Notes to SEFA
Title: Note 1 - Entity Definition
Accounting Policies: The City has segregated awards by account number within the accounting system and further utilized the input into the system to calculate the federal share of expenditues under awards. This is reconciled to the revenue earned for each award for the year taking into account deferrals of revenue for the City's policy for revenues available for use and those funds received in advance of qualified expenditures.
De Minimis Rate Used: N
Rate Explanation: The City of Decatur elected not to utilize the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
For the purposes of this schedule, the entity is defined as the City of Decatur; therefore, this schedule does not include the grant activities of the City of Decatur’s Board of Education (“Board of Education), a component unit of the City described in the notes to the general-purpose financial statements. This entity is subject to and has undergone a separate single audit as needed to comply with the Uniform Guidance.
The information in this schedule 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). Since the schedule presents only a select portion of the operations of the City of Decatur, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City.
Title: Note 2 - Summary of Significant Accounting Policies
Accounting Policies: The City has segregated awards by account number within the accounting system and further utilized the input into the system to calculate the federal share of expenditues under awards. This is reconciled to the revenue earned for each award for the year taking into account deferrals of revenue for the City's policy for revenues available for use and those funds received in advance of qualified expenditures.
De Minimis Rate Used: N
Rate Explanation: The City of Decatur elected not to utilize the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying Schedule of Expenditures of Federal Awards includes the federal grant activity of the City of Decatur under programs of the federal government for the year ended September 30, 2024 presented on the modified accrual basis of accounting. Under the modified accrual basis of accounting, expenditures are recognized when the related Fund liability is incurred.
The City of Decatur elected not to utilize the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
Title: Note 3 - Payments to Subrecipients
Accounting Policies: The City has segregated awards by account number within the accounting system and further utilized the input into the system to calculate the federal share of expenditues under awards. This is reconciled to the revenue earned for each award for the year taking into account deferrals of revenue for the City's policy for revenues available for use and those funds received in advance of qualified expenditures.
De Minimis Rate Used: N
Rate Explanation: The City of Decatur elected not to utilize the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
The City passes certain federal awards received agencies of the United States Government to not-for-profit agencies (subrecipients). The City reports expenditures of Federal awards to subrecipients when paid in cash.
Payments to subrecipients from the U.S. Department of Housing and Urban Development under the Community Development Block Grant totaled $77,282 under this award for the year ended September 30, 2024.