Title: Note 2 - Basis of Presentation
Accounting Policies: Note 1 - Summary of Significant Accounting Policies
The District accounts for all awards under federal programs in the General and Special Revenue Funds in accordance with the
Texas Education Agency's Financial Accountability System Resource Guide. These programs are accounted for using a current
financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are
included on the balance sheet. Operating statements of these funds present increases (i.e., revenues and other financing
sources) and decreases (i.e., expenditures and other financing uses) in net current assets.
Expenditures reported on the Schedule of Expenditures of Federal Awards are reported on the modified accrual basis of
accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein
certain types of expenditures are not allowable or are limited as to reimbursement. The District has not elected to use the
10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Federal grant 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 unearned revenues until earned. Generally, unused balances
are returned to the grantor at the close of specified project periods.
All federal grants are subject to review by the grantor agencies. Any expenditures identified by the grantor agencies as
disallowed could require reimbursement to the grantor agency from the District’s general fund.
De Minimis Rate Used: N
Rate Explanation: See note 1, 2nd paragraph, last sentence.
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of the
District under programs of the federal government for the year ended August 31, 2024. The information in this schedule is
presented in accordance with the requirements of the Office of Management and Budget (OMB) Uniform Guidance. Because
the schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the
financial position, changes in net position or cash flows of the District.
Title: Note 3 - Reconciliation of Basic Financial Statements
Accounting Policies: Note 1 - Summary of Significant Accounting Policies
The District accounts for all awards under federal programs in the General and Special Revenue Funds in accordance with the
Texas Education Agency's Financial Accountability System Resource Guide. These programs are accounted for using a current
financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are
included on the balance sheet. Operating statements of these funds present increases (i.e., revenues and other financing
sources) and decreases (i.e., expenditures and other financing uses) in net current assets.
Expenditures reported on the Schedule of Expenditures of Federal Awards are reported on the modified accrual basis of
accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein
certain types of expenditures are not allowable or are limited as to reimbursement. The District has not elected to use the
10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Federal grant 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 unearned revenues until earned. Generally, unused balances
are returned to the grantor at the close of specified project periods.
All federal grants are subject to review by the grantor agencies. Any expenditures identified by the grantor agencies as
disallowed could require reimbursement to the grantor agency from the District’s general fund.
De Minimis Rate Used: N
Rate Explanation: See note 1, 2nd paragraph, last sentence.
The following is a reconciliation of expenditures of federal awards per Exhibit K-1 and expenditures reports on Exhibit C-2: See Notes to SEFA for table/chart.
Title: Note 4 - General Fund Federal Program Revenues
Accounting Policies: Note 1 - Summary of Significant Accounting Policies
The District accounts for all awards under federal programs in the General and Special Revenue Funds in accordance with the
Texas Education Agency's Financial Accountability System Resource Guide. These programs are accounted for using a current
financial resources measurement focus. With this measurement focus, only current assets and current liabilities generally are
included on the balance sheet. Operating statements of these funds present increases (i.e., revenues and other financing
sources) and decreases (i.e., expenditures and other financing uses) in net current assets.
Expenditures reported on the Schedule of Expenditures of Federal Awards are reported on the modified accrual basis of
accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein
certain types of expenditures are not allowable or are limited as to reimbursement. The District has not elected to use the
10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.
Federal grant 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 unearned revenues until earned. Generally, unused balances
are returned to the grantor at the close of specified project periods.
All federal grants are subject to review by the grantor agencies. Any expenditures identified by the grantor agencies as
disallowed could require reimbursement to the grantor agency from the District’s general fund.
De Minimis Rate Used: N
Rate Explanation: See note 1, 2nd paragraph, last sentence.
Federal Awards reported in the general fund are summarized as follows: See Notes to SEFA for table/chart.