Notes to SEFA
Title: Note 1: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedules are reported on the modified accrual (governmental funds) and accrual (enterprise funds) 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: Y
Rate Explanation: The City has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.
The accompanying schedules of expenditures of federal and state awards (Schedules) includes the federal and state award activity of the City of Fayetteville, Arkansas (City) under programs of the federal and state government for the year ended December 31, 2024. The information in this Schedules is presented in accordance
with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) and the State of Arkansas. Because the Schedule presents only a selected portion of the operations of the City, it is not intended to and does
not present the financial position, changes in net position, or cash flows of the City.