Audit 357655

Title: NOTE 3 - NONCASH AWARDS Accounting Policies: NOTE 1 – BASIS OF ACCOUNTING This Schedule is prepared on the same basis of accounting as the Sumner-Bonney lake School District's financial statements. The Sumner-Bonney Lake School District uses the modified accrual basis of accounting. Expenditures represent only the federally funded portions of the program. District records should be consulted to determine amounts expended or matched from non-federal sources. De Minimis Rate Used: N Rate Explanation: NOTE 2 ‐ FEDERAL INDIRECT RATE The Sumner-Bonney Lake School District has not elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The Sumner-Bonney Lake School District used the federal restricted rate of 4.76% and the federal unrestricted rate of 10.79% or less for the ESSER COVID 19 Education Stabilization Fund Grants (84.425). The amount of food commodities reported on the schedule is the value of commodities distributed by the Sumner-Bonney Lake School District during the current year and priced as prescribed by the USDA

Title: NOTE 4 - SCHOOLWIDE PROGRAMS Accounting Policies: NOTE 1 – BASIS OF ACCOUNTING This Schedule is prepared on the same basis of accounting as the Sumner-Bonney lake School District's financial statements. The Sumner-Bonney Lake School District uses the modified accrual basis of accounting. Expenditures represent only the federally funded portions of the program. District records should be consulted to determine amounts expended or matched from non-federal sources. De Minimis Rate Used: N Rate Explanation: NOTE 2 ‐ FEDERAL INDIRECT RATE The Sumner-Bonney Lake School District has not elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The Sumner-Bonney Lake School District used the federal restricted rate of 4.76% and the federal unrestricted rate of 10.79% or less for the ESSER COVID 19 Education Stabilization Fund Grants (84.425). The Sumner-Bonney Lake School District operates a "schoolwide program" in two middle school buildings and five elementary buildings. Using federal funding, school wide programs are designed to upgrade an entire educational program within a school for all students, rather than limit services to certain targeted students. The following federal program amounts were expended by the Sumner-Bonney Lake School District in its school wide program: Title I (84.010) $607,994.05.

Title: NOTE 5 - TRANSFERABLITY Accounting Policies: NOTE 1 – BASIS OF ACCOUNTING This Schedule is prepared on the same basis of accounting as the Sumner-Bonney lake School District's financial statements. The Sumner-Bonney Lake School District uses the modified accrual basis of accounting. Expenditures represent only the federally funded portions of the program. District records should be consulted to determine amounts expended or matched from non-federal sources. De Minimis Rate Used: N Rate Explanation: NOTE 2 ‐ FEDERAL INDIRECT RATE The Sumner-Bonney Lake School District has not elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The Sumner-Bonney Lake School District used the federal restricted rate of 4.76% and the federal unrestricted rate of 10.79% or less for the ESSER COVID 19 Education Stabilization Fund Grants (84.425). As allowed by federal regulations, the Sumner-Bonney Lake School District elected to transfer program funds. The district expended $66,294.00 from its Title IV Part A - Student Support and Academic Enrichment Grant (84.424) on allowable activities of the Title II, Part A Teacher and Principal Training and Recruiting Fund Grant (84.367). This amount is reflected in the expenditures of Title II, Part A Teacher and Principal Training and Recruiting Fund Grant (84.367).

Title: NOTE 6 - FEMA AWARDS Accounting Policies: NOTE 1 – BASIS OF ACCOUNTING This Schedule is prepared on the same basis of accounting as the Sumner-Bonney lake School District's financial statements. The Sumner-Bonney Lake School District uses the modified accrual basis of accounting. Expenditures represent only the federally funded portions of the program. District records should be consulted to determine amounts expended or matched from non-federal sources. De Minimis Rate Used: N Rate Explanation: NOTE 2 ‐ FEDERAL INDIRECT RATE The Sumner-Bonney Lake School District has not elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. The Sumner-Bonney Lake School District used the federal restricted rate of 4.76% and the federal unrestricted rate of 10.79% or less for the ESSER COVID 19 Education Stabilization Fund Grants (84.425). Per 2 CFR Part 200 Appendix XI, the District has included $3,817.00 in eligible expenditures that were incurred in a prior year.