Notes to SEFA
The accompanying schedule of expenditures of federal awards (the “Schedule”) includes the federal award activity of City Point Water Association, Inc. (the “Association”) under programs of the federal government for the year ended June 30, 2025. 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 Association, it is not intended to and does not present the financial position, results of its operations, or cash flows of the Association.
Expenditures reported on the Schedule are reported on the accrual basis of accounting. Such expenditures are recognized following cost principles contained in the Uniform Guidance wherein certain types of expenditures are not allowable or are limited as to reimbursement.
The Association has elected to use the 10% de minimis indirect cost rate as allowed under the Uniform Guidance.
During the year ended June 30, 2025, the Association did not incur any loans for the program and has no outstanding balance of loans under the program as of June 30, 2025.
The Association has entered into construction contracts related to projects funded in whole or in part by the federal program presented in the accompanying Schedule. As of June 30, 2025, the remaining contractual commitment under these agreements was approximately $ 981,905. These amounts are not included as expenditures in the accompanying Schedule because the related work had not been completed and paid as of yearend. Future payments under these contracts are expected to be funded from federal award funds, subject to the terms and conditions of the award.