Notes to SEFA
Accounting Policies: Note 1 The accompanying Schedule of Expenditures of Federal Awards includes the Federal grantactivity of the School District, and is presented on the modified accrual basis of accounting. Theinformation 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 Principlesand Audit Requirements for Federal Awards (Uniform Guidance). Therefore, some amountspresented in this schedule may differ from amounts presented in, or used in the preparation of,the basic financial statements.Note 2 Management has reported that expenditures in this Schedule of Expenditures of Federal Awardsare equal to those amounts reported in the annual or final cost reports. Unallowed differences, ifany, have been disclosed to the auditor.Note 3 The financial reports, including claims for advances and reimbursements and amounts claimed orused for matching are timely, complete and accurate, and contain information that is supportedby the books and records from which the basic financial statements have been prepared. Grantreceipts reported on the Schedule of Expenditures of Federal Awards, as passed through theMichigan Department of Education (MDE), reconcile to the MDE Cash Management System(CMS) Grant Auditor Report. Unreconciled differences have been disclosed to the auditor.Note 4 A reconciliation of expenditures on the Schedule of Expenditures of Federal Awards and sourceson the financial statements are as follows:Federal expenditures per Schedule ofExpenditures of Federal Awards $ 8,759,536Payments in lieu of taxes and other adjustments 496Federal sources per financial statements $ 8,760,032Note 5 The School District did not use the 10% de-minimis cost rate under the Uniform AdministrativeRequirements.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.