Notes to SEFA
Title: Relationship to Financial Statements
Accounting Policies: GeneralThe accompanying Schedule of Expenditures of Federal Awards (SEFA) presents the activity of all federalawards programs of Haines Borough. The information in the SEFA is presented in accordance with therequirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements,Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Haines Borough'sreporting entity is defined in Note 1 of Haines Borough's basic financial statements. Federal awardsreceived directly from federal agencies or passed through agencies of the State of Alaska or other nonfederalagencies is included in the SEFA.Basis of AccountingExpenditures reported on the SEFA are presented using the modified-accrual basis of accounting, whichis described in Note 1 of Haines Borough's basic financial statements. Such expenditures are recognizedfollowing the cost principles contained in the Uniform Guidance, wherein certain types of expendituresare not allowable or are limited as to reimbursement. Haines Borough has elected not to use the tenpercent de-minimis indirect cost rate as allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The following is a reconciliation of state revenues reported in Haines Borough's financial statements tostate expenditures reported in the Schedule of Expenditures of Federal Awards:As reported in the Statement of Revenues, Expenditures, and Changesin Fund Balances Governmental Funds:Intergovernmental Revenue Federal grants and contracts $ 2,195,740Intergovernmental revenues Federal payments in lieu of taxes 391,954As reported in the Statements of Revenues, Expenses and ChangesIn Fund Net Position Proprietary Funds 11,568Less-Contract amounts received from the State of Alaska, but not subject toReporting on the Schedule of Expenditures of Federal Awards (42,250)Total federal expenditures as reported on the Schedule of Expendituresof Federal Awards $ 2,557,012