Notes to SEFA
Title: NOTE 3 - FEDERAL EXPENDITURE RECONCILIATION
Accounting Policies: Expenditures reported on the schedule are reported on the accrual basis of accounting. Such
expenditures are recognized following the cost principles contained in the Title 2 U.S. Code of Federal
Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements,
wherein certain types of expenditures are not allowable or are limited as to reimbursement. Pass-through
entity identifying numbers are presented where available. The Private Industry Council has elected not to
use the 10 percent deminimus indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The difference between the federal revenues recognized and the federal expenditures on the SEFA is
from the EARN Incentive Money. Total revenues of $20,913,946 are reported on the financial
statements. Total federal expenditures are $21,090,861. The difference of $176,915 is EARN money
received in prior years and released in the current year.