Notes to SEFA
The accompanying schedule of expenditures of federal awards presents the activity of all federal awards programs administered by REACH Academy Charter School (the “School”). Federal awards received directly from federal agencies are included on the schedule of expenditures of federal awards, as applicable.
The information is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance).
Federal award expenditures are reported on the statement of functional expenses as program services and any related allowable general and administrative expenses under the category of management and general expenses. In certain programs, the expenditures reported in the financial statements may differ from the expenditures reported in the schedule of expenditures of federal awards due to program expenditures exceeding grant or contract budget limitations, matching or contributions of nonfinancial asset or capitalization policies required under accounting principles generally accepted in the United States of America.
The School has elected not to use the 15 percent de minimus indirect cost rate as allowed under Uniform Guidance and instead uses the overhead allocation rate provided by the specific contracts for the programs.