Notes to SEFA
Accounting Policies: NOTE 1 BASIS OF PRESENTATIONThe accompanying Schedule of Expenditures of Federal Awards (the Schedule) includesthe federal award activity of the Coachella Valley Water District (District) under programs ofthe federal government for the year ended June 30, 2022. The information in this Scheduleis presented in accordance with the requirements of Title 2 U.S. Code of FederalRegulations Part 200, Uniform Administrative Requirements, Cost Principles, and AuditRequirements for Federal Awards (Uniform Guidance). Because the Schedule presents onlya selected portion of the operations of the District, it is not intended to and does not presentthe financial statements of the District. The Districts reporting entity is defined in Note 1 ofthe notes to the Districts financial statements.NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESExpenditures reported on the Schedule are reported on the full accrual basis of accounting,which is described in Note 1 of the notes to the Districts financial statements. Suchexpenditures are recognized following the cost principles contained in the UniformGuidance, wherein certain types of expenditures are not allowable or are limited as toreimbursement.
De Minimis Rate Used: Both
Rate Explanation: The District has elected to use the 10% de minimis indirect cost rate allowed under the Uniform Guidance but did not charge any indirect costs to federal grants during fiscal year ended June 30, 2022.