Notes to SEFA
The accompanying schedule of expenditures of federal awards (the Schedule) included the federal award activity of the County of Otsego, Michigan under programs of the federal government for the year ended December 31, 2024. 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 the County of Otsego, Michigan, it is not intended to and does not present the financial position, changes in net position, or cash flows of the County of Otsego, Michigan.
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 as to reimbursement.
For purposes of charging indirect costs to federal awards, the County has not elected to use the de minimis cost rate as permitted by CFR Section 200.414 of the Uniform Guidance.
The Michigan Department of Transportation (MDOT) requires that all Road Commissions report all federal and state grants pertaining to their county. During the year ended December 31, 2024, the federal aid received and expended by the Otsego County Road Commission was $419,983 for contracted projects. Contracted projects are defined as projects performed by private contractors paid for and administrated by MDOT. The contracted federal projects are not subject to Single Audit. Negotiated projects are defined as projects performed by Road Commission employees or private contractors paid for and administered by the Road Commission. The amount subject to Single Audit Requirements is less than the $750,000 threshold and, therefore, no single audit was performed.
There were no awards passed through to subrecipients.