Notes to SEFA
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal grant activity of the City of Marysville, Michigan (the “City”) for the year ended June 30, 2025. Expenditures reported on the Schedule are reported on the same basis of accounting as the financial statements, the accrual basis, although the basis for determining when federal awards are expended 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 (Uniform Guidance), wherein certain types of expenditures are not allowable or are limited as to reimbursement. The City has elected not to use the 10 percent de minimus indirect cost rate to recover indirect costs as allowed under the Uniform Guidance. Because the Schedule presents only a selected portion of the operations of the City, it is not intended to and does not present the financial position, changes in net assets, or cash flows of the City. The City’s reporting entity is described in Note 1 to the City’s basic financial statements. The City’s financial statements include the operations of the City of Marysville Housing Commission, presented as a discretely presented component unit, which received federal awards that are not included in the Schedule for the year ended June 30, 2025, as this entity is audited separately and, if necessary, an audit in accordance with the Uniform Guidance is issued. For 2025, an audit in accordance with Uniform Guidance was not required for the City of Marysville Housing Commission.
Funding has been provided for the construction and improvement to the sanitary sewer system by the U. S. Environmental Protection Agency (“EPA”) pass through the State of Michigan Department of Environment, Great Lakes, and Energy (EGLE) through State Clean Water Revolving Fund loan at and for the year ended June 30, 2025 as follows: Loan amount authorized $ 4,855,000 Loan balance at June 30, 2025 $ 3,947,378 2025 activity - proceeds federally funded $ - Federal expenditures $ -
The following schedule reconciles federal award activity reported in the financial statements to the expenditures of federal awards reported on the Schedule: Governmental funds - Intergovernmental revenue $ 5,123,773 Less: State and local funding ( 4,782,622) 341,151 Unavilable revenue 300,000 Proprietary funds - Intergovernmental revenue 170,228 Total federal awards $ 811,379