Title: NOTE 1 – REPORTING ENTITY
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards is prepared using the modified accrual basis of accounting
for program expenditures accounted for in governmental funds and the accrual basis of accounting for expenditures
accounted for in proprietary funds, as described in Note 1 of the City’s basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The City of California City did not elect to use the 10 percent de minimis indirect cost rate as described in 2 CFR §200.414.
Uniform Guidance, §200.510(6), requires the City of California City to disclose whether or not it elected to use the 10
percent de minimis cost rate that §200.414(f) allows for nonfederal entities that have never received a negotiated indirect
cost rate.
The accompanying Schedule of Expenditures of Federal Awards presents the activity of all federal awards programs of the
City of California City (the City). The City of California City’s reporting entity is defined in Note 1 to the City’s basic
financial statements. All federal awards received directly from federal agencies as well as federal awards passed through
other government agencies are included in the schedule. 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). 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 – BASIS OF ACCOUNTING
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards is prepared using the modified accrual basis of accounting
for program expenditures accounted for in governmental funds and the accrual basis of accounting for expenditures
accounted for in proprietary funds, as described in Note 1 of the City’s basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The City of California City did not elect to use the 10 percent de minimis indirect cost rate as described in 2 CFR §200.414.
Uniform Guidance, §200.510(6), requires the City of California City to disclose whether or not it elected to use the 10
percent de minimis cost rate that §200.414(f) allows for nonfederal entities that have never received a negotiated indirect
cost rate.
The accompanying Schedule of Expenditures of Federal Awards is prepared using the modified accrual basis of accounting
for program expenditures accounted for in governmental funds and the accrual basis of accounting for expenditures
accounted for in proprietary funds, as described in Note 1 of the City’s basic financial statements.
Title: NOTE 3 – RELATIONSHIP TO BASIC FINANCIAL STATEMENTS
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards is prepared using the modified accrual basis of accounting
for program expenditures accounted for in governmental funds and the accrual basis of accounting for expenditures
accounted for in proprietary funds, as described in Note 1 of the City’s basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The City of California City did not elect to use the 10 percent de minimis indirect cost rate as described in 2 CFR §200.414.
Uniform Guidance, §200.510(6), requires the City of California City to disclose whether or not it elected to use the 10
percent de minimis cost rate that §200.414(f) allows for nonfederal entities that have never received a negotiated indirect
cost rate.
The amounts reported in the accompanying Schedule of Expenditures of Federal Awards agree, in all material respects, to
amounts reported within the City’s financial statements. Federal award revenues are reported principally in the City’s
financial statements as intergovernmental revenues in the General and Special Revenue funds.
Title: NOTE 4 – RELATIONSHIP TO FEDERAL FINANCIAL REPORTS
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards is prepared using the modified accrual basis of accounting
for program expenditures accounted for in governmental funds and the accrual basis of accounting for expenditures
accounted for in proprietary funds, as described in Note 1 of the City’s basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The City of California City did not elect to use the 10 percent de minimis indirect cost rate as described in 2 CFR §200.414.
Uniform Guidance, §200.510(6), requires the City of California City to disclose whether or not it elected to use the 10
percent de minimis cost rate that §200.414(f) allows for nonfederal entities that have never received a negotiated indirect
cost rate.
The amounts reported in the accompanying Schedule of Expenditures of Federal Awards agree, in all material respects,
with the amounts reported in the related federal financial assistance reports.
Title: NOTE 5 – INDIRECT COST RATE
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards is prepared using the modified accrual basis of accounting
for program expenditures accounted for in governmental funds and the accrual basis of accounting for expenditures
accounted for in proprietary funds, as described in Note 1 of the City’s basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The City of California City did not elect to use the 10 percent de minimis indirect cost rate as described in 2 CFR §200.414.
Uniform Guidance, §200.510(6), requires the City of California City to disclose whether or not it elected to use the 10
percent de minimis cost rate that §200.414(f) allows for nonfederal entities that have never received a negotiated indirect
cost rate.
The City of California City did not elect to use the 10 percent de minimis indirect cost rate as described in 2 CFR §200.414.
Uniform Guidance, §200.510(6), requires the City of California City to disclose whether or not it elected to use the 10
percent de minimis cost rate that §200.414(f) allows for nonfederal entities that have never received a negotiated indirect
cost rate.
Title: NOTE 6 – PASS-THROUGH ENTITIES’ IDENTIFYING NUMBER
Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards is prepared using the modified accrual basis of accounting
for program expenditures accounted for in governmental funds and the accrual basis of accounting for expenditures
accounted for in proprietary funds, as described in Note 1 of the City’s basic financial statements.
De Minimis Rate Used: N
Rate Explanation: The City of California City did not elect to use the 10 percent de minimis indirect cost rate as described in 2 CFR §200.414.
Uniform Guidance, §200.510(6), requires the City of California City to disclose whether or not it elected to use the 10
percent de minimis cost rate that §200.414(f) allows for nonfederal entities that have never received a negotiated indirect
cost rate.
When federal awards are received from a pass-through entity; the Schedule of Expenditures of Federal Awards shows, if
available, the identifying number assigned by the pass-through entity. When the City determined that no identifying
number was assigned for the program or the City was unable to obtain an identifying number from the pass-through
entity, the City indicated “N/A” as the pass-through identifying number.