Notes to SEFA
Title: BASIS OF PRESENTATION
Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The District has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.The District had a restricted Indirect Cost Rate of 2.03% in fiscal year 2021, approved by the Ohio Department of Education, which was applied to selected federal grants between July 1 and September 30, 2021. The District had a restricted Indirect Cost Rate of 2.51%, approved by the Ohio Department of Education, which was not applied during fiscal year 2022.
The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of the Cleveland Heights-University Heights City School District (the District) under programs of the federal government for the year ended June 30, 2022. The information on this Schedule is prepared 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: CHILD NUTRITION CLUSTER
Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The District has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.The District had a restricted Indirect Cost Rate of 2.03% in fiscal year 2021, approved by the Ohio Department of Education, which was applied to selected federal grants between July 1 and September 30, 2021. The District had a restricted Indirect Cost Rate of 2.51%, approved by the Ohio Department of Education, which was not applied during fiscal year 2022.
The District commingles cash receipts from the U.S. Department of Agriculture with similar State grants. When reporting expenditures on this Schedule, the District assumes it expends federal monies first.The District received $3,788,531 in Federal funding for the Child Nutrition Cluster and Child and Adult Food Care Programs during the fiscal year ended June 30, 2022. However, total program related expenses for the year amounted to $2,399,262. The remaining $1,389,269 in Federal funding will be carried forward to offset expenses for these programs in subsequent fiscal years.
Title: FOOD DONATION PROGRAM
Accounting Policies: Expenditures reported on the Schedule are reported on the cash basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance wherein certain types of expenditures may or may not be allowable or may be limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The District has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.The District had a restricted Indirect Cost Rate of 2.03% in fiscal year 2021, approved by the Ohio Department of Education, which was applied to selected federal grants between July 1 and September 30, 2021. The District had a restricted Indirect Cost Rate of 2.51%, approved by the Ohio Department of Education, which was not applied during fiscal year 2022.
The District reports commodities consumed on the Schedule at the fair value. The District allocated donated food commodities to the program that benefitted from the use of those donated food commodities.