Notes to SEFA
The accompanying schedule of expenditures of federal awards (SEFA) includes the federal award activity of USNSCC under the programs of the federal government for the year ended December 31, 2025. The information in the SEFA 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 SEFA presents only a selected portion of the operations of USNSCC, it is not intended to, and does not, present the financial position, changes in net assets, or cash flows of USNSCC.
Expenditures reported on the SEFA are reported on the accrual basis of accounting. Such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement.
USNSCC utilizes the 15% de minimis indirect cost rate, which is allowed in accordance with the Uniform Guidance, as USNSCC does not have an approved indirect cost rate with the Department of Defense. Effective October 1, 2024, the de minimis indirect cost rate increased from 10% to 15%.