Audit 337668

Title: NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Big Horn County School District Number 3 and is presented on the modified accrual basis of accounting, except for amounts presented in accordance with the requirements of Uniform Guidance, Audits of States, Local Governments, and Non-Profit Organizations. De Minimis Rate Used: Y Rate Explanation: The District is eligible to apply up to a 14% de minimis indirect cost rate on certain grants that have been awarded. The District has evaluated the application of indirect costs on a grant-by-grant basis. The accompanying schedule of expenditures of federal awards includes the federal grant activity of Big Horn County School District Number 3 and is presented on the modified accrual basis of accounting, except for amounts presented in accordance with the requirements of Uniform Guidance, Audits of States, Local Governments, and Non-Profit Organizations. The District is eligible to apply up to a 14% de minis indirect cost rate on certain grants that have been awarded. The District has evaluated the application of indirect costs on a grant-by-grant basis.

Title: NOTE B - COMMODITIES Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Big Horn County School District Number 3 and is presented on the modified accrual basis of accounting, except for amounts presented in accordance with the requirements of Uniform Guidance, Audits of States, Local Governments, and Non-Profit Organizations. De Minimis Rate Used: Y Rate Explanation: The District is eligible to apply up to a 14% de minimis indirect cost rate on certain grants that have been awarded. The District has evaluated the application of indirect costs on a grant-by-grant basis. Nonmonetary assistance, such as food received from the United States Department of Agriculture, is reported as revenue at fair market value.

Title: NOTE C - SUBRECIPIENTS Accounting Policies: The accompanying schedule of expenditures of federal awards includes the federal grant activity of Big Horn County School District Number 3 and is presented on the modified accrual basis of accounting, except for amounts presented in accordance with the requirements of Uniform Guidance, Audits of States, Local Governments, and Non-Profit Organizations. De Minimis Rate Used: Y Rate Explanation: The District is eligible to apply up to a 14% de minimis indirect cost rate on certain grants that have been awarded. The District has evaluated the application of indirect costs on a grant-by-grant basis. Big Horn County School District Number 3 has no subreceipients that receive federal funds that are passed through the District.