Audit 355258

Title: NONCASH ASSISTANCE - CHILD NUTRITION CLUSTER Accounting Policies: The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal grant activity of the City of Waterville, Maine (the City) under programs of the federal government for the year ended June 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). As a result, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Therefore, it is not intended to and does not present the financial position of governmental activities, the discretely presented component unit, each major fund, and the aggregate remaining fund information of the City, as of June 30, 2024, and respective changes in financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. The accompanying schedule of expenditures of federal awards was prepared using the accrual method of accounting. Expenses are recognized as incurred using the cost accounting principles contained in the Uniform Guidance. Under those cost principles, certain types of expenses are not allowable or are limited as to reimbursement. De Minimis Rate Used: N Rate Explanation: Expenditures include costs that can be directly identified to the program. During the year ended June 30, 2024, the City did not elect to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance and did not allocate indirect costs to its programs. The reported total of noncash assistance from the National School Lunch Program (CFDA 10.555) and theCFresh Fruit and Vegetable Program (10.582) represents the fair value of food commodities used.