Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures in the schedules are presented in accordance with the modified accrual basis of accounting and are
generally in agreement with expenditures reported in the City’s 2024 fund financial statements. Accounts
receivable at year-end consists of federal and state program expenditures scheduled for reimbursement to the
City in the succeeding year while unearned revenue represents advances for federal and state programs that
exceed recorded City expenditures. Because of subsequent program adjustments, these amounts may differ from
the prior year’s ending balances. Such expenditures are recognized following the cost principles contained in the
Uniform Guidance and State Single Audit Guidelines, wherein certain types of expenditures are not allowable or
are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: n/a
The accompanying schedules of expenditures of federal awards and state financial assistance for the City are
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 Single Audit Guidelines issued by the Wisconsin Department of Administration.
The schedules of expenditures of federal awards and state financial assistance include all federal and state
awards of the City. Because the schedules present only a selected portion of the operations of the City, they are
not intended to and do not present the financial position, changes in net position, or cash flows of the City.
Title: Significant Accounting Policies
Accounting Policies: Expenditures in the schedules are presented in accordance with the modified accrual basis of accounting and are
generally in agreement with expenditures reported in the City’s 2024 fund financial statements. Accounts
receivable at year-end consists of federal and state program expenditures scheduled for reimbursement to the
City in the succeeding year while unearned revenue represents advances for federal and state programs that
exceed recorded City expenditures. Because of subsequent program adjustments, these amounts may differ from
the prior year’s ending balances. Such expenditures are recognized following the cost principles contained in the
Uniform Guidance and State Single Audit Guidelines, wherein certain types of expenditures are not allowable or
are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: n/a
Expenditures in the schedules are presented in accordance with the modified accrual basis of accounting and are
generally in agreement with expenditures reported in the City’s 2024 fund financial statements. Accounts
receivable at year-end consists of federal and state program expenditures scheduled for reimbursement to the
City in the succeeding year while unearned revenue represents advances for federal and state programs that
exceed recorded City expenditures. Because of subsequent program adjustments, these amounts may differ from
the prior year’s ending balances. Such expenditures are recognized following the cost principles contained in the
Uniform Guidance and State Single Audit Guidelines, wherein certain types of expenditures are not allowable or
are limited as to reimbursement.
The City has not elected to charge a de minimis rate of 10% of modified total costs.
Title: Oversight Agencies
Accounting Policies: Expenditures in the schedules are presented in accordance with the modified accrual basis of accounting and are
generally in agreement with expenditures reported in the City’s 2024 fund financial statements. Accounts
receivable at year-end consists of federal and state program expenditures scheduled for reimbursement to the
City in the succeeding year while unearned revenue represents advances for federal and state programs that
exceed recorded City expenditures. Because of subsequent program adjustments, these amounts may differ from
the prior year’s ending balances. Such expenditures are recognized following the cost principles contained in the
Uniform Guidance and State Single Audit Guidelines, wherein certain types of expenditures are not allowable or
are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: n/a
The federal and state oversight agencies for the City are as follows:
Federal - U.S. Environmental Protection Agency
State - Wisconsin Department of Transportation
Title: Indirect Cost Rate
Accounting Policies: Expenditures in the schedules are presented in accordance with the modified accrual basis of accounting and are
generally in agreement with expenditures reported in the City’s 2024 fund financial statements. Accounts
receivable at year-end consists of federal and state program expenditures scheduled for reimbursement to the
City in the succeeding year while unearned revenue represents advances for federal and state programs that
exceed recorded City expenditures. Because of subsequent program adjustments, these amounts may differ from
the prior year’s ending balances. Such expenditures are recognized following the cost principles contained in the
Uniform Guidance and State Single Audit Guidelines, wherein certain types of expenditures are not allowable or
are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: n/a
A nonfederal and state entity may have a federal and state negotiated indirect cost rate that is being used for
federal and state awards. In general, under 2 CFR 200.414(f), if an entity has never received a negotiated
indirect cost rate, the entity may elect to use a 10% de minimis indirect cost rate. Further, 2 CFR 200.510(b)(6)
states that the notes to the schedule of expenditures of federal awards and state financial assistance must include
whether or not the nonfederal and state entity has elected to use the 10% de minimis indirect cost rate. The City
has elected not to use the 10% de minimis indirect cost rate.