heath City
School District has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The Heath City School District reports commodities consumed on the Schedule at the entitlement value. The Heath
City School District allocated donated food commodities to the respective program that benefitted from the use of
those donated food commodities.
Title: NOTE 5 – PASS-THROUGH FUNDS
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity
of the Heath City School District under programs of the federal government for the fiscal year ended June 30, 2024
and is prepared in accordance with the cash basis of accounting. The information on this Schedule is prepared 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 the Heath City School District, it is not intended to
and does not present the financial position or changes in net position of the Heath City School District. Such
expenditures are recognized following cost principles contained in Uniform Guidance wherein certain types of
expenditures may or may not be limited to as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: CFR Section 200.414 of the Uniform Guidance allows a non-federal entity that has never received a negotiated
indirect cost rate to charge a de minimis rate of 10% of modified total direct costs to indirect costs. The Heath City
School District has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
The Heath City School District was awarded federal program allocations to be administered on their behalf by the
Licking Regional Educational Service Center. For fiscal year 2024, the Heath City School District’s allocations were
as follows:
Grant/Program Name ALN Passed/Transferred to Award Amount
English Language Acquisition State Grants 84.365A Licking Regional Educational Service Center $ 601