Notes to SEFA
Title: Note 1 – Reporting Entity
Accounting Policies: Funds received under the various grant programs have been recorded within special revenue funds and enterprise funds of the City. The City utilizes the modified accrual basis of accounting for special revenue funds and the accrual basis of accounting for the enterprise funds. The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (“CFR”) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the “Uniform Guidance”). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of City’s basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The Auditee did not use de minimis cost rate.
The financial reporting entity, as defined by the Governmental Accounting Standards Board (“GASB”) Codification,
consists of the primary government, which is the City of Pleasanton, California (the “City”), organizations for which
the primary government is financially accountable, and other organizations for which the nature and significance of
their relationship with the primary government are such that exclusion would cause the City’s financial statements to
be misleading or incomplete.
The City Council acts as the governing body and is able to impose its will on the following organizations, establishing
financial accountability:
- The Pleasanton Joint Powers Financing Authority
- The Pleasanton Public Housing Authority
Title: Note 2 – Summary of Significant Accounting Policies
Accounting Policies: Funds received under the various grant programs have been recorded within special revenue funds and enterprise funds of the City. The City utilizes the modified accrual basis of accounting for special revenue funds and the accrual basis of accounting for the enterprise funds. The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (“CFR”) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the “Uniform Guidance”). Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in, the preparation of City’s basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The Auditee did not use de minimis cost rate.
Basis of Accounting - Funds received under the various grant programs have been recorded within special revenue funds and enterprise funds of the City. The City utilizes the modified accrual basis of accounting for special revenue funds and the accrual basis of accounting for the enterprise funds. The accompanying Schedule of Expenditures of California Office of Traffic Safety, the State Water
Resources Control Board, the California Governor’s Office of Emergency Services, the County of Alameda, and
HORNE LLP, are included in the Schedule. The Schedule was prepared from only the accounts of various grant programs and, therefore, does not present the financial position or results of operations of the City.
Indirect Cost Rate - The City did not elect to use the 10% de minimis cost rate.