Notes to SEFA
Accounting Policies: 1. Basis of PresentationThe accompanying schedule of federal awards includes the federal grant activity of Area 1 Agencyon Aging and is presented on the accrual basis of accounting. The information in this schedule ispresented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for FederalAwards (Uniform Guidance). Therefore, some amounts presented in this schedule may differ fromamounts presented in, or used in, the preparation of the financial statements.2. Summary of Significant Accounting PoliciesExpenditures - Expenditures reported on the Schedule are reported on the accrual basis ofaccounting. Such expenditures are recognized following the cost principles contained in the UniformGuidance wherein certain types of expenditures are not allowable or are limited to reimbursement.Indirect Cost Rate - A1AA has elected to use the 10 percent de minimis indirect cost rate as allowedunder the Uniform Guidance.Because the Schedule presents only a selected portion of the operations of Area 1 Agency onAging, it is not intended to and does not present the financial position, changes in net assets, orcash flows of Area 1 Agency on Aging.3. Nonmonetary AssistanceArea 1 Agency on Aging neither received nor disbursed federal awards in the form of nonmonetaryassistance during the fiscal year ended June 30, 2022.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.