Title: Note A. Scope of Audit
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the full accrual basis of accounting used by the City in preparation of the government wide financial statements that report these awards. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The preparation of the Schedule of Expenditures of Federal Awards in conformity with accounting principles generally accepted in the United States of America requires management to make certain assumptions that affect the reported amounts of expenditures during the reporting period. Actual results could differ from those estimates.
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The audit was performed pursuant to the Single Audit Act of 1996 and the Uniform Guidance.
Title: Note B. Disbursements
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the full accrual basis of accounting used by the City in preparation of the government wide financial statements that report these awards. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The preparation of the Schedule of Expenditures of Federal Awards in conformity with accounting principles generally accepted in the United States of America requires management to make certain assumptions that affect the reported amounts of expenditures during the reporting period. Actual results could differ from those estimates.
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Disbursements reported in the Schedule of Expenditures of Federal Awards cannot be traced, in every case, directly to the disbursements reported in the City’s Comprehensive Annual Financial Report. However, the detailed information regarding the disbursements reflected in both issued reports can be traced to the City’s detailed general ledger with adjustments for any year-end financial statement accruals and reversals.
Title: Note C. Schedule of Expenditures of Federal Awards
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the full accrual basis of accounting used by the City in preparation of the government wide financial statements that report these awards. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The preparation of the Schedule of Expenditures of Federal Awards in conformity with accounting principles generally accepted in the United States of America requires management to make certain assumptions that affect the reported amounts of expenditures during the reporting period. Actual results could differ from those estimates.
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal award programs of the City that were received directly from federal agencies or passed through other entities and governmental agencies. The City has prepared this Schedule of Expenditures of Federal Awards to comply with the provisions of the Uniform Guidance. The Uniform Guidance stipulates that a Schedule of Expenditures of Federal Awards be prepared showing total expenditures of each federal award program as identified in the Catalog of Federal Domestic Assistance (CFDA) and for other federal financial awards that have not been assigned a catalog number.
Title: Note D. Major Federal Awards Program
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the full accrual basis of accounting used by the City in preparation of the government wide financial statements that report these awards. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The preparation of the Schedule of Expenditures of Federal Awards in conformity with accounting principles generally accepted in the United States of America requires management to make certain assumptions that affect the reported amounts of expenditures during the reporting period. Actual results could differ from those estimates.
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The City’s major federal awards programs for the year ended September 30, 2024 were determined based on program activity. The City’s major programs for the year ended September 30, 2024 consisted of 4 federally assisted high risk “Type A” programs, and 1 federally assisted high risk “Type B” programs.
Title: Note E. Department of Environmental Quality Loan
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the full accrual basis of accounting used by the City in preparation of the government wide financial statements that report these awards. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The preparation of the Schedule of Expenditures of Federal Awards in conformity with accounting principles generally accepted in the United States of America requires management to make certain assumptions that affect the reported amounts of expenditures during the reporting period. Actual results could differ from those estimates.
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The Department of Environmental Quality (DEQ) Loan is a loan program through which the State of Louisiana receives federal money to then loan to municipalities to improve water treatment. The U.S. Environmental Protection Agency (USEPA) is the federal agency administering the grant. The Louisiana Department of Environmental Quality (LDEQ) is the pass-through agency. The City of Lake Charles received money from the State under the loan program. The City of Lake Charles entered into the loan agreement on June 23, 2011 for an amount not to exceed $21,000,000. The DEQ loan disburses funds to the City of Lake Charles after the expenditure is made. Interest of .45% per annum on the outstanding balance is paid semi-annually. At September 30, 2024, the principal balance is $9,928,000.
Title: Note H. Drinking Water State Revolving Loan Funds
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the full accrual basis of accounting used by the City in preparation of the government wide financial statements that report these awards. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The preparation of the Schedule of Expenditures of Federal Awards in conformity with accounting principles generally accepted in the United States of America requires management to make certain assumptions that affect the reported amounts of expenditures during the reporting period. Actual results could differ from those estimates.
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The Drinking Water State Revolving Funds (DWSRFs) is a loan program through which the City of Lake Charles is receiving federal money to repair and construct wastewater treatment facilities to meet the requirements of the Clean Water Act. The U.S. Environmental Protection Agency (USEPA) is the federal agency administering the grant. The City of Lake Charles received two awards from the State under the loan program. The City of Lake Charles entered into the loan agreement on May 17, 2023 for an amount not to exceed $30,000,000 and an agreement on September 14, 2023 for an amount not to exceed $2,300,000. Under the agreements, expenditures are forgiven up to $3,000,000 and $2,300,000, respectively. Interest of 1.95% and 0% per annum on the outstanding balance of each is paid quarterly. At September 30, 2024, the principal balances are $5,280,708 and $0.
Title: Note G. Subrecipient Payments
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the full accrual basis of accounting used by the City in preparation of the government wide financial statements that report these awards. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The preparation of the Schedule of Expenditures of Federal Awards in conformity with accounting principles generally accepted in the United States of America requires management to make certain assumptions that affect the reported amounts of expenditures during the reporting period. Actual results could differ from those estimates.
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
Assistance
Listing
Grant
Number Grant Number Subrecipient Amount
CDBG 14.218 B-17-MC-22-0004 Catholic Charities 18,435
CDBG 14.218 B-18-MC-22-0004 Catholic Charities 20,184
CDBG 14.218 B-18-MC-22-0004 Catholic Charities 20,184
CDBG 14.218 B-20-MC-22-0004 Catholic Charities 71,847
CDBG 14.218 B-21-MC-22-0004 Catholic Charities 14,248
CDBC 14.218 B-22-MC-22-0004 Catholic Charities 65,000
CDBG 14.218 B-23-MC-22-0004 Catholic Charities 65,000
Total Catholic Charities 276,544
CDBG 14.218 B-22-MC-22-0004 Girlie Girls 24,744
CDBG 14.218 B-19-MC-22-0004 SWLA Law Center 3,000
CDBG 14.218 B-21-MC-22-0004 SWLA Center for Health Services 156
Total Subrecipient Payments 304,444
Title: Note H. Indirect Cost Rate
Accounting Policies: The Schedule of Expenditures of Federal Awards has been prepared on the full accrual basis of accounting used by the City in preparation of the government wide financial statements that report these awards. The accounting policies of the City conform to accounting principles generally accepted in the United States of America as applicable to governmental units. The preparation of the Schedule of Expenditures of Federal Awards in conformity with accounting principles generally accepted in the United States of America requires management to make certain assumptions that affect the reported amounts of expenditures during the reporting period. Actual results could differ from those estimates.
De Minimis Rate Used: N
Rate Explanation: The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The City did not elect to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.