Notes to SEFA
The financial reporting entity consists of the primary government, the Town of Danville, California (the “Town”), organizations for which the primary government is financially accountable, and other organizations for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity’s financial statements to be misleading or incomplete. The Town Council acts as the governing body for, Town staff perform all administrative and accounting functions for, and is the Town is able to impose its will on, the following organizations, establishing financial accountability. • The Town of Danville Financing Authority
The accompanying Schedule of Expenditures of Federal Awards (the “Schedule”) includes the federal award activity of the Town under programs of the federal government for the year ended June 30, 2025. 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”). Federal financial assistance received directly from federal agencies, as well as federal financial assistance passed through the State of California is included in the Schedule. The Schedule was prepared only from the accounts of various grant programs and, therefore, does not present the financial position or results of operations of the Town.
The Town has not elected to use the de minimis indirect rate as allowed under the Uniform Guidance (10 percent of modified total direct costs for awards issued prior to October 1, 2024, and 15 percent for awards issued or amended on or after October 1, 2024).
The Town has not elected to use the de minimis indirect rate as allowed under the Uniform Guidance (10 percent of modified total direct costs for awards issued prior to October 1, 2024, and 15 percent for awards issued or amended on or after October 1, 2024).
The Town did not provide funding to subrecipients during the year ended June 30, 2025.
Under the terms of federal and state grants, additional audits may be requested by the grantor agencies and certain costs may be questioned as not being appropriate expenditures under the terms of the grants. Such audits could lead to a request for reimbursement to the grantor agencies.