Notes to SEFA
Title: Basis of Presentation
Accounting Policies: Expenditures reported on the schedule are reported on the modified 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. Negative amounts (if any) shown on the schedule represent adjustments or
credits made in the normal course of business to amounts reported as expenditures in prior years. Pass‐through entity
identifying numbers are presented where available. North Branch Area Schools has elected not to use the 10 percent deminimis
indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
The accompanying schedule of expenditures of federal awards (the "Schedule") includes the federal
award activity of North Branch Area Schools under programs of the federal government for the year ended
June 30, 2023. The information in this schedule is presented in accordance with the requirements 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 North Branch Area Schools, it is not intended to and does not present the financial
position or changes in net position of North Branch Area Schools.
The District qualifies for low-risk auditee status. Management has utilized the NexSys, Cash Management
System, and Grant Auditor Report in preparing the Schedule of Expenditures of Federal Awards. The District
does not pass through federal awards.
Title: Summary of Significant Accounting Policies
Accounting Policies: Expenditures reported on the schedule are reported on the modified 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. Negative amounts (if any) shown on the schedule represent adjustments or
credits made in the normal course of business to amounts reported as expenditures in prior years. Pass‐through entity
identifying numbers are presented where available. North Branch Area Schools has elected not to use the 10 percent deminimis
indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Expenditures reported on the schedule are reported on the modified 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. Negative amounts (if any) shown
on the schedule represent adjustments or credits made in the normal course of business to amounts reported
as expenditures in prior years. Pass-through entity identifying numbers are presented where available. North
Branch Areas Schools has elected not to use the 10-percent de minimis indirect cost rate allowed under the
Uniform Guidance.
Title: Reconciliation With Audited Financial Statements
Accounting Policies: Expenditures reported on the schedule are reported on the modified 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. Negative amounts (if any) shown on the schedule represent adjustments or
credits made in the normal course of business to amounts reported as expenditures in prior years. Pass‐through entity
identifying numbers are presented where available. North Branch Area Schools has elected not to use the 10 percent deminimis
indirect cost rate allowed under the Uniform Guidance.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
See the Notes to the SEFA for chart/table