Title: Food Donation
Accounting Policies: The District uses the fund types specified in the Texas Education Agencys Financial AccountabilitySystem Resource Guide. Special Revenue Funds are used to account for resources restricted to specificpurposes by a grantor. The information in this schedule is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Expenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement.The accounting and financial reporting treatment applied to a fund is determined by its measurementfocus. The Government Fund types are accounted for using a current financial resources measurementfocus. All federal grants were accounted for in a Special Revenue Fund or the General Fund which areGovernmental Fund types. With this measurement focus, only current assets, deferred outflows, currentliabilities, deferred inflows and the fund balance are included on the balance sheet. Operatingstatements of these funds present increases and decreases in fund balance. The modified accrual basisof accounting is used for the Governmental Fund types. This basis of accounting recognizes revenues onthe accounting period in which they become susceptible to accrual, i.e., both measurable andavailable, and expenditures in the accounting period in which the fund liability is incurred, ifmeasurable, except for unmatured interest on long-term debt, which is recognized when due, andcertain compensated absences and claims and judgments, which are recognized when the obligationsare expected to be liquidated with expendable available financial resources. Federal grant funds areconsidered 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Nonmonetary assistance is reported in the Schedule of Expenditures of Federal Awards at the fairmarket value of the commodities received and disbursed. As of June 30, 2022, the District recognizedfood commodities totaling $614,840 with a remaining $6,363 in inventory.
Title: Indirect Cost Rate
Accounting Policies: The District uses the fund types specified in the Texas Education Agencys Financial AccountabilitySystem Resource Guide. Special Revenue Funds are used to account for resources restricted to specificpurposes by a grantor. The information in this schedule is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Expenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement.The accounting and financial reporting treatment applied to a fund is determined by its measurementfocus. The Government Fund types are accounted for using a current financial resources measurementfocus. All federal grants were accounted for in a Special Revenue Fund or the General Fund which areGovernmental Fund types. With this measurement focus, only current assets, deferred outflows, currentliabilities, deferred inflows and the fund balance are included on the balance sheet. Operatingstatements of these funds present increases and decreases in fund balance. The modified accrual basisof accounting is used for the Governmental Fund types. This basis of accounting recognizes revenues onthe accounting period in which they become susceptible to accrual, i.e., both measurable andavailable, and expenditures in the accounting period in which the fund liability is incurred, ifmeasurable, except for unmatured interest on long-term debt, which is recognized when due, andcertain compensated absences and claims and judgments, which are recognized when the obligationsare expected to be liquidated with expendable available financial resources. Federal grant funds areconsidered 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The District elected not to use the 10% de minimis cost indirect cost rate.
Title: Basis of Funding
Accounting Policies: The District uses the fund types specified in the Texas Education Agencys Financial AccountabilitySystem Resource Guide. Special Revenue Funds are used to account for resources restricted to specificpurposes by a grantor. The information in this schedule is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform AdministrativeRequirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).Expenditures are recognized following the cost principles contained in the Uniform Guidance, whereincertain types of expenditures are not allowable or are limited as to reimbursement.The accounting and financial reporting treatment applied to a fund is determined by its measurementfocus. The Government Fund types are accounted for using a current financial resources measurementfocus. All federal grants were accounted for in a Special Revenue Fund or the General Fund which areGovernmental Fund types. With this measurement focus, only current assets, deferred outflows, currentliabilities, deferred inflows and the fund balance are included on the balance sheet. Operatingstatements of these funds present increases and decreases in fund balance. The modified accrual basisof accounting is used for the Governmental Fund types. This basis of accounting recognizes revenues onthe accounting period in which they become susceptible to accrual, i.e., both measurable andavailable, and expenditures in the accounting period in which the fund liability is incurred, ifmeasurable, except for unmatured interest on long-term debt, which is recognized when due, andcertain compensated absences and claims and judgments, which are recognized when the obligationsare expected to be liquidated with expendable available financial resources. Federal grant funds areconsidered 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The District participates in numerous state and federal grant programs that are governed by variousrules and regulations of the grantor agencies. Costs charged to the respective grant programs aresubject to audit and adjustment by the grantor agencies; therefore, to the extent that the District hasnot complied with the rules and regulations governing the grants, if any, refunds of any money receivedmay be required and the collectability of any related receivable at June 30, 2022, may be impaired. Inthe opinion of the District, there are not significant contingent liabilities relating to compliance with therules and regulations governing the respective grants; therefore, no provisions has been recorded in theaccompanying financial statements for such contingencies. Generally, unused balances are returnedto the grantor at the close of specified project periods.