Notes to SEFA
The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity for the City 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). Because the Schedule presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position, changes in net position, or cash flows of the City. All federal financial assistance received directly from federal agencies is included on the schedule, as well as federal financial assistance passed through other agencies.
The City’s Schedule is presented using the modified accrual basis of accounting, which is described in Note 1 to the City’s financial statements for the year ended June 30, 2025. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and OMB Circular A-87, Cost Principles for State, Local, and Indian Tribal Governments), wherein certain types of expenditures are not allowable or are limited as to reimbursement. During fiscal year 2025, the City became aware of a grant amendment approved in April 2024 that retroactively increased the federal reimbursement rate from 75% to 100% for a culvert project funded by the United States Department of Homeland Security/FEMA and passed through the State of Louisiana Governor’s Office of Homeland Security and Emergency Preparedness. The related additional federal expenditures from prior years were determined to be immaterial to the fiscal year 2024 Schedule and have been included in the fiscal year 2025 Schedule.
The City has not elected to use the 10 percent de minims indirect cost as allowed under the Uniform Guidance.
Amounts reported in the Schedule agree with the amounts reported in the related federal financial reports except for changes made to reflect amounts in accordance with accounting principles generally accepted in the United States of America.
Amounts reported on the Schedule were prepared from the same accounting records as were used to prepare the financial statements. Differences between amounts reported on the Schedule and the financial statements may exist due to recognition requirements as established by program regulations. In the current fiscal year, the City recognized in its financial statements $1,128,728 in federal revenues related to Planchet Road Expenditures and Culvert Upgrades expenditures paid during the fiscal year. However, with respect to the Federal Emergency Management Agency (FEMA) assistance a non-Federal entity must record expenditures on the Schedule when: (1) FEMA has approved the non-Federal entity’s project worksheet (PW), and (2) the non-Federal entity has incurred the eligible expenditures. The project worksheet in the amount of $94,535 was approved for the culvert project and therefore these expenditures are recorded in the Schedule.
The City did not receive any federal noncash assistance for the fiscal year ended June 30, 2025.