Title: Purpose of the Schedule
Accounting Policies: The Town reports its federal expenditures in the SEFA using the modified accrual basis of accounting, indicating all such expenditures based on identifying information provided, in accordance with the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The Town uses direct cost method for all Federal awards.
Office of Management and Budget (OMB)’s Uniform Guidance requires a schedule of expenditures of federal awards showing total expenditures for each federal award program as identified in the Assistance Listings in the System for Award Management.
Title: Reporting Entity
Accounting Policies: The Town reports its federal expenditures in the SEFA using the modified accrual basis of accounting, indicating all such expenditures based on identifying information provided, in accordance with the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The Town uses direct cost method for all Federal awards.
The accompanying schedule includes all federal award programs of the Town of Hermon, Maine for the fiscal year ended June 30, 2024. The reporting entity is defined in the notes to the financial statements of the Town.
Title: Basis of Presentation
Accounting Policies: The Town reports its federal expenditures in the SEFA using the modified accrual basis of accounting, indicating all such expenditures based on identifying information provided, in accordance with the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The Town uses direct cost method for all Federal awards.
The information in the accompanying schedule of expenditures of federal awards is presented in accordance with the Uniform Guidance. Pursuant to the Uniform Guidance, federal awards are defined as assistance provided by a federal agency, either directly or indirectly, in the form of grants, contracts, cooperative agreements, loans, loan guarantees, property, interest subsidies, insurance, or direct appropriations.
Title: Major Programs
Accounting Policies: The Town reports its federal expenditures in the SEFA using the modified accrual basis of accounting, indicating all such expenditures based on identifying information provided, in accordance with the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The Town uses direct cost method for all Federal awards.
The Uniform Guidance establishes the level of expenditures or expenses to be used in defining major federal award programs. Major programs for the Town are identified in the summary of auditor’s results section in the schedule of findings and questioned costs.
Title: Basis of Accounting
Accounting Policies: The Town reports its federal expenditures in the SEFA using the modified accrual basis of accounting, indicating all such expenditures based on identifying information provided, in accordance with the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The Town uses direct cost method for all Federal awards.
The information presented in the schedule of expenditures of federal awards is presented on the modified accrual basis of accounting, which is consistent with the reporting in the Town’s fund financial statements.
Title: Indirect Cost Rate
Accounting Policies: The Town reports its federal expenditures in the SEFA using the modified accrual basis of accounting, indicating all such expenditures based on identifying information provided, in accordance with the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The Town uses direct cost method for all Federal awards.
The Town has elected not to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.