Audit 363390

Accounting Policies: The accompanying Schedule of Expenditures of Federal Awards includes the federalaward activity of the City of Ketchikan, Alaska under programs of the federalgovernment for the year ended December 31, 2024. The information in this Schedule ispresented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principles, and AuditRequirements for Federal Awards. Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. Expenditures recognized following the costprinciples contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, may or may not be allowable or may be limited as to reimbursement for certaintypes of expenditures. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of the basic financial statements.The City of Ketchikan, Alaska has elected not to use the 10-percent de minimis indirect cost rate as allowed under the Uniform Guidance.The City of Ketchikan receives proceeds under the Alaska Clean Water Loan Fund and Drinking Water Loan Fund programs. The amounts outstanding at December 31, 2024 were, $1,939,511 and $12,121,454 respectively. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.