Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the Schedules are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance and the State of New Jersey, Department of the Treasury, Circular Letter 15-08-OMB wherein certain types of expenditures are not allowable or are limited as to reimbursement.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedules of expenditures of federal awards and state financial assistance (the "Schedules") present the activity of all federal awards and state financial assistance programs of NNJLS received directly from federal and state agencies as well as passed through other government agencies for the year ended June 30, 2022. The information in these schedules 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"), the Legal Service Corporation ("LSC") Audit Guide for Recipients and Auditors, as revised November 1997, including its Compliance Supplement for Audits of LSC Recipients dated April 2016, and the State of New Jersey, Department of the Treasury, Circular Letter 15-08-OMB. Because the schedules present only a selected portion of the operations of NNJLS, they are not intended to and do not present the financial position, changes in net assets or cash flows of NNJLS.