Audit 353425

Accounting Policies: REPORTING ENTITY The County of Lackawanna (the "County") as the reporting entity for financial reporting purposes is defined in Note 1 to the County's financial statements. For purposes of preparing the schedule of expenditures of federal awards, the County's reporting entity differs from that used for financial purposes, in that awards received and expended, if any, by the following entities are excluded: · Lackawanna County Commission of Drug and Alcohol Abuse · Lackawanna County Area Agency on Aging · Lackawanna County Department of Human Services Office of Youth and Family Services · County of Lackawanna Transit System Authority Direct awards pertaining to these entities have been excluded from the accompanying schedules principally because the County is not directly involved in maintaining the accounting records or systems of internal accounting and administrative controls for these entities. Where applicable, these entities have arranged for the issuance of separate Single Audit Reports containing their audited financial statements and schedule of expenditures of federal awards and all required audit reports. Except as indicated above, the accompanying schedule of expenditures of federal awards presents the activity of all federal award programs of the County. BASIS OF ACCOUNTING The accompanying schedule of expenditures of federal awards is presented using the modified accrual basis of accounting, which is described in Note 1 to the County's financial statements. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate. The auditee allocates its costs pursuant to a cost allocation plan.