Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Modified Basis of accounting
De Minimis Rate Used: N
Rate Explanation: Tatum Independent School District has elected not to use the 10-percent de minimis indirect cost rate
allowed under the Uniform Guidance.
The accompanying schedule of expenditures of federal awards includes the federal grant activity of Tatum
Independent School District and is presented on the modified 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 Principles, and Audit
Requirements for Federal Awards. Therefore, some amounts presented in this schedule may differ from
amounts presented in, or used in the preparation of, the basic financial statements. Federal grants funds
are considered to be earned to the extent of expenditures made under the provisions of the grant and
accordingly when such funds are received, they are recorded as deferred revenues until earned.
The Commodity Supplemental Food Program (CFDA 10.565) received like-kind goods. The monetary value
of these goods was $73,838 for the year ended August 31, 2024. This monetary value was reported on the
schedule.
The District participates in numerous state and federal grant programs governed by various rules and
regulations of the grantor agencies. Expenditures are recognized following the cost principles contained in
the Uniform Guidance, wherein certain types of expenditures are not allowed or are limited as to
reimbursement. Costs charged to the respective grant programs are subject to audit and adjustment by the
grantor agencies; therefore, to the extent that the District has not complied with the rules and regulations
governing the grants, if any, refunds of any money received may be required and the collectability of any
related receivable at August 31, 2023, may be impaired. Negative amounts shown, if any, represent
adjustments or credits made in the normal course of business to amounts reported as expenditures in prior
years. In the opinion of the District, there are no significant contingent liabilities relating to compliance with
the rules and regulations governing the respective grants; therefore, no provision has been recorded in the
accompanying basic financial statements for such contingency.
Tatum Independent School District has elected not to use the 10-percent de minimis indirect cost rate
allowed under the Uniform Guidance.
Reconciliation of Federal Awards
The following reconciles federal expenditures per the Schedule of Expenditures of Federal Awards (SEFA)
to the federal revenue reported on Exhibit C-2:
Federal expenditures per SEFA $ 8,822,987
SHARS 90,195
Federal revenue per Exhibit C-2 $ 2,913,182