Notes to SEFA
Title: Subrecipients
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the
City and is presented on the modified accrual basis of accounting as described in Note 1 to the basic
financial statements for the year ended September 30, 2024.
De Minimis Rate Used: N
Rate Explanation: The City elected not to use the de minimis indirect cost rate as allowed in the Uniform Guidance,
section 414.
Of the federal expenditures presented in the schedule, the City provided no federal awards to
subrecipients.
Title: Non-Cash Assistance
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the
City and is presented on the modified accrual basis of accounting as described in Note 1 to the basic
financial statements for the year ended September 30, 2024.
De Minimis Rate Used: N
Rate Explanation: The City elected not to use the de minimis indirect cost rate as allowed in the Uniform Guidance,
section 414.
The City received non-cash assistance from Texas Department of Transportation in the form of
landscaping and irrigation systems during the fiscal year ended September 30, 2024. The expenditures
are listed within the Schedule of Expenditures of Federal Awards under the Highway Planning and
Construction grant for $275,844.
Title: Loans
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the
City and is presented on the modified accrual basis of accounting as described in Note 1 to the basic
financial statements for the year ended September 30, 2024.
De Minimis Rate Used: N
Rate Explanation: The City elected not to use the de minimis indirect cost rate as allowed in the Uniform Guidance,
section 414.
At year-end, the City had no loans or loan guarantees outstanding with federal awarding agencies.