Notes to SEFA
Title: Note 3
Accounting Policies: 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.
De Minimis Rate Used: N
Rate Explanation: The program did not allow for reimbursement of indirect cost, only direct costs.
D’Arbonne Water System, Inc. did not expend any federal awards in the form of noncash assistance during the fiscal year. D’Arbonne did not pass any federal awards received to other not-for-profit agencies (subrecipients).
Title: Note 4
Accounting Policies: 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.
De Minimis Rate Used: N
Rate Explanation: The program did not allow for reimbursement of indirect cost, only direct costs.
Expenditures for the Coronavirus State and Local Fiscal Recovery Funds were capital expenditures. The revenue related to funds received is being recognized as revenue over the estimated useful lives of the assets.