Notes to SEFA
This Schedule is prepared on the same basis of accounting as the Authority’s financial statements except for the amounts passed through to subrecipients. Federal funds are determined to be expended when KCRHA becomes obligated to the subrecipients for payment.
The Authority has not elected to use the 10-percent de minimis indirect cost rate allowed under the Uniform Guidance. Indirect costs reported on the SEFA are determined by either the fixed amount awarded or the indirect rates agreed upon by grantors. When indirect costs are not explicitly outlined in the grant agreements, we obtain prior approval from our grantors to recover these costs.
The amounts shown as current year expenditures represent only the federal grant portion of the program costs. Entire program costs, including the Authority’s portion, are more than shown. Such expenditures are recognized following, as applicable, either the cost principles in the OMB Circular A-87, Cost Principles for State, Local, and Indian Tribal Governments, or the cost principles contained in Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, wherein certain types of expenditures are not allowable or are limited as to reimbursement.