Notes to SEFA
Title: Purpose of Funds - Emergency Protective Measures
Accounting Policies: 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, wherein certain types of expenditures are not allowable or limited as to reimbursement. Expenditures are reported on the SEFA when: (1) FEMA has approved the Authority's Project Worksheet (PW), and (2) the Authority has incurred the eligible expenditures. Federal awards expended in years subsequent to the fiscal year in which the PW is approved are reported in the Authority's SEFA in those subsequent years. The Authority is reimbursed at 90% of the approval amount of the PW and the amount of federal expenditures reported on the SEFA is limited to the maximum reimbursable value.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The primary purpose of the grant is to provide emergency funds for repairs and maintenance as a result of significant damage caused to New York City schools by Superstorm Sandy, a natural disaster which occurred in October 2012. The PWs for Superstorm Sandy damage have been for Category B work, which is for emergency repairs, and Category E work, which is for permanent work. FEMA defines Category B and Category E (Emergency Protective Measures) as measures taken before, during, and after a disaster to save lives, protect public health and safety, and protect improved public and private property.