Notes to SEFA
The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of Liberty-Chesnee-Fingerville Water District under the programs of the federal government for the year ended August 31, 2025 and has been prepared in accordance with accounting principles generally accepted in the United States of America. The information in the 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 Liberty-Chesnee-Fingerville Water District, it is not indended to and does not present the financial position, change in net assets, or cash flows of Liberty-Chesnee-Fingerville Water District.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherin certain types of expenditures are not allowable or are limited as to reimbursement. Amounts included in the Schedule are actual expenditures for the year ended August 31, 2025. Differences between amounts included in the Schedule and amounts reported to funding agencies for these programs result from report timing.
Liberty-Chesnee-Fingerville Water District has elected not to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.