Notes to SEFA
The accompanying schedule of expenditures of federal awards (the Schedule) presents the activity of federal financial assistance programs administered by Delaware Technology Park, Inc. and Subsidiaries (the Company). Federal awards that are included in this Schedule may be received from federal agencies, as well as federal awards that are passed through from other agencies. The information in this Schedule is presented on the accrual basis of accounting in accordance with requirements of Title 2 U.S. Code of Federal Regulations (CFR) 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 Company, it is not intended to and does not present the financial position, change in net assets, or cash flows of the Company.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Federal grant funds are considered to be earned to the extent of expenditures made under the provisions of the grant, and accordingly, when such funds are received in advance, they are recorded as deferred revenue until earned. Once costs are incurred on reimbursement grants, a receivable from the granting agency is recorded. Grant revenues are also considered earned upon the purchase of a capital asset.
Federal expenditures are recognized following, as applicable, the cost principles contained in 2 CFR, Part 200, Subpart E, Cost Principles, wherein certain types of expenditures are not allowable or are limited as to reimbursement. Therefore, some amounts presented in this Schedule may differ from amounts presented in or used in the preparation of the basic financial statements. Additionally, expenditures incurred for various programs may exceed the amounts awarded from the respective pass-through entity or agency. Amounts in excess of this amount are paid out of non-federal sources. The amounts reported on the Schedule are limited to the award amounts.
Indirect costs are included in the reported expenditures to the extent they are included in the federal financial reports for each program. The Company has not elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.