Notes to SEFA
Title: Note 2 - Basis of Presentation
Accounting Policies: Note 1 - Basis of Accounting
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. Pass-through entity identifying numbers
are presented where available.
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. 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, second paragraph, second to 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 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 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 Schedule of Federal Awards to Basic Financial Statements
Accounting Policies: Note 1 - Basis of Accounting
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. Pass-through entity identifying numbers
are presented where available.
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. 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, second paragraph, second to last sentence.
The following is a reconciliation of expenditures of federal awards program per the Schedule of Expenditures of Federal Awards and expenditures reported in the District’s Annual Comprehensive Financial Report.
See notes to SEFA for chart/table.
Title: Note 4 - General Fund Expenditures
Accounting Policies: Note 1 - Basis of Accounting
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. Pass-through entity identifying numbers
are presented where available.
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. 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, second paragraph, second to last sentence.
Federal awards reported in the general fund are summarized as follows:
See notes to SEFA for chart/table.