Notes to SEFA
NOTE 1. SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of the Charleston Regional Airport District (the “District”) and is presented on the accrual basis of accounting. The District reporting entity is described in Note 1 to the District’s basic financial statements. 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. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Measurement Focus The determination of when an award is expended is based on when the activity related to the award occurred. Program Type Determination Type A programs are defined as federal programs with federal expenditures exceeding $750,000. The threshold of $750,000 was used in distinguishing between Type A and Type B programs. Method of Major Program Selection The risk-based approach was used in the selection of federal programs to be tested as major programs. The District qualified as a low-risk auditee for the fiscal year ended June 30, 2025. De Minimis Indirect Cost Rate During the year ended June 30, 2025, the District did not use the ten percent de Minimis indirect cost rate.