Notes to SEFA
Title: Basis of Presentation
Accounting Policies: See next tab
De Minimis Rate Used: N
Rate Explanation: n/a
The Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal award activity of NEK Community Broadband d/b/a NEKCV (the “District”), under programs of the federal government for the year December 31, 2024. The information in this Schedule is presented in accordance with the requirement of the Office of Management and Budget (OMB) Uniform Guidance. Because the Schedule presents only a selected portion of the operations of the District, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the District.
Title: Basis of Accounting
Accounting Policies: See next tab
De Minimis Rate Used: N
Rate Explanation: n/a
Expenditures reported on the Schedule are presented on the same basis of accounting as the District’s financial statements. The District uses the accrual basis of accounting. Expenditures represent only the federally funded portions of the program. Therefore, some amounts presented in this Schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
Title: Program Costs
Accounting Policies: See next tab
De Minimis Rate Used: N
Rate Explanation: n/a
The amounts shown as current year expenditures represent only the federal grant portion of the program costs. Entire program costs could be more than shown. Such expenditures are recognized following, as applicable, the cost principles in the Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, Audit Requirements, wherein certain types of expenditures are not allowable or are limited to reimbursement.
Title: Indirect Cost Rate
Accounting Policies: See next tab
De Minimis Rate Used: N
Rate Explanation: n/a
The District has not elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance.
Title: Subrecipients
Accounting Policies: See next tab
De Minimis Rate Used: N
Rate Explanation: n/a
No amounts expended and reported within the Schedule were passed through to subrecipients.
Title: Merger
Accounting Policies: See next tab
De Minimis Rate Used: N
Rate Explanation: n/a
Effective August 15, 2024, CV Fiber merged into NEK Broadband, with NEK Broadband remaining as the legal continuing entity. NEK Broadband was subsequently renamed NEKCV. The Schedule of Expenditures of Federal Awards includes the federal expenditures of CV Fiber from the date of merger forward. Expenditures incurred by CV Fiber prior to the merger have not been included as they were not under the reporting responsibility of NEKCV.