Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures presented on the schedule of expenditures of federal awards are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance. Under those cost principles, certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The Utilities has elected not to use the 10% de minimis indirect cost rate allowed under the UniformGuidance.
The accompanying schedule of expenditures of federal awards includes the federal grant activity of Mt. Pleasant Municipal Utilities under programs of the federal government for the year ended June 30, 2022. 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 selectedportion of the operations of Mt. Pleasant Municipal Utilities, it is not intended to and does not present the financial position, change in net assets, or cash flows of Mt. Pleasant Municipal Utilities.