Notes to SEFA
Title: Loan/loan guarantee outstanding balances
Accounting Policies: #1 AND #2: THE ACCOMPANYING SCHEDULE OF EXPENDITURES OF FEDERAL FINANCIAL AWARDS (THE "SCHEDULE") INCLUDES THE FEDERAL AWARD ACTIVITY OF THE CITY OF CROSWELL UNDER PROGRAMS OF THE FEDERAL GOVERNMENT FOR THE YEAR ENDED JUNE 30, 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 SELECT PORTION OF THE OPERATIONS OF THE CITY OF CROSWELL, IT IS NOT INTENDED TO AND DOES NOT PRESENT THE FINANCIAL POSITION, CHANGES IN NET POSITION, OR CASH FLOWS OF THE CITY OF CROSWELL. 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 ALLOWED 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
WATER AND WASTE DISPOSAL SYSTEMS FOR RURAL COMMUNITIES (10.760) - Balances outstanding at the end of the audit period were 4,413,000.
Title: Note # 4: reconciliation of the SEFA to the Financial Statements
Accounting Policies: #1 AND #2: THE ACCOMPANYING SCHEDULE OF EXPENDITURES OF FEDERAL FINANCIAL AWARDS (THE "SCHEDULE") INCLUDES THE FEDERAL AWARD ACTIVITY OF THE CITY OF CROSWELL UNDER PROGRAMS OF THE FEDERAL GOVERNMENT FOR THE YEAR ENDED JUNE 30, 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 SELECT PORTION OF THE OPERATIONS OF THE CITY OF CROSWELL, IT IS NOT INTENDED TO AND DOES NOT PRESENT THE FINANCIAL POSITION, CHANGES IN NET POSITION, OR CASH FLOWS OF THE CITY OF CROSWELL. 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 ALLOWED 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.
De Minimis Rate Used: N
Rate Explanation: The auditee did not use the de minimis cost rate.
Reported in the City's financial statements: .Ambulance Fund, Federal grants Revenue...................................$26,754 .Sewer Fund, Proceeds of loan added to long-term debt.....................1,719,000 .Sewer Fund, Federal grants revenue.......................................5,454,600 . TOTAL ..............$7,200,354