Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such
expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain
types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Congregation Ahavas Chesed
has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying schedules of expenditures of federal awards and state financial assistance (the
Schedules) includes the federal and state grant activity of Congregation Ahavas Chesed (the School) under
programs of the federal government for the year ended July 31, 2024. The information in the Schedules
are presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200,
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards
(Uniform Guidance). Because the Schedules present only a selected portion of the operations of
Congregation Ahavas Chesed, it is not intended to and does not present the financial position, changes in
net assets, or cash flows of Congregation Ahavas Chesed.
Title: Food Nutrition Program
Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such
expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain
types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Congregation Ahavas Chesed
has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance.
Congregation Ahavas Chesed was approved by the State of New Jersey’s Department of Agriculture, under
the National School Lunch Act and Child Nutrition Act of 1966, to operate the Food Nutrition Program
which includes both the School Breakfast Program and the National School Lunch Program.
Title: Use of Estimates
Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such
expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain
types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Congregation Ahavas Chesed
has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance.
The preparation of financial statements in conformity with generally accepted accounting principles
requires management to make estimates and assumptions that affect certain reported amounts and
disclosures. Accordingly, actual results could differ from those estimates.
Title: Subsequent Events
Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such
expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain
types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: Y
Rate Explanation: Congregation Ahavas Chesed
has elected to use the ten percent de minimis indirect cost rate allowed under the Uniform Guidance.
Management considers events and transaction that occur after the financials statement date, but before
the financial statements are issued, to provide additional evidence relative to certain estimates or to
identify matters that require additional disclosure. These financial statements were available to be issued
on December 16, 2024 and subsequent events have been evaluated through that date.