The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of the County of Osceola, Michigan under programs of the federal government for the year ended December 31, 2024. 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). Because the Schedule presents only a selected portion of the operations of the County of Osceola, Michigan, it is not intended to and does not present the financial position, changes in net position, or cash flows of the County of Osceola, Michigan.
Expenditures reported on the Schedule 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.
For purposes of charging indirect costs to federal awards, the County has elected not to use the 10% deminimus cost rate as permitted by CFR Section 200.414 of the Uniform Guidance.
Reimbursement of these contracts is passed through the State Department of Health and human services (DHHS). The amounts reported on the Schedule of Expenditures of federal Awards represent the federal portion of the respective amounts based on 66% of IV-D eligible expenditures for applicable grants. The entire amount paid by DHHS for the reimbursed expenditures is considered federal. The reimbursements for the IV-D Incentive Payment Program are based on support payments collected. Expenditures have been reported to the extent of earned revnues and are 100% federal. C denotes programs tested as major programs.
There were no awards passed through to subrecipients.
The Michigan Department of Transportation (MDOT) requires that all Road Commissions report all federal and state grants pertaining to their county. During the year ended December 31, 2024, the federal aid received and expended by the Osceola County Road Commission was $515,825 for contracted projects and $0 for negotiated projects. Contracted projects are defined as projects performed by private contractors paid for and administrated by MDOT. The contracted federal projects are not subject to Single Audit. Negotiated projects are defined as projects performed by Road Commission employees or private contractors paid for and administered by the Road Commission. The amount is less than the $750,000 threshold and, therefore, no single audit was performed.
The following is a reconciliation of the amounts reported on the basic financial statements to the Schedule of Expenditures of Federal Awards: Total Federal Sources per Financial Statemetns - Primary Government $1,441,163. Total federal Revenue Recognized per Schedule of Expenditures of Federal Awards $1,441,163.