Notes to SEFA
The accompanying Schedule of Expenditures of Federal Awards includes the federal award activity of Jennings Water, Inc. under programs of the federal government for the year ended December 31, 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 Jennings Water, Inc., it is not intended to and does not present the financial position, changes in net assets, or cash flows of Jennings Water, Inc.
Expenditures reported on the schedule are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
Jennings Water, Inc. does not pass-through any federal awards to sub-recipients.
Jennings Water, Inc. did have loans outstanding at December 31, 2025. These loans are the utility’s only form of Federal assistance. The balance of those loans at December 31, 2025 was:
Jennings Water, Inc. has elected not to use the 15% de minimis indirect cost rate allowed under the Uniform Guidance.