Title: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of Blue Water Area Transportation Commission (the “Commission”) for the year ended September 30, 2024. Expenditures reported on the Schedule are reported on the same basis of accounting, the accrual basis, as the financial statements, although the basis for determining when federal awards are expended is presented in accordance with the 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), wherein certain types of expenses are not allowed or are limited as to reimbursement. Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the financial statements.
The Commission passes a certain amount of these federal awards to other local governments and agencies (subrecipients) who provide the actual program services. These federal awards passed through to subrecipients are recognized as expenses by the Commission in the period the program services are provided.
For purposes of charging indirect costs to federal awards, the Commission has elected not to use the 10 percent de minimis cost rate as permitted by §200.414 of the Uniform Guidance.
Revenue has been accrued at September 30, 2024 to match allowable expenditures incurred during the year for each program. Grant funds received in advance that are in excess of incurred costs have been reflected as deferred revenue.
Because the Schedule presents only a selected portion of the operations of the Commission, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Commission.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of Blue Water Area Transportation Commission (the “Commission”) for the year ended September 30, 2024. Expenditures reported on the Schedule are reported on the same basis of accounting, the accrual basis, as the financial statements, although the basis for determining when federal awards are expended is presented in accordance with the 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), wherein certain types of expenses are not allowed or are limited as to reimbursement. Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the financial statements.
The Commission passes a certain amount of these federal awards to other local governments and agencies (subrecipients) who provide the actual program services. These federal awards passed through to subrecipients are recognized as expenses by the Commission in the period the program services are provided.
For purposes of charging indirect costs to federal awards, the Commission has elected not to use the 10 percent de minimis cost rate as permitted by §200.414 of the Uniform Guidance.
Revenue has been accrued at September 30, 2024 to match allowable expenditures incurred during the year for each program. Grant funds received in advance that are in excess of incurred costs have been reflected as deferred revenue.
Because the Schedule presents only a selected portion of the operations of the Commission, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Commission.
Title: RECONCILIATION TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
Accounting Policies: The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of Blue Water Area Transportation Commission (the “Commission”) for the year ended September 30, 2024. Expenditures reported on the Schedule are reported on the same basis of accounting, the accrual basis, as the financial statements, although the basis for determining when federal awards are expended is presented in accordance with the 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), wherein certain types of expenses are not allowed or are limited as to reimbursement. Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the financial statements.
The Commission passes a certain amount of these federal awards to other local governments and agencies (subrecipients) who provide the actual program services. These federal awards passed through to subrecipients are recognized as expenses by the Commission in the period the program services are provided.
For purposes of charging indirect costs to federal awards, the Commission has elected not to use the 10 percent de minimis cost rate as permitted by §200.414 of the Uniform Guidance.
Revenue has been accrued at September 30, 2024 to match allowable expenditures incurred during the year for each program. Grant funds received in advance that are in excess of incurred costs have been reflected as deferred revenue.
Because the Schedule presents only a selected portion of the operations of the Commission, it is not intended to and does not present the financial position, changes in net position, or cash flows of the Commission.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The following reconciles the grant revenue reported in the September 30, 2024 financial statements to the federal award expenditures reported in the Schedule: See notes to the SEFA for chart/table.