Notes to SEFA
The Great Northwest Wholesale Water Commission (the Commission) is the recipient of federal awards in the form of grants and loans. The interim financing is a pass through from the Missouri Public Utilities Commission which is secured by a commitment of permanent financing by the United States Department of Agriculture Rural Department (the Rural Department). The Commission also has a conditional letter of commitment for $7,027,210 of additional grants from the Rural Department.
The accompanying Schedule of Expenditures of Federal Awards (Schedule) includes the federal grant activity of the Commission and is presented on the accrual basis of accounting. The information presented in this schedule is in accordance with the requirements of Title 2 U.S. Code of Federal Regulation (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Therefore, some amounts presented in the Schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
Local cost sharing, as defined by Title 2 CFR Part 200, Subpart D, Section 200.306 is required by certain federal grants. The amount of cost sharing varies with each program. Only the federal share of expenditure is presented in the Schedule of Expenditures of Federal Awards.
Grantor agencies reserve the right to conduct additional audits of the Commission’s grant program for economy and efficiency and program results that may result in disallowed costs to the Commission. However, management does not believe such audits would result in any disallowed costs that would be material to the Commission’s financial position at December 31, 2022.
The Commission does not allocate indirect costs and therefore has not elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance.
As of December 31, 2022, the Commission has an outstanding interim loan balance of $39,918,000 with the Missouri Public Utilities Commission.