Notes to SEFA
The accompanying schedule of expenditures of federal awards (SEFA) presents the activity of all federal financial assistance programs of the County of Merced, California (County). The County reporting entity is defined in Note 1 within the Merced County Annual Comprehensive Financial Report (ACFR). All federal financial assistance received directly from federal agencies, as well as federal financial assistance passed through other government agencies, is included in the SEFA.
The accompanying SEFA is presented using the modified accrual basis of accounting. Within the ACFR, the basic financial statements were presented using the accrual basis of accounting for the government-wide and proprietary fund statements and the modified accrual basis of accounting for the governmental fund statements.
The County has provided federal awards to various organizations. The amounts provided to subrecipients from each federal program are summarized as follows: See the Notes to the SEFA for chart/table
The SEFA presents the federal awards expended by the County for the fiscal year ended June 30, 2025. The California Department of Aging (CDA) requires agencies administering CDA programs to present state-funded expenditures separately along with related federal expenditures for those programs. Accordingly, the following schedule presents expenditures for programs administered through the California Department of Aging. Federal expenditures shown below are included in the SEFA. State expenditures are presented for supplementary information and are not included in total federal awards expended. See the Notes to the SEFA for chart/table The negative amount of $24,717 represents a program closeout adjustment resulting from costs determined unallowable for NI/HCBS Infrastructure funding and reclassified and/or repaid to the California Department of Aging during the year; the related closeout resulted in an amount due to CDA of $31,490.
The County participates in certain federal award programs that sponsor revolving loan programs, which are administered by the County. These programs maintain servicing and trust arrangements with the County to collect loan repayments. The funds are returned to the programs upon repayment of the principal and interest. The federal government has imposed no continuing compliance requirements with respect to the loans rendered under the programs other than to repay the loans. The following is a summary of the loan programs maintained by the County, and their activities and balances, as of and for the year ended June 30, 2025: See the Notes to the SEFA for chart/table
The County has elected not to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance for over 99% of its federal grants. The County elected to use the 10 percent de minimis indirect cost rate for the following programs: See the Notes to the SEFA for chart/table