Title: NOTE 1. GENERAL
Accounting Policies: The accompanying schedules of expenditures of federal and state awards and financial assistance are presented on the budgetary basis of accounting with the exception of programs recorded in the food service fund, which are presented using the accrual basis of accounting. These basis of accounting are described in Note 1 to the board's basic financial statements. The information in these schedules is presented in accordance with the requirements of Title 2 CFR 200 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and the New Jersey OMB Circular 15-08, "Single Audit Policy for Recipients of Federal Grants, State Grants, and State Aid". Therefore, some amounts presented in these schedules may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The School has elected not to use the 10 percent de minimis indirect cost rate allowed under the
Uniform Guidance
The accompanying schedules of expenditures of federal awards and state financial assistance
include federal and state award activity of the Board of Trustees, Hope Community Charter
School. The Board of Trustees is defined in Note 1 to the board’s basic financial statements. All
federal and state awards received directly from federal and state agencies, as well as federal
awards and state financial assistance passed through other government agencies is included on
the schedule of expenditures of federal awards and state financial assistance.
Title: NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: The accompanying schedules of expenditures of federal and state awards and financial assistance are presented on the budgetary basis of accounting with the exception of programs recorded in the food service fund, which are presented using the accrual basis of accounting. These basis of accounting are described in Note 1 to the board's basic financial statements. The information in these schedules is presented in accordance with the requirements of Title 2 CFR 200 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and the New Jersey OMB Circular 15-08, "Single Audit Policy for Recipients of Federal Grants, State Grants, and State Aid". Therefore, some amounts presented in these schedules may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The School has elected not to use the 10 percent de minimis indirect cost rate allowed under the
Uniform Guidance
are presented using the budgetary basis of accounting with the following exception: programs
recorded in the enterprise fund are presented using the accrual basis of accounting. These
bases of accounting are described in Note 1 to the Charter School’s basic financial statements.
The information in this schedule is presented in accordance with the requirement of Title 2. U.S.
Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for Federal Awards and New Jersey OMB”s Circular 15-08,
Single Audit Policy for Recipients of Federal Awards, State Grants and State Aid. Therefore,
some amounts presented in this schedule may differ from amounts presented in, or used in the
preparation of, the basic financial statements.
Title: NOTE 3. RELATIONSHIP TO BASIC FINANCIAL STATEMENTS
Accounting Policies: The accompanying schedules of expenditures of federal and state awards and financial assistance are presented on the budgetary basis of accounting with the exception of programs recorded in the food service fund, which are presented using the accrual basis of accounting. These basis of accounting are described in Note 1 to the board's basic financial statements. The information in these schedules is presented in accordance with the requirements of Title 2 CFR 200 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and the New Jersey OMB Circular 15-08, "Single Audit Policy for Recipients of Federal Grants, State Grants, and State Aid". Therefore, some amounts presented in these schedules may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The School has elected not to use the 10 percent de minimis indirect cost rate allowed under the
Uniform Guidance
The basic financial statements present the general fund and special revenue fund on a GAAP
basis. Budgetary comparison statements or schedules (RSI) are presented for the general fund
and special revenue fund to demonstrate finance-related legal compliance in which certain
revenue is permitted by law or grant agreement to be recognized in the audit year, whereas for
GAAP reporting, revenue is not recognized until the subsequent year or when expenditures
have been made. The general fund is presented in the accompanying schedules on the modified accrual basis
with the exception of the revenue recognition of the one or more deferred June state aid
payments in the current budget year, which is mandated pursuant to N.J.S.A. 18A:22-44.2. For GAAP purposes payments are not recognized until the subsequent budget year due to the state
deferral and recording of the one or more June state aid payments in the subsequent year. The
special revenue fund is presented in the accompanying schedules on the grant accounting
budgetary basis which recognizes encumbrances as expenditures and also recognizes the
related revenues, whereas the GAAP basis does not. The special revenue fund also recognizes
the one or more June state aid payment in the current budget year, consistent with N.J.S.A.
18A:22-44.2.
The net adjustment to reconcile from the budgetary basis to the GAAP basis is none for the
general fund and none for the special revenue fund. See Notes to the Required Supplementary
Information for a reconciliation of the budgetary basis to the modified accrual basis of
accounting for the general and special revenue funds. Awards and financial assistance
revenues are reported in the board’s basic financial statements on a GAAP basis as presented
below:
Title: NOTE 4. RELATIONSHIP TO FEDERAL AND STATE FINANCIAL REPORTS
Accounting Policies: The accompanying schedules of expenditures of federal and state awards and financial assistance are presented on the budgetary basis of accounting with the exception of programs recorded in the food service fund, which are presented using the accrual basis of accounting. These basis of accounting are described in Note 1 to the board's basic financial statements. The information in these schedules is presented in accordance with the requirements of Title 2 CFR 200 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and the New Jersey OMB Circular 15-08, "Single Audit Policy for Recipients of Federal Grants, State Grants, and State Aid". Therefore, some amounts presented in these schedules may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The School has elected not to use the 10 percent de minimis indirect cost rate allowed under the
Uniform Guidance
Amounts reported in the accompanying schedules agree with the amounts reported in the
related federal and state financial reports.
Title: NOTE 5. FEDERAL AND STATE LOANS OUTSTANDING
Accounting Policies: The accompanying schedules of expenditures of federal and state awards and financial assistance are presented on the budgetary basis of accounting with the exception of programs recorded in the food service fund, which are presented using the accrual basis of accounting. These basis of accounting are described in Note 1 to the board's basic financial statements. The information in these schedules is presented in accordance with the requirements of Title 2 CFR 200 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and the New Jersey OMB Circular 15-08, "Single Audit Policy for Recipients of Federal Grants, State Grants, and State Aid". Therefore, some amounts presented in these schedules may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The School has elected not to use the 10 percent de minimis indirect cost rate allowed under the
Uniform Guidance
Hope Community Charter School has no loan balances outstanding at June 30, 2024.
Title: NOTE 6. OTHER INFORMATION
Accounting Policies: The accompanying schedules of expenditures of federal and state awards and financial assistance are presented on the budgetary basis of accounting with the exception of programs recorded in the food service fund, which are presented using the accrual basis of accounting. These basis of accounting are described in Note 1 to the board's basic financial statements. The information in these schedules is presented in accordance with the requirements of Title 2 CFR 200 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and the New Jersey OMB Circular 15-08, "Single Audit Policy for Recipients of Federal Grants, State Grants, and State Aid". Therefore, some amounts presented in these schedules may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The School has elected not to use the 10 percent de minimis indirect cost rate allowed under the
Uniform Guidance
Revenues and expenditures reported under the Food Distribution Program represent current
year value received and current year distributions respectively. The amount reported as TPAF
Pension Contributions, TPAF Post-Retirement Medical Benefits Contributions and TPAF Long-
Term Disability Insurance represents the amount paid by the state on behalf of the charter
school for the year ended June 30, 2024. TPAF Social Security Contributions represents the
amount reimbursed by the state for the employer’s share of social security contributions for
TPAF members for the year ended June 30, 2024.
Title: NOTE 7. ON-BEHALF PROGRAMS NOT SUBJECT TO STATE SINGLE AUDIT
Accounting Policies: The accompanying schedules of expenditures of federal and state awards and financial assistance are presented on the budgetary basis of accounting with the exception of programs recorded in the food service fund, which are presented using the accrual basis of accounting. These basis of accounting are described in Note 1 to the board's basic financial statements. The information in these schedules is presented in accordance with the requirements of Title 2 CFR 200 - Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards and the New Jersey OMB Circular 15-08, "Single Audit Policy for Recipients of Federal Grants, State Grants, and State Aid". Therefore, some amounts presented in these schedules may differ from amounts presented in, or used in the preparation of, the basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The School has elected not to use the 10 percent de minimis indirect cost rate allowed under the
Uniform Guidance
On-behalf State Programs for TPAF Pension and Post-Retirement Medical Benefits
Contributions payments are not subject to a State single audit and, therefore, are excluded from
major program determination. The Schedule of State Financial Assistance provides a
reconciliation of State financial assistance reported in the Charter School’s basic financial
statements and the amount subject to State single audit and major program determination.