The accompanying schedule of expenditures of federal awards (the Schedule) includes the federal award activity of York Electric Cooperative, Inc. and Subsidiary (the Corporation) for the year ended December 31, 2025. 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 the Corporation, it is not intended to and does not present the financial position, changes in equities or cash flows of the Corporation.
The President declared a major disaster for the State of South Carolina (FEMA-DR-4829-SC) on September 29, 2024, as a result of Hurricane Helene, pursuant to his authority under the Stafford Act. This declaration authorized the Federal Emergency Management Agency to provide, through its Public Assistance Program, reimbursement or direct Federal assistance to eligible state, local, tribal, and certain private-non-profit organization applicants for emergency work Categories A and B, and the repair or replacement of disaster-damaged facilities under Public Assistance Categories C, D, E, F and G including Direct Federal Assistance for Abbeville, Aiken, Allendale, Anderson, Bamberg, Barnwell, Beaufort, Catawba Indian Nation, Cherokee, Chester, Edgefield, Fairfield, Greenville, Greenwood, Hampton, Jasper, Kershaw, Laurens, Lexington, McCormick, Newberry, Oconee, Orangeburg, Pickens, Richland, Saluda, Spartanburg, Union and York. The Grid Resilience State and Tribal Formula Grant Program is a federally funded, non-competitive grant program administered by the Department of Energy’s Grid Deployment Office to help states, territories, and federally recognized tribes strengthen and modernize electric grid infrastructure against wildfires, extreme weather, and other natural disasters. Authorized under the Bipartisan Infrastructure Law, the program distributes funding over a multi-year period based on a statutory formula that considers factors such as population, land area, historical mitigation spending, and the risk and severity of disruptive events. Eligible recipients then sub-award funds to grid resilience projects—such as hardening transmission and distribution systems, improving reliability, and reducing outage risks—with priority given to projects that deliver the greatest community benefit while supporting affordable, reliable energy service.
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 are limited for reimbursement. The expenditures reported on the schedule of expenditures of federal awards related to Hurricane Helene were incurred by the Corporation in the previous accounting period, the year ended December 31, 2024. The grant funds were awarded and received during the year ended December 31, 2025. The expenditures reported on the schedule of expenditures of federal awards related to Grid Resilience State and Tribal Formula Grants Program were incurred by the Corporation in the current accounting period.
The Corporation has elected not to use the fifteen percent de minimis indirect cost rate allowed under the Uniform Guidance.