Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Revenue from federal awards is recognized in the governmental funds when the City has done everything necessary to establish its right to revenue and the revenue meets the available criteria. Expenditures of federal awards are recognized in the accounting period when the liability is incurred and approved for reimbursement. 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: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards includes the federal grant activity of City of Peoria, Illinois (the City) and is presented on the modified accrual basis of accounting. All federal financial assistance received directly from federal agencies, as well as federal financial assistance passed through other governmental agencies expanded during the year, is included in the schedule. The information in this schedule 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). Therefore, some amounts presented in the schedule may differ from amounts presented in or used in the preparation of the basic financial statements.
Title: Significant Accounting Policies
Accounting Policies: Revenue from federal awards is recognized in the governmental funds when the City has done everything necessary to establish its right to revenue and the revenue meets the available criteria. Expenditures of federal awards are recognized in the accounting period when the liability is incurred and approved for reimbursement. 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: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Revenue from federal awards is recognized in the governmental funds when the City has done everything necessary to establish its right to revenue and the revenue meets the available criteria. Expenditures of federal awards are recognized in the accounting period when the liability is incurred and approved for reimbursement. 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.
Title: Noncash Assistance and Loans Outstanding
Accounting Policies: Revenue from federal awards is recognized in the governmental funds when the City has done everything necessary to establish its right to revenue and the revenue meets the available criteria. Expenditures of federal awards are recognized in the accounting period when the liability is incurred and approved for reimbursement. 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: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The City had $1,059,260 of loan balances outstanding as of December 31, 2023, related to the EDA Revolving Loan Fund (Assistance Listing Number 11.307). The current year $888,588 EDA Revolving Loan Fund expenditures, included in the schedule of expenditures of federal awards, represent the 65% federal portion of the outstanding loan balances plus related cash and investment balances.
The City also had loan balances outstanding of $804,139 related to the CARES Act Revolving Loan Fund (Assistance Listing Number 11.307).
Title: Indirect Cost Rate
Accounting Policies: Revenue from federal awards is recognized in the governmental funds when the City has done everything necessary to establish its right to revenue and the revenue meets the available criteria. Expenditures of federal awards are recognized in the accounting period when the liability is incurred and approved for reimbursement. 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: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The City has not elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance.