Notes to SEFA
Basis of presentation - The accompanying schedule of expenditures of federal awards includes the federal grant activity of the Town of Notasulga, Alabama and is presented on the modified accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Uniform Guidance. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements. Indirect cost rate - The Town of Notasulga, Alabama has elected not to use the 15% de minimis indirect cost rate allowed under the Uniform Guidance. The Town uses the direct allocation method for joint administrative costs. Such costs are prorated individually and applied as direct costs to each award in accordance with approved program budgets.