Title: Note 1. Basis of Presentation
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 Uniform Guidance and TxGMS, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule
represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. These primarily represent a reallocation of grant expenditures between grant program years or reimbursements of grant expenditures by the General Fund resulting from grant budget overruns in the fiscal year after the year of expenditure recognition.
De Minimis Rate Used: Y
Rate Explanation: The City of Arlington, Texas has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance
The accompanying schedule of expenditures of federal and state awards (Schedule) includes the federal and state award activity of the City of Arlington, Texas (City) under programs of the federal and state government for the year ended September 30, 2024. The information in this Schedule is presented 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) and the Texas Grant Management Standards (TxGMS). Because the Schedule presents only a selected portion of the operations of the City, it is not intended to, and does not, present the financial position, changes in net position, or cash flows of the City.
Title: Note 2. Summary of Significant Accounting Policies
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 Uniform Guidance and TxGMS, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule
represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. These primarily represent a reallocation of grant expenditures between grant program years or reimbursements of grant expenditures by the General Fund resulting from grant budget overruns in the fiscal year after the year of expenditure recognition.
De Minimis Rate Used: Y
Rate Explanation: The City of Arlington, Texas has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and TxGMS, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule
represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. These primarily represent a reallocation of grant expenditures between grant program years or reimbursements of grant expenditures by the General Fund resulting from grant budget overruns in the fiscal year after the year of expenditure recognition.
Title: Note 3. Indirect Cost Rate
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 Uniform Guidance and TxGMS, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule
represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. These primarily represent a reallocation of grant expenditures between grant program years or reimbursements of grant expenditures by the General Fund resulting from grant budget overruns in the fiscal year after the year of expenditure recognition.
De Minimis Rate Used: Y
Rate Explanation: The City of Arlington, Texas has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance
The City of Arlington, Texas has elected to use the 10% de minimis indirect cost rate allowed under the Uniform
Guidance.
Title: Note 4. Reporting Entity
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 Uniform Guidance and TxGMS, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule
represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. These primarily represent a reallocation of grant expenditures between grant program years or reimbursements of grant expenditures by the General Fund resulting from grant budget overruns in the fiscal year after the year of expenditure recognition.
De Minimis Rate Used: Y
Rate Explanation: The City of Arlington, Texas has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance
The City, for purposes of the Schedule of Expenditures of Federal and State Awards, includes all the funds of the primary government. This report does not include the results of testing of compliance applicable to each major program or of internal control over compliance in accordance with the Uniform Guidance and TxGMS for the Housing Authority of the City, which is reported on separately.
Title: Note 5. Relationship to Federal and State Financial Reports
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 Uniform Guidance and TxGMS, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule
represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. These primarily represent a reallocation of grant expenditures between grant program years or reimbursements of grant expenditures by the General Fund resulting from grant budget overruns in the fiscal year after the year of expenditure recognition.
De Minimis Rate Used: Y
Rate Explanation: The City of Arlington, Texas has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance
Grant expenditures reports as of September 30, 2024, which have been submitted to grantor agencies will, in some cases, differ slightly from amounts disclosed herein. The reports prepared for grantor agencies are typically prepared at a later date and often reflect refined estimates of the year-end accruals. The reports will agree at termination of the grant as the discrepancies noted are timing differences.
Title: Note 6. Outstanding Loans
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 Uniform Guidance and TxGMS, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule
represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. These primarily represent a reallocation of grant expenditures between grant program years or reimbursements of grant expenditures by the General Fund resulting from grant budget overruns in the fiscal year after the year of expenditure recognition.
De Minimis Rate Used: Y
Rate Explanation: The City of Arlington, Texas has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance
The City has outstanding loan commitments under the Drinking Water State Revolving Loan Fund from the Texas Water Development Board, as a pass-through agency for the Environmental Protection Agency (AL #66.468). As of September 30, 2024, the outstanding loan payable balances were: TWDB Series 2017 $7,815,000 and TWDB Series 2019 $59,625,000.
The City has outstanding loan commitments under the Clean Water State Revolving Loan Fund from the Texas Water Development Board, as a pass-through agency for the Environmental Protection Agency (AL #66.458). As of September 30, 2024, the outstanding loan payable balances were: TWDB Series 2010 $4,160,000; TWDB Series 2014 $1,700,000; TWDB Series 2016 $1,240,000; TWDB Series 2017 $3,000,000; TWDB Series 2018 $3,180,000; and TWDB Series 2019 $3,315,000.
Consistent with “Section IV – Other Information” of each of these programs’ compliance supplement sections, the expenditures are considered subawards and not direct federal loans. Therefore, the amounts included in the SEFA for these programs relate to project expenditures incurred during the audit period under these loans.
Title: Note 7. Federal and State Awards Reconciliation (in thousands)
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 Uniform Guidance and TxGMS, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Negative amounts, if any, shown on the Schedule
represent adjustments or credits made in the normal course of business to amounts reported as expenditures in prior years. These primarily represent a reallocation of grant expenditures between grant program years or reimbursements of grant expenditures by the General Fund resulting from grant budget overruns in the fiscal year after the year of expenditure recognition.
De Minimis Rate Used: Y
Rate Explanation: The City of Arlington, Texas has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance
Intergovernmental revenues per statement of revenues, expenditures, and changes in fund balances governmental funds $36,460 Plus Texas Water Development Board Loan 16,076 Less intergovernmental awards from sources other than federal and state award (368) Total expenditures per schedule of expenditures of federal and state awards $52,168