Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the SEFA are reported on the accrual basis of accounting. 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: Both
Rate Explanation: During FY2022, SCG used both the de minimis rate and our Negotiated Indirect Cost Rate Agreement (NICRA). While SCG would have preferred to only use the NICRA for all awards, the Department of State informed SCG that it would not accept the NICRA on already existing awards; for such, SCG will continue using both rates until the sunsetting of older grants awarded under a de minimis rate.
The accompanying schedule of expenditures of federal awards (SEFA) includes the federal award activity of SCG under programs of the federal government for the year ended December 31, 2022. The information on the SEFA 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). Because the SEFA presents only a selected portion of the operations of SCG, it is not intended to and does not present the financial position, changes in net assets, or cash flows of SCG.