Audit 41630

Accounting Policies: A.Basis of PresentationThe accompanying schedule of expenditures of federal awards (SEFA) includes the federal grant activity of Windthorst Independent School District under programs of the federal government for the year ended August 31, 2022. 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 Windthorst Independent School District, it is not intended to and does not present the financial position, changes in net assets, or cash flows of Windthorst Independent School District. B. Summary of Significant Accounting Policies Expenditures reported on the Schedule 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. C. Reconciliation of Federal Expenditures per the SEFA to the Basic Financial Statements Federal Program Revenue Reported on Exhibit C-3$ 917,628 Less SHARS revenue reported in the General Fund not considered to be federal awards for inclusion on the Schedule of Expenditures of Federal Awards ( 126,565) Amount reported on the Schedule of Expenditures of Federal awards per Exhibit K-1 $ 791,063. De Minimis Indirect Cost Rate Entities that receive federal awards for which an indirect cost rate has never been negotiated may elect to charge a de minimis indirect cost of ten percent of modified total direct costs. The District did not elect to charge the de minimis rate to any of federal award during the year ended August 31, 2022.E. Subrecipients There were no subrecipients for the year ended August 31, 2022. De Minimis Rate Used: N Rate Explanation: The auditee did not use the de minimis cost rate.