Title: Note 1: Basis of Presentation
Accounting Policies: The accompanying schedules of expenditures of federal awards and state financial assistance are
presented using the budgetary basis of accounting with the following exception: programs recorded in the
enterprise fund are presented using the accrual basis of accounting and programs recorded in the capital
projects fund are presented using the modified accrual basis of accounting. These bases of accounting are
described in Note 1 to the School District’s basic financial statements. 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
and New Jersey OMB’s Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State
Grants and State Aid. Therefore, some amounts presented in this schedule may differ from amounts
presented in, or used in the preparation of, the basic financial statements. Revenues and expenditures reported under the Food Distribution Program represent current year value
received and current year distributions respectively. The amount reported as TPAF Pension Contributions
represents the amount paid by the state on behalf of the School District for the year ended June 30, 2024.
TPAF Social Security Contributions represents the amount reimbursed by the state for the employer’s
share of social security contributions for TPAF members for the year ended June 30, 2024.
De Minimis Rate Used: N
Rate Explanation: The District has elected not to
use the 10-percent de minimis indirect cost rate allowed under Uniform Guidance
The accompanying schedules of expenditures of federal awards and state financial assistance include
federal and state award activity of the Board of Education, Town of Hammonton School District. The
Board of Education is defined in Note 1(A) to the Board's basic financial statements. All federal and state
awards received directly from federal and state agencies, as well as federal awards and state financial
assistance passed through other government agencies is included on the schedule of expenditures of
federal awards and state financial assistance.
Title: Note 3: Relationship to Basic Financial Statements
Accounting Policies: The accompanying schedules of expenditures of federal awards and state financial assistance are
presented using the budgetary basis of accounting with the following exception: programs recorded in the
enterprise fund are presented using the accrual basis of accounting and programs recorded in the capital
projects fund are presented using the modified accrual basis of accounting. These bases of accounting are
described in Note 1 to the School District’s basic financial statements. 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
and New Jersey OMB’s Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State
Grants and State Aid. Therefore, some amounts presented in this schedule may differ from amounts
presented in, or used in the preparation of, the basic financial statements. Revenues and expenditures reported under the Food Distribution Program represent current year value
received and current year distributions respectively. The amount reported as TPAF Pension Contributions
represents the amount paid by the state on behalf of the School District for the year ended June 30, 2024.
TPAF Social Security Contributions represents the amount reimbursed by the state for the employer’s
share of social security contributions for TPAF members for the year ended June 30, 2024.
De Minimis Rate Used: N
Rate Explanation: The District has elected not to
use the 10-percent de minimis indirect cost rate allowed under Uniform Guidance
The basic financial statements present the general fund and special revenue fund on a GAAP basis.
Budgetary comparison statements or schedules (RSI) are presented for the general fund and special
revenue fund to demonstrate finance-related legal compliance in which certain revenue is permitted by
law or grant agreement to be recognized in the audit year, whereas for GAAP reporting, revenue is not
recognized until the subsequent year or when expenditures have been made. The General fund is presented in the accompanying schedules on the modified accrual basis with the
exception of the revenue recognition of the one or more deferred June state aid payments in the current
budget year, which is mandated pursuant to N.J.S.A. 18A:22-44.2. For GAAP purposes payments are not
recognized until the subsequent budget year due to the state deferral and recording of the one or more
June state aid payments in the subsequent year. The special revenue fund is presented in the
accompanying schedules on the grant accounting budgetary basis, which recognizes encumbrances as
expenditures and also recognizes the related revenues, whereas the GAAP basis does not. The special
revenue fund also recognizes the one or more state aid June payments in the current budget year,
consistent with N.J.S.A. 18A:22-4.2.
Title: Note 4 : Relationship to Federal and State Financial Reports
Accounting Policies: The accompanying schedules of expenditures of federal awards and state financial assistance are
presented using the budgetary basis of accounting with the following exception: programs recorded in the
enterprise fund are presented using the accrual basis of accounting and programs recorded in the capital
projects fund are presented using the modified accrual basis of accounting. These bases of accounting are
described in Note 1 to the School District’s basic financial statements. 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
and New Jersey OMB’s Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State
Grants and State Aid. Therefore, some amounts presented in this schedule may differ from amounts
presented in, or used in the preparation of, the basic financial statements. Revenues and expenditures reported under the Food Distribution Program represent current year value
received and current year distributions respectively. The amount reported as TPAF Pension Contributions
represents the amount paid by the state on behalf of the School District for the year ended June 30, 2024.
TPAF Social Security Contributions represents the amount reimbursed by the state for the employer’s
share of social security contributions for TPAF members for the year ended June 30, 2024.
De Minimis Rate Used: N
Rate Explanation: The District has elected not to
use the 10-percent de minimis indirect cost rate allowed under Uniform Guidance
Amounts reported in the accompanying schedules agree with the amounts reported in the related federal
and state financial reports
Title: Note 5: Federal and State Loans Outstanding
Accounting Policies: The accompanying schedules of expenditures of federal awards and state financial assistance are
presented using the budgetary basis of accounting with the following exception: programs recorded in the
enterprise fund are presented using the accrual basis of accounting and programs recorded in the capital
projects fund are presented using the modified accrual basis of accounting. These bases of accounting are
described in Note 1 to the School District’s basic financial statements. 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
and New Jersey OMB’s Circular 15-08, Single Audit Policy for Recipients of Federal Grants, State
Grants and State Aid. Therefore, some amounts presented in this schedule may differ from amounts
presented in, or used in the preparation of, the basic financial statements. Revenues and expenditures reported under the Food Distribution Program represent current year value
received and current year distributions respectively. The amount reported as TPAF Pension Contributions
represents the amount paid by the state on behalf of the School District for the year ended June 30, 2024.
TPAF Social Security Contributions represents the amount reimbursed by the state for the employer’s
share of social security contributions for TPAF members for the year ended June 30, 2024.
De Minimis Rate Used: N
Rate Explanation: The District has elected not to
use the 10-percent de minimis indirect cost rate allowed under Uniform Guidance
The Town of Hammonton School District had no loan balances outstanding at June 30, 2024.