Title: Note 1 – Basis of Presentation
Accounting Policies: Federal financial assistance – Pursuant to the Uniform Guidance, federal financial assistance is defined
as assistance provided by a federal agency, either directly or indirectly, in the form of grants, contracts,
cooperative agreements, loans, loan guarantees, property, interest subsidies, insurance, or direct
appropriations. Nonmonetary assistance is included in the Schedule, if applicable. Federal financial
assistance does not include direct federal cash assistance to individuals or solicited contracts between
the state and federal government through which the federal government procures tangible goods or
services.
Reporting entity – The reporting entity is fully described in Note 1 of the financial statements (incorporated by reference only). Additionally, the Schedule includes all federal programs administered by the District for the year ended December 31, 2024.
Revenue and expense recognition – As in the financial statements, the receipt and recognition as expense of federal awards are accounted for using a flow of economic resources measurement focus to determine financial position, and change in financial position. The accounting principles used are similar to those applicable in businesses in the private sector and are maintained on the accrual basis of accounting. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Grantor agency guidelines require that the entire amount of the assistance be recognized on the Schedule in the year the
award was appropriated.
De Minimis Rate Used: N
Rate Explanation: The District elected to charge adminsitrative expenses directly to the project.
The accompanying Schedule of Expenditures of Federal Awards (the Schedule) presents the activity of all federal award programs of the Public Utility District #1 of Okanogan County (the District) for the year ended December 31, 2024. The information in the Schedule is presented in accordance with requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 District, it is not intended to and does not present the financial position, changes in net position, or cash flows of the District.
Title: Note 2 – Summary of Significant Accounting Policies
Accounting Policies: Federal financial assistance – Pursuant to the Uniform Guidance, federal financial assistance is defined
as assistance provided by a federal agency, either directly or indirectly, in the form of grants, contracts,
cooperative agreements, loans, loan guarantees, property, interest subsidies, insurance, or direct
appropriations. Nonmonetary assistance is included in the Schedule, if applicable. Federal financial
assistance does not include direct federal cash assistance to individuals or solicited contracts between
the state and federal government through which the federal government procures tangible goods or
services.
Reporting entity – The reporting entity is fully described in Note 1 of the financial statements (incorporated by reference only). Additionally, the Schedule includes all federal programs administered by the District for the year ended December 31, 2024.
Revenue and expense recognition – As in the financial statements, the receipt and recognition as expense of federal awards are accounted for using a flow of economic resources measurement focus to determine financial position, and change in financial position. The accounting principles used are similar to those applicable in businesses in the private sector and are maintained on the accrual basis of accounting. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Grantor agency guidelines require that the entire amount of the assistance be recognized on the Schedule in the year the
award was appropriated.
De Minimis Rate Used: N
Rate Explanation: The District elected to charge adminsitrative expenses directly to the project.
Federal financial assistance – Pursuant to the Uniform Guidance, federal financial assistance is defined
as assistance provided by a federal agency, either directly or indirectly, in the form of grants, contracts,
cooperative agreements, loans, loan guarantees, property, interest subsidies, insurance, or direct appropriations. Nonmonetary assistance is included in the Schedule, if applicable. Federal financial assistance does not include direct federal cash assistance to individuals or solicited contracts between the state and federal government through which the federal government procures tangible goods or services.
Reporting entity – The reporting entity is fully described in Note 1 of the financial statements (incorporated by reference only). Additionally, the Schedule includes all federal programs administered by the District for the year ended December 31, 2024.
Revenue and expense recognition – As in the financial statements, the receipt and recognition as expense of federal awards are accounted for using a flow of economic resources measurement focus to determine financial position, and change in financial position. The accounting principles used are similar to those applicable in businesses in the private sector and are maintained on the accrual basis of accounting. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Grantor agency
guidelines require that the entire amount of the assistance be recognized on the Schedule in the year the
award was appropriated.
Title: Note 3 – Indirect Costs
Accounting Policies: Federal financial assistance – Pursuant to the Uniform Guidance, federal financial assistance is defined
as assistance provided by a federal agency, either directly or indirectly, in the form of grants, contracts,
cooperative agreements, loans, loan guarantees, property, interest subsidies, insurance, or direct
appropriations. Nonmonetary assistance is included in the Schedule, if applicable. Federal financial
assistance does not include direct federal cash assistance to individuals or solicited contracts between
the state and federal government through which the federal government procures tangible goods or
services.
Reporting entity – The reporting entity is fully described in Note 1 of the financial statements (incorporated by reference only). Additionally, the Schedule includes all federal programs administered by the District for the year ended December 31, 2024.
Revenue and expense recognition – As in the financial statements, the receipt and recognition as expense of federal awards are accounted for using a flow of economic resources measurement focus to determine financial position, and change in financial position. The accounting principles used are similar to those applicable in businesses in the private sector and are maintained on the accrual basis of accounting. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Grantor agency guidelines require that the entire amount of the assistance be recognized on the Schedule in the year the
award was appropriated.
De Minimis Rate Used: N
Rate Explanation: The District elected to charge adminsitrative expenses directly to the project.
The District has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Title: Note 4 – Disaster Grant Expenditures
Accounting Policies: Federal financial assistance – Pursuant to the Uniform Guidance, federal financial assistance is defined
as assistance provided by a federal agency, either directly or indirectly, in the form of grants, contracts,
cooperative agreements, loans, loan guarantees, property, interest subsidies, insurance, or direct
appropriations. Nonmonetary assistance is included in the Schedule, if applicable. Federal financial
assistance does not include direct federal cash assistance to individuals or solicited contracts between
the state and federal government through which the federal government procures tangible goods or
services.
Reporting entity – The reporting entity is fully described in Note 1 of the financial statements (incorporated by reference only). Additionally, the Schedule includes all federal programs administered by the District for the year ended December 31, 2024.
Revenue and expense recognition – As in the financial statements, the receipt and recognition as expense of federal awards are accounted for using a flow of economic resources measurement focus to determine financial position, and change in financial position. The accounting principles used are similar to those applicable in businesses in the private sector and are maintained on the accrual basis of accounting. Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement. Grantor agency guidelines require that the entire amount of the assistance be recognized on the Schedule in the year the
award was appropriated.
De Minimis Rate Used: N
Rate Explanation: The District elected to charge adminsitrative expenses directly to the project.
The District’s expenditures included on the Schedule of Expenditures of Federal Awards were incurred in
2022 and 2023. The District received disaster grant approval in 2024.