Notes to SEFA
Accounting Policies: Expenditures reported on the Schedule are reported on an other basis method of accounting(modified cash basis). Such expenditures are recognized following the cost principles contained inthe Uniform Guidance and/or 0MB Circular A-87, Cost Principles for State, Local, and IndianTribal Governments wherein certain types of expenditures are not a11owable or are limited as to
reimbursement.
De Minimis Rate Used: N
Rate Explanation: City of Lockwood, Missouri, has elected not to use the I 0% de minimis indirect cost rate allowedunder the Uniform Guidance.