Notes to SEFA
The Schedule of Expenditures of Federal Awards includes only the program disbursements of the City’s Water and Waste Disposal Systems for Rural Communities program.
The Schedule of Expenditures of Federal Awards includes the federal award activity of the City under the Water and Waste Disposal Systems for Rural Communities program of the federal government for the year ended June 30, 2024. 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 City of Farragut, it is not intended to and does not present the financial position, changes in financial position or cash flows of the City of Farragut.
Expenditures reported in the Schedule are reported on the basis of cash receipts and disbursements, which is a basis of accounting other than accounting principles generally accepted in the United States of America. 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.
The City of Farragut has elected to not use the 10% de minimus cost rate as allowed under the Uniform Guidance.