Audit 4357

Title: OTHER DISCLOSURES Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The amounts reported as federal expenditures were obtained from the federal financial reports for the applicable program and periods. The amounts reported in these reports are prepared from records maintained for each program, which are reconciled with the District’s financial reporting system. The federal expenditures are recognized under the Uniform Guidance. Indirect costs may be included in the reported expenditures, to the extent that they are included in the federal financial reports used as the source of the data presented. The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Matching costs (the District’s share of certain program costs) are not included in the reported expenditures. De Minimis Rate Used: Y Rate Explanation: The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. No insurance is carried specifically to cover equipment purchased with federal funds. Any equipment purchased with federal funds is covered by the District’s casualty insurance policies. There were no loans or loan guarantees outstanding at year-end.

Title: NON-MONETARY FEDERAL PROGRAM Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The amounts reported as federal expenditures were obtained from the federal financial reports for the applicable program and periods. The amounts reported in these reports are prepared from records maintained for each program, which are reconciled with the District’s financial reporting system. The federal expenditures are recognized under the Uniform Guidance. Indirect costs may be included in the reported expenditures, to the extent that they are included in the federal financial reports used as the source of the data presented. The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Matching costs (the District’s share of certain program costs) are not included in the reported expenditures. De Minimis Rate Used: Y Rate Explanation: The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The District is the recipient of federal award programs that do not result in cash receipts or disbursements. The District was granted $17,476 of commodities under the Fresh Fruit and Vegetable Program (Assistance Listing 10.582) and $57,440 of commodities under the National School Lunch Program (Assistance Listing 10.555).

Title: SUBRECIPIENTS Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The amounts reported as federal expenditures were obtained from the federal financial reports for the applicable program and periods. The amounts reported in these reports are prepared from records maintained for each program, which are reconciled with the District’s financial reporting system. The federal expenditures are recognized under the Uniform Guidance. Indirect costs may be included in the reported expenditures, to the extent that they are included in the federal financial reports used as the source of the data presented. The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Matching costs (the District’s share of certain program costs) are not included in the reported expenditures. De Minimis Rate Used: Y Rate Explanation: The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. No amounts were provided to subrecipients.

Title: SCOPE OF AUDIT Accounting Policies: Expenditures reported on the Schedule are reported on the modified accrual basis of accounting. The amounts reported as federal expenditures were obtained from the federal financial reports for the applicable program and periods. The amounts reported in these reports are prepared from records maintained for each program, which are reconciled with the District’s financial reporting system. The federal expenditures are recognized under the Uniform Guidance. Indirect costs may be included in the reported expenditures, to the extent that they are included in the federal financial reports used as the source of the data presented. The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. Matching costs (the District’s share of certain program costs) are not included in the reported expenditures. De Minimis Rate Used: Y Rate Explanation: The District has elected to use the 10 percent de minimis indirect cost rate allowed under the Uniform Guidance. The District is an independent municipal corporation. All federal grant operations of the District are included in the scope of the single audit.